Strategic Housing Finance Corporation (Strategic HFC) is launching the $2 million Rosemont Tenant Investment Program (RTIP) to aid approximately 250 former Rosemont at Oak Valley residents impacted by Winter Storm Uri and the property's sale. Eligible households, those residing at Rosemont between February 2021 and April 2023, can receive up to $7,200 for housing affordability and stability. Strategic HFC seeks a non-profit partner with financial management experience and a history of assisting low-income households to administer the 12-month program. The partner will receive pre-compiled recipient contact information and will be required to maintain general liability insurance.
Timeline
What amount/percent of funds will be advanced?
Strategic is open to negotiation regarding advanced funds. Kindly propose an advance based on the planned staffing structure and timeline in combination with expected initial payments for the first two months.
What is the expected reimbursement structure?
Strategic is open to negotiating terms of reimbursement with the identified partner, including the possibility for a hybrid of budget-based and percentage-based reimbursement models. Strategic is also open to applications with a budget plan that includes indirect charges.
Strategic’s expectation is a monthly schedule for reimbursement, though we can provide more flexibility as needed. Payments should be sent within 14-30 days from the date of receipt of expenses.
What expectations are there for proving eligibility or otherwise securing documentation from clients?
Due to the nature of the program, Strategic is eager to minimize administrative burden for recipients. Once basic eligibility has been established with CVR, we do not anticipate significant additional documentation beyond confirmation of identity and provision of documents needed to make payments. Strategic is not specifying any eligibility requirements around current living situation (location, name on lease, etc.) or income level.
How many clients do we currently have up to date contact information for?
With CVR's help, Strategic has collected up-to-date contact information for approximately 120-130 of the eligible households. Strategic will continue engaging with CVR throughout this process; we expect to have more contact information as we get closer to the launch date, as well as over the course of the program.
If the proposer has meaningful experience with outreach and contact with eligible households, Strategic is open to a flexible partnership structure that allows for a more proactive outreach role. Terms of this additional scope can be negotiated.
What are eligible expenses for clients to use RTIP funds for?
Strategic is open to partners’ proposed plans to support any costs that support eligible households’ housing affordability and/or stability, including payments toward rent, utilities, moving costs, and down payments, as well as toward other ancillary costs that promote stability like transportation and childcare.
While we have received tenant feedback that the flexibility of direct payments is preferred, we do not require that option and are open to negotiating terms with an identified partner.
What additional measures need to be taken to implement direct payments?
If the partner elects to offer the option of direct payment to a participant, Strategic expects that partner to offer counseling to clients to address concerns related to tax withholding and impact on household benefits and to secure participant acknowledgment of having discussed them before sending out funds. Any recipient of $600 or more in direct cash assistance will also have to provide a signed W-9 as per federal law. There is no preferred method of direct financial assistance.
What percentage of households are Spanish speaking?
While the exact percentage of Spanish-speaking households is not known, it is significant. Preference will be given to proposers whose staffing plans reflect an ability to serve the Spanish-speaking population.
What happens at the end of the contract if some households are unable to be located?
Currently, the Strategic board has made no determination on the disposition of unused funds at the end of the grant period. Barring additional board action, Strategic would use any remaining funds to further its mission of developing affordable housing in the Travis County area.
Though there will be a cutoff date after which applications can no longer be received, Strategic prefers an extended application period to maximize the number of eligible households that benefit from the program. Proposers should recommend an application period in their submissions.
Note that assembling contact information will be the responsibility of our partners at CVR. The selected nonprofit partner will utilize that information to make outreach attempts to pre-identified households, including attempting multiple contact methods as needed.
What are the non-financial reporting requirements for RTIP program administration?
Strategic expects documentation of outreach attempts and payment receipts. If the identified partner intends to offer direct cash payments, Strategic also expects documentation of discussing concerns around that model regarding tax withholding, impact on benefits, and W-9 signing with recipients.
Due to the one-time nature of this program, Strategic is not requiring but would welcome client feedback regarding the success of the program. We also encourage an identified partner to conduct an internal review. Additional measures of success may proposed.
Who are CVR?
CVR (cvrassociates.com) is a national affordable housing consulting firm. CVR was involved in the later stages of relocation efforts at Rosemont at Oak Valley, and has existing relationships with tenants, BASTA, and Strategic HFC. They have been a partner in the planning of the Rosemont Tenant Investment Program and are assisting with compiling client contact information and confirming eligibility on an ongoing basis.
What if we currently receive funding from the City of Austin or Travis County to do similar work?
Because the source of funding for this project comes strictly from the sale of Rosemont by SHFC, and SHFC is not currently affiliated with the City of Austin or Travis County, these commitments do not raise an issue.
Is there any litigation happening or being planned surrounding the issues at Rosemont?
No.
Where is tenant information coming from?
Strategic has been identifying former households through historical rent rolls, which have been provided by Capstone Property Management.
Can you provide more context for the timeline you outlined (i.e. starting distribution of payments before the end of 2024, and the contract being no longer than 12 months)?
Our hope is to have initial payments sent out before the end of the year, though our broad communication has been that they will begin by early 2025. The final timeline may be negotiated based on the identified partner's needed time for project launch. Final payments should be made within 12 months or by the end of calendar 2025, whichever is sooner.
