6.8 Understanding the HEARTH Act
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  • 1. The HEARTH Act February 2011
  • 2.  
  • 3. Aspiration Homelessness Assistance Incentives ($)
  • 4. HEARTH Act Aspiration Incentives ($) Incentives ($) Homelessness Assistance
  • 5. “ to establish a Federal goal of ensuring that individuals and families who become homeless return to permanent housing within 30 days” HEARTH Act Purposes – Sec. 1002(b)
  • 6. Programs Systems Activities Outcomes Shelter Prevention Transitioning Rapidly Re-Housing
  • 7.
    • Most changes take effect in the NOFA released in Fall 2011
    • Some changes implemented over several years
    • Regulations in May 2010 … Summer … Fall … Soon
    • Public comment period! Plan to Comment!
    Timeline
  • 8. Changes to the ESG (Formula) Program Old Emergency Shelter Grants Up to 5% for administrative expenses Formula to cities, counties, and states New Emergency Solutions Grants Up to 7.5% for administrative expenses Same formula, maybe more funding
  • 9. Changes to the ESG Program Old Eligible Activities Shelter renovating, rehab, conversion Operating Emergency Shelter (max. 10% for staffing) Services in Shelter or outreach (max. 30%) Prevention (sudden loss of income, max. 30%) New Eligible Activities Same as now plus HPRP activities (except prevention targets below 30% of AMI) No cap on prevention, services, or staffing Minimum of 40% must be for prevention and rapid re-housing (with a hold-harmless provision)
  • 10.
    • New ESG = Old ESG + HPRP
  • 11. Changes to the CoC Program
    • Old
    • 3 programs
      • Supportive Housing Program (SHP)
      • Shelter Plus Care (SPC)
      • Mod. Rehab./SRO
    • New
    • One Continuum of Care program
      • All eligible activities of the 3 former programs
      • More flexibility for mixing and matching eligible activities
      • Up to 10 percent for administrative costs
  • 12. Changes to the CoC Program
    • Old
    • Providers in community jointly apply for funding
    • Stakeholders review and rank applications
    • Application has two parts
      • -Exhibit 1 – community wide
      • -Exhibit 2 – individual project applications
    • New
    • Similar to existing process
    • Collaborative Applicant, eligible for 3% for admin.
    • Focused on performance:
      • -Lengths of homeless episodes
      • -Returns to homelessness
      • -New Homelessness
  • 13.
    • New Measures
      • Duration of homelessness episodes
      • Returns to homelessness
      • Number of people who become homeless
    • Measures require evaluating performance in the entire CoC region
    Performance
  • 14.
    • CoC application must be approved by Consolidated Planning body
    • Consolidated Plan requires coordination with CoC
    • Many elements of Ten Year Plan in CoC application
    CoC/CP/TYP Coordination
  • 15. Match
    • Old
    • Match requirement varies depending on activity
      • 25% for services, must be cash
      • 100% for rental assistance, must be in-kind services
      • 100% for construction/rehab
      • 33% for operating expenses
      • No match for leasing
    • New
    • Uniform 25% match except for leasing projects
      • Match covers entire CoC
      • Match can be cash or in-kind when documented by Memorandum of Understanding
  • 16. Incentives Old Bonus for permanent supportive housing project Sometimes for Chronic Homelessness
    • New
    • Bonus for proven strategies , including—
      • - Permanent supportive housing for chronic homelessness
      • -Rapid Re-Housing for families
      • -Other activities that HUD determines are effective
  • 17.
    • Projects that serve families cannot refuse to serve families because of the age of the children (i.e. must serve families with adolescent children)
    • Projects must identify person who will be responsible for coordinating child’s education
    Additional Requirements
  • 18. Unified Funding Old New HUD HUD Project Sponsor Project Sponsor Project Sponsor Project Sponsor Project Sponsor Project Sponsor Unified Funding Agency
  • 19.
    • Collaborative Applicant could apply to become a UFA or HUD could designate Collaborative Applicant as a UFA
    • UFA responsible for audits and fiscal controls
    • UFA could get up to 3% of a communities award for administrative expenses (on top of the 3% that for being collaborative applicant)
    Unified Funding
  • 20.
    • ESG serves people at risk
    • All programs serve homeless people, including
      • People who are losing their housing in 14 days and lack resources/supports
      • People who have moved from place to place and are likely to continue to do so because of disability/barriers
    • Up to 10% (more in some cases) of CoC funds can serve doubled up/motels
    Definition of Homelessness
  • 21.
    • Non-competitive renewals for PSH
    • Project-based PSH can obtain 15-year contracts subject to annual funding
    • Permanent housing activities are adjusted for inflation at renewal
    Even More Changes
  • 22. Get Ready!
  • 23. Figure out how to measure and reward performance.
  • 24. Analyze your system to make sure you have the right programs.
  • 25. Create process for continuing HPRP-funded programs.
  • 26. Integrate CoC, Ten Year Plan, and Consolidated Planning
  • 27. HEARTH Academy Communities So Far: Whatcom County, WA | Washington, DC | State of Washington | State of Iowa | State of Mississippi State of Missouri | State of Connecticut | State of North Carolina HEARTH Academy QUANTITATIVE ANALYSIS + SYSTEM DESIGN SUPPORT
  • 28. Norm Suchar National Alliance to End Homelessness www.endhomelessness.org [email_address]