Title
Request Authorization to Enter into Contracts with LISC Phoenix and Local First Arizona Foundation (Ordinance S-46712)
Description
Request to authorize the City Manager, or his designee, to enter into contracts with LISC Phoenix ($1,100,000) and Local First Arizona Foundation ($600,000) to provide emergency food assistance to vulnerable populations impacted by COVID-19. The term of the contracts will begin on or about June 30, 2020 through Dec. 30, 2020 with an aggregate amount not to exceed $1,700,000. Further request authorization for the City Controller to disburse all funds related to this item. One-time funding is provided through the Coronavirus Aid, Relief and Economic Security (CARES) Act. There is no impact to the General Fund.
Report
Summary
In response to the COVID-19 pandemic, the Office of Environmental Programs (OEP) teamed with the Human Services Department (HSD) to develop a food assistance plan to address the food needs of vulnerable populations and communities impacted by COVID-19. The plan addresses: (a) access to healthy foods for impacted populations, (b) infrastructure assistance regarding transportation and delivery with a focus on home delivery and storage of food, (c) support for food banks and community agencies with increased operational costs. This plan is aligned with the City Council’s guiding principles and strategic plan to deploy CARES Act funding.
This report focuses on the $1.7 million Other Community Needs funding to access healthy foods for impacted populations, to equitably support existing organizations serving residents, recognize the work already being done in diverse communities, encourage partnerships, and promote innovation. Entities eligible for the funding include: public schools/school districts, nonprofit organizations, health organizations, social service providers, community and grassroots organizations, farmers, community-supported agriculture, food hubs, mobile markets, and restaurants and catering (including event venues). Funds will be distributed through an open grant application process and awarded based on criteria established for organizational capacity, demonstrated need, and eligible costs (must be focused on activities related to preparation and delivery of food boxes, produce, and take out/prepared meals) with outcomes for the number of COVID-19-impacted individuals/families served and number of meals delivered to COVID-19-impacted vulnerable populations.
Engaging these trusted, local organizations to assist in quickly and efficiently disbursing and managing these funds will augment City staff capacity to manage this effort. Two organizations, LISC (Local Initiatives Support Corporation) Phoenix and Local First Arizona Foundation, are recommended as Subrecipients of the funds to administer and manage the grant process including: receiving applications, selecting applicants, disbursing funds, and collecting compliance monitoring data to provide monthly reports to the OEP and HSD. The contracts executed with each organization will detail the Subrecipient’s responsibilities, grantee requirements, schedule, and reporting requirements.
LISC has over 40 years in supporting local and federal government programs as an intermediary. With residents and partners, LISC forges resilient and inclusive communities of opportunity across America - great places to live, work, visit, do business, and raise families, with 35 local offices and a rural program reaching 44 states. LISC has long been known for direct engagement in communities. Annually, it lends approximately $20 million to projects that benefit affordable housing and commercial real estate located in low moderate income (LMI) census tracts; which, in turn, leverages over $115 million in investments into the community. As an intermediary, it has annually released approximately $1 million in grants towards capacity building in local nonprofit organizations. LISC Phoenix deploys support in programs that are community-informed and led. Their strategic investments strive to help build community wealth for the underemployed, employed, and micro business owners alike; acts on economic development strategies that support the vitality of micro-businesses; provides affordable housing; and overall builds healthy communities. This strength will serve well in assisting the City of Phoenix with distribution of grant funds to community organizations that can provide food to Phoenix residents impacted by COVID-19.
Local First Arizona Foundation, headquartered in Phoenix, is a statewide organization focused on community and economic development to build self-sufficient, healthy, and prosperous communities. The Foundation is the 501(c)(3) nonprofit sister organization to Local First Arizona focusing on healthy local foods, the Fuerza Local Accelerator Program, and rural economic development. In March 2020, Local First Arizona Foundation launched a small business relief fund to provide direct funding to Arizona's smallest businesses who for the most part, were unable to benefit from the federal Payroll Protection Program. Local First, which is the largest local business coalition in the country, received over 1,600 applications in under three weeks from businesses ranging from restaurants and retail to manufacturing and small food producers. To date, $1.3 million has been raised and over $850,000 distributed in $1500-$2500 increments to over 470 family-owned business across Arizona. Local First Arizona Foundation is well positioned to engage and distribute grant funds to farms, ranches, food trucks, farmers markets, grocers, distributors, restaurateurs, and food workers and connect Phoenix residents impacted by COVID-19 to healthy local, low-contact food sources.
Specifically, each agency will:
LISC Phoenix - provide administrative and financial support through grants for organizations city-wide, including grassroots, community, nonprofits, health, social service providers and public schools that demonstrate capacity for food distribution services to vulnerable populations impacted by COVID-19.
Local First Arizona - provide administrative and financial support through grants for citywide restaurants, catering (including event venues with catering services), farmers, community-supported agriculture, food hubs, and mobile markets, that demonstrate capacity for food distribution services to vulnerable populations impacted by COVID-19.
The OEP, in coordination with HSD, will assist LISC Phoenix and Local First Arizona Foundation to connect with social service organizations serving vulnerable populations with listings of organizations and will facilitate those connections.
Procurement Information
Services may be procured, as needed, by using procurement in accordance with Administrative Regulation 3.10 to implement and administer programs intended to prevent, prepare for and respond to the COVID-19 national pandemic.
Contract Term
The term of the contract will begin on or about June 30, 2020 through Dec. 30, 2020. Contracts may be extended based on continuous need and available funding, which may be exercised by the City Manager or designee.
Financial Impact
The funding breakdown is as follows:
LISC Phoenix $1,100,000
Local First Arizona $600,000
The aggregate value of these contracts shall not exceed $1,700,000. There is no impact to General Fund. One-time funding is provided through the Coronavirus Aid, Relief and Economic Security (CARES) Act.
Department
Responsible Department
This item is submitted by Assistant City Manager Deanna Jonovich, Deputy City Manager Karen Peters, the Human Services Department and the Office of Environmental Programs.