A Marin County rental assistance program funded with American Rescue Plan Act money might have to end sooner than expected unless the Board of Supervisors authorizes additional spending.
“Given the applications that we know are pending in the pipeline and the projections based on the current rate of approval, we will need to close the emergency rental assistance program waiting list at the end of this month to stay within existing funding,” Gina Guillemette, chief strategy officer for Community Action Marin, said at county budget hearings last month.
“This is in response to the tremendous community need that we’ve experienced in recent months,” Guillemette said.
Guillemette said Community Action Marin has requested $2.5 million in additional one-time funding to keep the waiting list open through the end of September. Funds would be paid out by the end of the year.
On Friday, Guillemette said the organization made the decision with the county to keep the waiting list open at least until Aug. 1.
Marin County ended its initial rental assistance program after distributing $27 million to more than 1,900 households from April 2020 through September 2022. The money came from the $1.9 trillion federal American Rescue Plan Act. An additional $4.6 million for rental assistance was immediately available to Marin when the county ended its program.
Rather than continue to operate the program, the county opted to contract with Community Action Marin, the largest nonprofit social services provider in the county, to administer it. The $3.2 million contract allotted $2.88 million for rent payments; $185,000 to the nonprofit for administrative, accounting and fiscal oversight services; and $145,000 to be shared with North Marin Community Services and Legal Aid of Marin.
North Marin Community Services helped people apply for assistance, and Legal Aid of Marin provided legal support.
At the time, Deputy County Administrator Hyacinth Hinojosa, who has since left the county, said the county might be able to access yet another $4 million in federal funds for rental assistance. Hinojosa said the county had been unable to access the $4 million previously because it hadn’t yet met certain benchmarks.
Marin was ultimately successful in securing additional money and at Community Action Marin’s request allocated an additional $4 million to the rental assistance program. Of that amount, $3.35 million was earmarked for payouts to applicants and their landlords; the remainder was used to cover administrative and community engagement costs.
While making his closing remarks before voting to approve the county’s new budget on June 22, Supervisor Dennis Rodoni said, “I hope that we are able to find a way to extend that program and at least keep the waiting list open through September. I think we have $1.27 million of one- and two-year American Rescue Act funds that aren’t dedicated to anything yet and may be available for that use.”
In addition to the $34 million in American Rescue Act Plan funds that Marin County received for rental assistance, the county received another $50 million in emergency funds for more general COVID response. Most of the $50 million, however, has been spent or allocated already.
County Administrator Matthew Hymel said no decision has been reached regarding Community Action Marin’s request.
Guillemette said that between November 2022, when the nonprofit took over the program, and last month, the organization disbursed $4.4 million in rental assistance funding to 623 households. She said that as of July 1, Community Action Marin had 87 applications pending or under review, 274 households on its waiting list and about $1.7 million in funds remaining.
The county’s contract with Community Action Marin to operate the program extends through the end of this year. Guillemette, however, told supervisors in June that the money was being paid out more rapidly than anticipated.
“Our monthly disbursement ranges from $600,000 and $800,000 every month,” she said.
The rental assistance program is different in several key respects from the program that the county operated itself. The program, which is free of some previous federal requirements, can reimburse renters who borrowed funds to pay their rent and makes subtenants eligible for the first time. It also allows grants to be used to pay up to three months of prospective rent.
Nevertheless, according to Community Action Marin, 84% of the disbursements it has made have gone to pay back rent or unpaid utility bills, and just 16% of the disbursements have been for current or prospective rent or utility bills.
More than 69% of the funds disbursed went to families with incomes at or below 30% of area median income. Guillemette cited several examples where the program helped low-income families with children to avoid eviction.
“While the emergency rental assistance program and other services are not a solution to the housing crisis, they have allowed a certain level of housing stability for eligible tenants, which we know have ripple effects throughout our community and our local economy,” she told supervisors in June.
Used with permission by the Marin Independent Journal.
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