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HomeMy WebLinkAboutE-4.1. Approve Grant Agreement with SGVMWD for COVID-19 Low Income COVID Assistance GrantCONSENT CALENDAR TO: HONORABLE CHAIRPERSON AND MEMBERS OF THE AZUSA UTILITY BOARD FROM: MANNY ROBLEDO, DIRECTOR OF UTILITIES DATE: APRIL 26, 2021 SUBJECT: APPROVE GRANT AGREEMENT WITH SAN GABRIEL VALLEY MUNICIPAL WATER DISTRICT FOR LOW-INCOME COVID ASSISTANCE GRANT PROGRAM BACKGROUND: The San Gabriel Valley Municipal Water District (SGVMWD) has authorized a grant not-to- exceed $100,000 to be disbursed to the City of Azusa for the purpose of providing assistance to low-income water customers that have been financially impacted by the COVID-19 pandemic. The proposed action will approve the Grant Agreement and allow for funds to be received by Azusa Light & Water for this program. RECOMMENDATION: Staff recommends the Utility Board take the following action: 1) Approve the Grant Agreement with the San Gabriel Valley Municipal Water District in the amount of $100,000 for the low-income COVID Assistance Grant Program; and 2) Authorize the Director of Utilities to execute the Grant Agreement, in a form acceptable to the City Attorney. ANALYSIS: The City of Azusa is one of four cities that established the San Gabriel Valley Municipal Water District. SGVMWD is one of twenty nine (29) state water contractors, whose mission is to provide supplemental state project water to its member agencies. At the March 8, 2021 board meeting, the SGVMWD Board of Directors authorized the disbursement of a grant not-to-exceed E-4Approved Utility Board 4/26/21 Approve SGVMWD Grant July 20, 2020 Page 2 $100,000 to Azusa Light & Water, to provide assistance to low-income water customers that have been financially impacted by the pandemic. In response to the economic hardship that many water utility residents have suffered as a result of the COVID-19 pandemic, SGMVWD has designated funds to member cities to provide financial relief. The Azusa Light & Water Consumer Service Division has created the COVID-19 Water Bill Assistance Relief Program that will provide a one-time bill credit in the amount of $100 to customers that have been financially impacted by the pandemic. These funds will enable the utility to provide assistance to up to 1,000 low-income water customers through October 31, 2021. There are currently over 800 water accounts with a 60 day or greater arrears balance. The average arrears balance on these accounts is $150. FISCAL IMPACT: The fiscal impact of accepting this grant is up to $100,000 revenue to the Neighborhood Assistance Program Fund (50-00-000-621-2719) for assistance that will be disbursed through the low-income COVID Assistance Grant Program. Prepared by: Reviewed and Approved: Alicia Holmes Manny Robledo Assistant Director of Utilities - Customer Care & Solutions Director of Utilities Reviewed and Approved: Sergio Gonzalez City Manager Attachment: 1) SGVMWD Grant Agreement