St. Joseph County Housing Consortium

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II. Program Overview & Objectives The Emergency Solutions Grant (ESG) is a formula grant allocated by HUD according to population and other demographic factors to eligible jurisdictions nationwide. As a result of HEARTH Act changes, the City has established three separate eligible ESG program areas: 1. ESG Shelter Program 2. ESG Rapid Re-housing/Homeless Prevention program 3. ESG Outreach Program The ESG program is designed as the first step in the continuum of assistance to prevent homelessness and to enable the homeless population to move steadily toward independent living. The Coordinated Entry model is based on the understanding that homelessness is not caused by simply a lack of shelter, but involves a variety of underlying needs. The fundamental components of the Coordinated Entry system are: Outreach and assessment to identify homeless person's needs; Immediate shelter as a safe,decent alternative to the streets; Transitional housing with appropriate supportive services; and Permanent housing or permanent supportive housing for the disabled homeless. 2.1 - Priority Levels for Funding In order to increase the percentage of homeless persons moving from transitional housing to permanent housing,HUD requires that the maximum allowed for shelter operations will be sixty percent (60%) of the total available annual allocation for the payment of certain operating and social service expenses in connection with emergency shelter for the homes. The Consortium has decided the balance is to be split between the administration cost,with a maximum of five percent(5%)of the total annual allocation;and the remainder thirty-five percent (35%) will be reserved for rapid re-housing. Funding allocations may be changed due to extenuating circumstances in order to meet the expenditure deadlines set by HUD, however, that will be at the discretion of the City and will only be approved on a case-by- case basis. City of South Bend - ESG Policies and Procedures Manual - 6