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A resolution appropriating a total of $1,500,000 to The Hospitality Hub of Memphis and amending an interim housing services grant contract between the Metropolitan Government of Nashville and Davidson County, acting by and through the Office of Homeless Services, and The Hospitality Hub of Memphis to increase the grant amount for the operation of interim housing and case management services at 95 Wallace Road, Nashville, Tennessee, 37211.
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WHEREAS, Section 7-3-314 of the Tennessee Code Annotated states that metropolitan forms of government may provide financial assistance to nonprofit organizations in accordance with the guidelines of the Metropolitan Government; and,
WHEREAS, Section 5.04.070 of the Metropolitan Code of Laws provides that the Council may, by Resolution, appropriate funds for the financial aid of nonprofit organizations; and,
WHEREAS, Resolution No. RS2022-1699 appropriated a total of $7,000,000 in American Rescue Plan Act (“ARPA”) funds to the Homeless Impact Division of Metropolitan Social Services to establish a low barrier housing collective and to fund competitive grants for support services; and,
WHEREAS, the Metropolitan Council passed Resolution No. RS2025-973, pursuant to which the Metropolitan Government appropriated a total of $2,469,671 of ARPA funds to The Hospitality Hub of Memphis and approved an interim housing services grant contract for the operation of interim housing and case management services at 95 Wallace Road, Nashville, Tennessee, 37211; and,
WHEREAS, pursuant to the rules of the U.S. Department of the Treasury, all ARPA funds must first be obligated by December 31, 2024, and such obligated funds must then be expended by December 31, 2026, or such unqualified funds must be returned to the federal government; and
WHEREAS, in accordance with guidance issued by the U.S. Treasury, the Metropolitan Council passed RS2024-864, entering into memorandums of understanding containing certain conditions regarding the use of ARPA Funds by and between departments and agencies within the Metropolitan Government to satisfy the requirement to obligate the funds; and,
WHEREAS, such a memorandum of understanding was entered into with the Office of Homeless Services making available a total of $18,825,649.53 of ARPA funds for the purposes described in prior appropriations, including Resolution No. RS2022-1699, for a low barrier housing collective and competitive grants for support services: and,
WHEREAS, the Office of Homeless Services seeks to appropriate $1,500,000 from those obligated ARPA funds to increase the grant amount to The Hospitality Hub of Memphis, bringing the maximum liability under the contract to $3,969,671, for the operation of interim housing and case management services at 95 Wallace Road, Nashville, Tennessee, 37211; and,
WHEREAS, in accordance with the terms of the grant contract, amendments to the grant contract must be in writing and passed by resolution of the Metropolitan Council; and,
WHEREAS, it is to the benefit of the citizens of The Metropolitan Government of Nashville and Davidson County that these funds be appropriated to The Hospitality Hub of Memphis and that Amendment No. 1 to an interim housing services grant contract by and between the Metropolitan Government of Nashville and Davidson County, acting by and through the Office of Homeless Services, and The Hospitality Hub of Memphis, for the operation of interim housing and case management services at 95 Wallace Road, Nashville, Tennessee, 37211, be approved.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY:
Section 1. There is hereby appropriated One Million Five Hundred Thousand Dollars ($1,500,000) from the Metropolitan Government, acting by and through the Office of Homeless Services, to The Hospitality Hub of Memphis, bringing the maximum liability under the contract to Three Million Nine Hundred Sixty Nine Thousand Six Hundred Seventy One Dollars ($3,969,671) for the operation of interim housing and case management services at 95 Wallace Road, Nashville, Tennessee, 37211.
Section 2. The Metropolitan Government is hereby authorized to amend the grant contract, attached hereto and incorporated herein, with The Hospitality Hub of Memphis for the amount provided herein and the purposes stated herein.
Section 3. That this Resolution shall take effect from and after its adoption, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.
Agenda Analysis
Analysis
This resolution appropriates $1,500,000 to The Hospitality Hub of Memphis. The resolution also amends an interim housing services grant contract between the Office of Homeless Services (“OHS”) and The Hospitality Hub of Memphis for the operation of interim housing and case management services at 95 Wallace Road in Nashville.
The contract approved by Resolution No. RS2025-973 states that The Hospitality Hub of Memphis provides case management, resource referral, and housing navigation for 80 to 120 residents of 95 Wallace Road. These services include engaging residents of encampments selected by the Continuum of Care Prioritization team for housing surges, as well as onboarding encampment residents into interim housing as specified by OHS. The Hospitality Hub of Memphis was previously appropriated $2,469,671 for this work.
The proposed appropriation would be allocated from remaining American Rescue Plan Act (“ARPA”) funds. Through Resolution No. RS2022-1699, the Metropolitan Council previously appropriated $7,000,000 in American Rescue Plan Act (“ARPA”) funds to the Homeless Impact Division of Metropolitan Social Services to establish a low barrier housing collective and fund competitive grants for support services. The Council later approved a memorandum of understanding between the Department of Finance and the Office of Homeless Services through Resolution No. RS2024-864 that made available $18,825,649.53 of ARPA funds for a low barrier housing collective and competitive grants for support services. The Office of Homeless Services seeks to appropriate $1,500,000 from those obligated ARPA funds to increase the grant amount to The Hospitality Hub of Memphis.
The proposed amendment extends the contract term to June 30, 2026, and updates the grant exhibit to reflect the additional appropriation of $1,500,000.
Tennessee Code Annotated section 7-3-314 states that metropolitan forms of government may provide financial assistance to nonprofit organizations in accordance with the guidelines of the Metropolitan Government. Metropolitan Code of Laws section 5.04.070 provides that the Council may appropriate funds for the financial aid of nonprofit organizations by resolution.