Since January 2021, Hennepin County has been awarded $56,749,736 from the U.S. Treasury Department’s Emergency Rental Assistance (ERA) program to assist households that are unable to pay rent and utilities due to the COVID-19 crisis (Resolution 21-0051 adopted February 16, 2021, Resolution 21-0188 adopted June 1, 2021, and Resolution 22-0150 adopted May 3, 2022).

Previous ERA funding has been collaboratively administered by the Housing and Economic Development department (approximately $31.9million) and the Human Services and Public Health department ($24.8 million). The county has consistently placed in the top 20 percent of local jurisdictions nation-wide in distribution of assistance to low-income renters. The U.S. Treasury Department has been issuing opportunities for local jurisdictions to apply for funds that have gone unused in other parts of the United States. Hennepin Country has applied for all three reallocation opportunities and has been awarded additional ERA 1 funds in each of these rounds. Recently Hennepin County was awarded a 3rd round of reallocated funds from other jurisdictions in the amount of $213,310 from Treasury via a competitive application process.

As we approach the final phase of ERA deployment, staff recommends the following:

• Accept new award of $213,310 from Treasury and allocate to the Humans Services and Public Health Department.
• Supplemental appropriation to the 2022 Human Services and Public Health departmental operating budget in the amount of $213,310.

Human Services and Public Health department will continue processing tenant-initiated applications from Hennepin County received in RentHelpMN (statewide platform) before its closure, provide navigation and support to households in danger of immediate eviction, and transition the homeless and eviction prevention efforts back to existing systems, while using the experiences of the ERA program to improve these existing systems.

ERA 1 funds are required to be spent by September 30, 2022, with extensions, if needed, until December 30, 2022.

Current Request: Allocate $213,310 in ERA1 re-allocated by U.S. Treasury from other jurisdictions to HSPHD; HSHPD will use these funds to continue to provide emergency rental assistance programming.

Impact/Outcomes: Approval of this request will continue the needed assistance for low-income Hennepin County residents to maintain stable housing during the COVID-19 pandemic.

Disparity Reduction: This board action request aligns with Hennepin County disparity reduction efforts by supporting housing stability for individuals who have past due rent. These individuals are often people who are members of groups disparately impacted by homelessness and housing instability.