Title
Authorization to Enter into Contract with the Arizona Department of Economic Security for Community Action Agency Funding (Ordinance S-51795) - Citywide
Description
Request authorization for the City Manager, or his designee, to accept funding and enter into contract with the Arizona Department of Economic Security (DES). The DES contract amount for Community Action Agency services is approximately $11.2 million annually or an aggregate not to exceed $56 million over the five-year term. The contract term will begin on or around July 1, 2025, and end June 30, 2030. Further request authorization for the City Treasurer to accept and the City Controller to disburse all funds related to this item for the life of the contract.
Report
Summary
The City of Phoenix Human Services Department (HSD) is the designated Community Action Agency for the City of Phoenix service area and contracts with DES for funding to deliver Community Action Agency services. Under this contract, HSD engages the entire Phoenix community in the reduction or elimination of poverty, with particular emphasis on vulnerable and at-risk populations.
Community Action Agency funding allows HSD to assist individuals and families with low-incomes in removing obstacles and resolving barriers to self-sufficiency. Funding supports services across a broad range of emergency crisis interventions such as eviction prevention, utility disconnection prevention, energy reduction, and ongoing short- and long-term case management services.
DES has initiated a new five-year contract renewal period to provide Community Action Agency services in Phoenix. Funding consists of both federal and local funds to include Community Services Block Grant, Low Income Home Energy Assistance Program, Temporary Assistance for Needy Families, Social Services Block Grant, and Neighbors Helping Neighbors. Funding levels may be adjusted throughout the contract period through amendments based on federal and state agency appropriations.
Contract Term
The contract term will begin on or about July 1, 2025, for a five-year term through June 30, 2030, with no options to extend.
Financial Impact
The funding for the first year of the contract is approximately $11.2 million. The aggregate amount of the contract will not exceed $56 million over the life of the five-year contract. There is no impact to the General Fund.
Department
Responsible Department
This item is submitted by Deputy City Manager Gina Montes and the Human Services Department.