The Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020 introduced crucial financial assistance programs, and among them, the Emergency Solutions Grant (ESG) program received a significant boost to address homelessness. This infusion of funds, known as ESG-CV, was designed to help communities prevent, prepare for, and respond to the coronavirus pandemic among individuals and families experiencing or at risk of homelessness. These grants also support broader efforts to combat homelessness and mitigate the pandemic’s far-reaching impacts.
The CARES Act allocated funds through a supplemental appropriation to the existing Homeless Assistance Grants under the Emergency Solutions Grant, authorized by the McKinney-Vento Homeless Assistance Act and further amended by the HEARTH Act. This demonstrates a clear commitment to leveraging established frameworks to quickly distribute aid where it was needed most during the crisis.
For example, the Commonwealth of Pennsylvania, through its Department of Community and Economic Development (DCED), received a substantial second allocation of ESG-CV funds totaling $19,930,907. This allocation was calculated using a new formula by the Department of Housing and Urban Development (HUD) that considered factors indicating current and potential homelessness, such as the total homeless population, the unsheltered homeless population, and the number of very low-income renters in overcrowded housing or without essential amenities.
A portion of Pennsylvania’s second round of ESG-CV funds, specifically $2,997,961, was strategically directed to a Code Blue program to provide essential winter sheltering during the 2020-2021 season. The remaining $16,932,946 was made available for broader applications aimed at tackling homelessness.
DCED’s utilization of ESG CARES funding prioritizes supporting applicants dedicated to rapidly and efficiently ending or preventing homelessness for vulnerable populations. This targeted approach underscores the program’s intent to provide immediate and impactful relief.
What Activities Are Covered Under the CARES Act Grant Program?
The ESG-CV grant program is designed to be flexible and comprehensive, allowing for a range of eligible activities. These activities align with the Emergency Solutions Grant Interim Rule and HUD Notice CPD 20-08, ensuring funds are used effectively to combat homelessness during the pandemic. Eligible uses include:
- Emergency Shelter: Providing safe and immediate shelter for individuals and families experiencing homelessness.
- Temporary Emergency Shelter: Expanding shelter capacity through temporary solutions to meet increased needs.
- Rapid Rehousing: Quickly moving homeless individuals and families into permanent housing with supportive services.
- Homelessness Prevention: Implementing strategies to prevent individuals and families at risk of homelessness from losing their housing.
- Landlord Incentives: Encouraging landlord participation in housing programs for homeless individuals and families.
- Street Outreach: Connecting with unsheltered homeless individuals to offer services and assistance.
- Hazard Pay: Providing additional compensation to frontline workers in homeless services during the pandemic.
- Homeless Management Information System (HMIS): Supporting data collection and management to improve services for the homeless population.
- Administration: Covering reasonable administrative costs associated with managing ESG-CV programs.
This broad range of eligible activities ensures that communities can tailor their approach to address their specific homelessness challenges in the context of the pandemic.
Who is Eligible to Apply for CARES Act Grant Funding?
The ESG-CV program has specific eligibility criteria to ensure funds are directed to effective organizations capable of addressing homelessness. DCED accepts applications from:
- General-purpose units of local government: This includes cities, boroughs, townships, towns, counties, home rule municipalities, and communities acting on behalf of other municipalities.
- Local governments applying “on behalf of” nonprofit organizations: Local governments can act as the primary applicant and partner with non-profit organizations to implement programs.
- Non-profit organizations for regional projects: Non-profits are eligible to apply directly, but only for projects demonstrating a regional need and serving multiple counties (defined by DCED as more than one county).
These eligibility guidelines prioritize established local government entities and experienced non-profit organizations with a proven capacity to deliver effective homelessness services.
Funding Details of the ESG-CV Program
The Cares Act Grant Program provides significant financial resources with flexible funding amounts.
- Minimum Funding: Applicants can request a minimum of $25,000.
- Maximum Funding: There is no maximum funding limit, allowing for substantial projects to address significant needs.
- Matching Funds: Crucially, no matching funds are required for ESG-CV awards, making it easier for eligible entities to access and utilize these resources.
This generous funding structure, without match requirements, reflects the urgency and scale of the homelessness challenges exacerbated by the pandemic.
Further Resources on the CARES Act Grant Program
For those seeking more detailed information, the following resources provide further guidance on the ESG-CV program:
These resources offer valuable insights into the program’s specifics, allowable activities, and application process, empowering potential applicants to effectively utilize the CARES Act grant program to address homelessness in their communities.
