Title
Request to Acquire Real Property in Assisting the Unsheltered Population Citywide (Ordinance S-49325)
Description
Request to authorize the City Manager, or his designee, to take all acts necessary to acquire the necessary real property rights of vacant and/or improved real property within the Phoenix corporation limits for shelter or shelter related needs in response to City Council approved Strategies to Address Homelessness Plan, and to assist the unsheltered population in an amount not to exceed $15 million in the aggregate. Further request to authorize the City Controller to disburse all funds related to this item.
Report
Summary
In support of the City Council approved Strategies to Address Homelessness Plan, the Finance Department, on behalf of the Office of Homeless Solutions, is seeking authorization to acquire real property rights within the City to support the needs of the unsheltered population and to reduce the current burden on the central City and the area surrounding the Human Services Campus. There is also a need to identify space for citywide storage of abandoned property.
An ideal property will encompass 30,000 to 40,000 square-feet, be equipped with HVAC and/or related infrastructure, and provide: a commercial kitchen; shower and restroom facilities; sleeping quarters; and storage needs. This acquisition authority is requested so the Finance Department, Real Estate Division, may act quickly as properties identified on the open market are deemed suitable by the Office of Homeless Solutions. The contract price will be based on the market value for the property rights to be acquired, as supported by an appraisal, and approved by the Real Estate Division, with additional terms and conditions acceptable to the City. This authority would enable staff to conduct preliminary due diligence and thereby expedite potential acquisitions.
Financial Impact
Funding, not to exceed a total of $15 million in the aggregate, is available through American Rescue Plan Act (ARPA) funds in addition to funding sources that may be identified by the Office of Homeless Solutions with no impact to the General Fund.
Concurrence/Previous Council Action
- On June 7, 2022, the City Council approved the ARPA Second Tranche Strategic Plan allocating $26.5 million for Homelessness Projects.
- On Oct. 27, 2020, the Strategies to Address Homelessness Plan was approved by the City Council.
Location
Within the Phoenix corporation limits in areas suitable and zoned for a shelter or shelter related use and/or a storage program.
Department
Responsible Department
This item is submitted by Deputy City Manager Gina Montes and the Office of Homeless Solutions, Human Services and Finance departments.