Family Self-Sufficiency Coordinators Funding for Calendar Year 2020 Copyrighted
December 16, 2019
City of Dubuque Consent Items # 12.
ITEM TITLE: Family Self-Sufficiency Coordinators Funding for Calendar
Year 2020
SUMMARY: City Manager recommending approval to continue the two
Family Self-Sufficiency Coordinator positions required to
administer the Family Self-Sufficiency Program until
December 31, 2020, when additional grant funding may be
obtained for the positions.
SUGGESTED DISPOSITION: Suggested Disposition: Receiveand File;Approve
ATTACHMENTS:
Description Type
Funding for Family Self-Sufficiency Coordinators- City Manager Memo
MVM Memo
Staff Memo Staff Memo
Dubuque
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TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Funding for Family Self-Sufficiency Coordinators for Continued
Programming
DATE: December 11, 2019
Since 2014, the City of Dubuque applied for a yearly Family Self-Sufficiency (FSS)
Grant through the U.S. Department of Housing and Urban Development (HUD). The
funding from this grant supports two employees that work in the Gaining Opportunities
Program.
The City of Dubuque will not be receiving the HUD grant to fund two positions for the
FSS Program in calendar year 2020 due to a late submission of a grant application.
For Fiscal Year 2020, $63,200 is required to fund these two positions. This funding will
be provided by Fiscal Year 2019 General Fund Savings.
In Fiscal Year 2021, $31,121 is required to fund these two positions. This funding will
be part of the Housing & Community Development Department requested budget to be
considered in the annual budget process.
Housing & Community Development Director Alexis Steger recommends City Council
approval to continue the two Family Self-Sufficiency Coordinator positions required to
administer the Family Self-Sufficiency Program until December 31, 2020, when
additional grant funding may be obtained for the positions.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
v
Mic ael C. Van Milligen
MCVM:jh
Attachment
cc: Crenna Brumwell, City Attorney
Teri Goodmann, Assistant City Manager
Cori Burbach, Assistant City Manager
Alexis M. Steger, Housing and Community Development Director
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Dubuque
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TO: Michael C. Van Milligen, City Manager
FROM: Alexis M. Steger, Housing and Community Development Director
DATE: December 11, 2019
RE: Funding for Family Self-Sufficiency Coordinators for Continued
Programming
BACKGROUND
Since 2014, the City of Dubuque applied for a yearly Family Self-Sufficiency (FSS)
Grant through the U.S. Department of Housing and Urban Development (HUD). The
funding from this grant supports two employees that work in the Gaining Opportunities
Program.
The Family-Self Sufficiency program is a five-year program, only available to residents
that are receiving housing assistance in the form of a Housing Choice Voucher. In this
program, participants work with FSS Coordinators on money management, establishing
and building assets, furthering education, homeownership readiness, obtaining driver's
licenses, and soft skills for employment. Common referrals include food pantry, NICC,
Dupaco, child care resource and referral, and lowa Legal Aid.
A participant in the FSS Program is required to sign a contract with the City that
requires them to be working towards self-sufficiency. Each participant sets an average
of five goals to be met during the course of their contract, with the guidance of the FSS
Coordinator. Additionally, the participants can enroll to build an escrow account. Any
increases in the family's rent as a result of increased earned income during the family's
participation in the program result in a credit to the family's escrow account. Once a
family graduates from the program, they may access the escrow and use it for any
purpose. This creates a saving account and incentive for participants to increase their
income. Of the 69 current participants, 36 are enrolled in the escrow program and have
escrow balances totaling $142,139.
Since November 1, 2014, the FSS program has served 244 participants. 33 participants
have officially graduated from the program. The average earned income at the time of
enrollment for these graduates was $4,558 and increased to an average of$26,788 by
graduation. 73% of the graduates no longer receive rental assistance, the other 27%
were successful graduates based on maintaining employment and being free of cash
welfare.
Over the same time period, escrow payouts totaled $158,433 with a minimum payout of
$159 and the largest escrow paid being $20,792. The escrow can be used at the
participants' discretion, however if it is used prior to graduation it is used to increase the
participants' self-sufficiency for things such as credit repair, car repair, and auto
insurance. At graduation any escrow not used to further the goals of self-sufficiency is
released to the participant to build savings for the future.
In the past five years, 56 participants have transferred their voucher to another Public
Housing Authority, so the City of Dubuque is no longer able to track their outcomes. The
contracts for FSS are 5-years in length, and the program has experienced 13°k of
participants failing to meet their goals in that timeframe. An additional 4°k of participants
have left the program due to program violations. 73°k of all participants under the City of
Dubuque's program are continuing to be successful, meet goals and further their ability
to be self-sufficient.
There were 581 goals/needs identified with positive outcomes for participants in the
past three years:
Health Needs Economic Needs Education Needs Basic Needs
Number of Participants with 16 389 101 75
Positive Outcomes
Percentage of Needs Identified 3% 67% 17% 13%
The FSS Program is only part of Gaining Opportunities, that assists residents with
finding resources, learning about their community by building social networks,
increasing education, having/maintaining gainful employment and building financial
assets. There is a FSS Coordinator position funded specifically for programming
targeted at those residents that aren't HCV holders but need the same support to
become self-sufficient. This position is not funded by the current HUD FSS Program
grant.
DISCUSSION
The City of Dubuque will not be receiving the HUD grant to fund two positions for the
FSS Program in calendar year 2020 due to a late submission of a grant application. The
current grant period ends on December 31 , 2019. Although the funding for the positions
to maintain the Family Self-Sufficiency (FSS) portion of Gaining Opportunities will not be
grant funded, the City is obligated to finish the current contract with participants. There
are 69 participants under contract currently.
The goal for participation is 150 participants by the end of 2020. An additional 100
Housing Choice Vouchers will be issued by February 2020, providing a new group of
viable participants for the program. If the City chooses not to continue the program,
none of those HCV holders will be offered self-sufficiency opportunities to the extent
allowed under this program.
There is continued value in maintaining and growing this program to help those in
poverty, get out of the cycle of poverty. Escrow accounts provided in the program are
used most often for credit repair, making participants viable candidates for
homeownership in the future. Three participants have exited the program to become
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homeowners, and the goal is to increase this number significantly with the First-Time
Homeowner Programs currently offered by the City. Higher levels of education and work
skills are also a main focus of the program, coinciding with community initiatives to build
a skilled workforce.
Based on the current Council High Priority Project of an Equitable Poverty Prevention
Plan, choosing to stop a program that will be poised to adapt to recommendations from
that plan, may be at a detriment to that goal. Social program start-up time is often over a
year to hire employees, develop program rules, and start identifying residents to
engage. Should the City choose to keep the FSS Program running using General
Funds, employees will be in place, program rules and administrative plans will exist and
residents already struggling with poverty will be engaged.
The Equitable Poverty Prevention Plan will be finished September 2020. The City of
Dubuque will apply in October 2020 for the FSS Program grant for calendar year 2021 .
This timing works well to adapt the program to implement recommendations from the
plan with the FSS Coordinators/Program, should the City choose to continue their
employment. Based on previous years' grants, if enrollment in the FSS Program is at or
above 75 participants at the time of application for the HUD FSS Program grant, it is
likely the City of Dubuque will receive grant funding for two FSS Coordinators in
calendar year 2021 .
Should the City choose not to continue the FSS Program, serving the remaining 69
participants under contract still requires one full-time caseworker.
BUDGETIMPACT
For FY 2020, the budget required from the general fund to continue employing two FSS
Coordinators from January 1 , 2020 through June 30, 2020 is $75,800. The Family
Unification Program grant applied for on December 17�h will provide $2,600 in funding in
FY 2020. Additionally, the Tenant Based Rental Assistance Grant, to be submitted
February 1 S�, 2020 would provide another $10,000 in funding for these positions.
Therefore, $63,200 is required for FY 2020 funding for these positions. This funding will
be provided by Fiscal Year 2019 General Fund Savings.
In FY 2021 , $76,771 will be required that covers July 1 , 2020 through December 31 ,
2020. The Family Unification Program grant applied for on December 17�h will provide
$15,650 in funding in FY 2021 . Additionally, the Tenant Based Rental Assistance Grant,
to be submitted February 1 S�, 2020 would provide another $30,000 in funding for these
positions. Therefore, $31 ,121 is required for FY 2021 funding for these positions. This
funding will be part of the Housing & Community Development Department requested
budget to be approved in the annual budget process.
Should the program be eliminated, $37,900 will be required from the General Fund in
FY 2020 to fund one FSS coordinator. The caseload would be evaluated prior to FY
2021 for potential elimination of the FSS Coordinator position. This may not be feasible
based on the number of HCV currently being issued, therefore an additional $38,386
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will likely be needed in FY 2021 to fund one FSS Coordinator position through
December31 , 2020.
RECOMMENDATION
I respectfully request the continuation of the two Family Self-Sufficiency Coordinator
positions required to administer the Family Self-Sufficiency Program until December 31 ,
2020, when additional grant funding may be obtained for the positions.
Cc: Jennifer Larson, Budget Director
Teresa Bassler, Assisted Housing Supervisor
Teri Goodman, Assistant City Manager
Cori Burbach, Assistant City Manager
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