Second Regular Session Seventy-third General Assembly STATE OF COLORADO ENGROSSED This Version Includes All Amendments Adopted on Second Reading in the House of Introduction LLS NO. 22-1000.01 Shelby Ross x4510 HOUSE BILL 22-1378 House Committees Senate Committees Transportation & Local Government Appropriations A BILL FOR AN ACT C ONCERNING THE DENVER-METROPOLITAN REGIONAL NAVIGATION101 CAMPUS GRANT TO ADDRESS HOMELESSNESS, AND, IN102 CONNECTION THEREWITH , MAKING AN APPROPRIATION .103 Bill Summary (Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov .) The bill directs the division of housing in the department of local affairs (division) to award a grant to a local government in the Denver metropolitan area or a community partner in conjunction with a local government in order to build or acquire, and then facilitate, a regional navigation campus to respond to and prevent homelessness. HOUSE Amended 2nd Reading April 28, 2022 HOUSE SPONSORSHIP Jodeh and Sullivan, SENATE SPONSORSHIP Coleman and Hansen, Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment. Capital letters or bold & italic numbers indicate new material to be added to existing statute. Dashes through the words indicate deletions from existing statute. The bill requires the division, in collaboration with the department of human services and the behavioral health administration in the department of human services, to establish the application requirements, review applications, select a grant recipient, and ensure the grant is only awarded after a fair and rigorous open competition among eligible applicants. The bill creates the regional navigation campus cash fund and requires the state treasurer to transfer $50 million from the economic recovery and relief cash fund to the regional navigation campus cash fund on July 1, 2022. Be it enacted by the General Assembly of the State of Colorado:1 SECTION 1. Legislative declaration. (1) The general assembly2 finds and declares that:3 (a) On March 11, 2021, the federal government enacted the4 "American Rescue Plan Act of 2021" (ARPA), Pub.L. 117-2, pursuant to5 which Colorado has received $3,828,761,790 from the federal6 coronavirus state fiscal recovery fund (SFRF) to be used for certain7 specified purposes;8 (b) These specified purposes include providing programs,9 services, or other assistance for populations disproportionately impacted10 by the COVID-19 pandemic. More specifically, federal regulations and11 United States treasury guidance construing the allocation of the SFRF12 identify a nonexclusive list of uses that address the disproportionate13 negative economic effects of the COVID-19 pandemic, including14 building stronger communities through investments in housing and15 neighborhoods. Services in this category alleviate the immediate16 economic impact of the COVID-19 pandemic on housing insecurity while17 addressing conditions that contributed to poor public health and economic18 outcomes during the pandemic, namely concentrated areas with limited19 economic opportunity and inadequate or poor-quality housing.20 1378-2- (c) Under these regulations, SFRF money may be used for1 programs or services that address housing insecurity, lack of affordable2 and workforce housing, or homelessness;3 (d) As the federal department of housing and urban development4 stated, the COVID-19 pandemic has exacerbated our nation's already5 severe housing affordability crisis;6 (e) Today, one in 5 renters are behind on rent and just over 107 million homeowners are behind on mortgage payments, and people of8 color face even greater hardship and are more likely to have deferred or9 missed payments, putting them at greater risk of eviction and foreclosure;10 (f) At the same time, our nation's homelessness crisis has11 worsened during the pandemic as people experiencing homelessness are12 highly vulnerable to COVID-19 transmission, illness, and severity due to13 their use of congregate shelters and their high prevalence of underlying14 health conditions;15 (g) Colorado is no exception, as COVID-19 has been hitting low-16 and extremely low-income individuals and families who were already17 severely cost-burdened especially hard, increasing their risk of18 experiencing homelessness or inability to resolve their homelessness;19 (h) In the Denver metropolitan area, shelters saw a 99% increase20 in people experiencing homelessness for the first time between January21 2020 and January 2021. The number of deaths due to overdose among22 people experiencing homelessness in Denver county increased by 34%23 from 2020 to 2021, highlighting the need for joint efforts to address24 substance use disorders among those experiencing homelessness.25 (i) There is currently a lack of both transitional and supportive26 housing and lack of access to specialty care, particularly for people with27 1378 -3- complex needs. Persons experiencing homelessness face many challenges1 in accessing long-term treatment of chronic illness and are far more likely2 to receive care in emergency departments. Without trained and dedicated3 providers or advocates, unhoused individuals often end up in a cycle of4 expensive treatment with little to no follow-up.5 (2) Therefore, the general assembly finds and declares it is within6 the interest of the state to create a regional campus for individuals7 experiencing homelessness to help alleviate the need that has been8 exacerbated by the COVID-19 pandemic.9 SECTION 2. In Colorado Revised Statutes, add 24-32-726 as10 follows:11 24-32-726. Denver-metropolitan regional navigation campus12 grant - regional navigation campus cash fund - creation - definitions.13 (1) A S USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE14 REQUIRES:15 (a) "C OMMUNITY PARTNER" MEANS A NONPROFIT ORGANIZATION16 THAT UNDERTAKES ANY OF THE ACTIVITIES DESCRIBED IN SUBSECTION (3)17 OF THIS SECTION.18 (b) "L OCAL GOVERNMENT " MEANS THE CITY AND COUNTY OF19 D ENVER, ADAMS COUNTY, ARAPAHOE COUNTY, JEFFERSON COUNTY,20 D OUGLAS COUNTY, THE CITY AND COUNTY OF BROOMFIELD, THE21 D ENVER REGIONAL COUNCIL OF GOVERNMENTS, OR A MUNICIPALITY22 LOCATED WITHIN ONE OF THOSE COUNTIES .23 (2) A LOCAL GOVERNMENT OR LOCAL GOVERNMENTS APPLYING24 TOGETHER OR A COMMUNITY PARTNER IN CONJUNCTION WITH ONE OR25 MORE LOCAL GOVERNMENTS MAY SUBMIT AN APPLICATION FOR A GRANT26 TO THE DIVISION IN ACCORDANCE WITH POLICIES , PROCEDURES, AND27 1378 -4- GUIDELINES ADOPTED BY THE DIVISION IN ORDER TO BUILD OR ACQUIRE ,1 AND THEN FACILITATE, A REGIONAL NAVIGATION CAMPUS IN THE DENVER2 METROPOLITAN AREA TO RESPOND TO AND PREVENT HOMELESSNESS . THE3 DIVISION, IN COLLABORATION WITH THE DEPARTMENT OF HUMAN SERVICES4 AND THE BEHAVIORAL HEALTH ADMINISTRATION IN THE DEPARTMENT OF5 HUMAN SERVICES, SHALL ESTABLISH THE APPLICATION REQUIREMENTS ,6 WHICH MUST INCLUDE A PLAN BY WHICH THE APPLICANT INTENDS TO7 SUSTAIN FUNDING THE REGIONAL NAVIGATION CAMPUS AFTER THE GRANT8 PERIOD ENDS.9 (3) E ACH APPLICANT SHALL DEMONSTRATE HOW THE APPLICANT10 PLANS TO BUILD OR ACQUIRE , AND THEN FACILITATE, A NAVIGATION11 CAMPUS THAT MAY INCLUDE , BUT IS NOT LIMITED TO, THE FOLLOWING:12 (a) S ERVICES FOR BEHAVIORAL HEALTH , MENTAL HEALTH, AND13 SUBSTANCE USE DISORDERS, INCLUDING A CONTINUUM OF BEHAVIORAL14 HEALTH SERVICES AND TREATMENT ;15 (b) M EDICAL CARE, INCLUDING DENTAL CARE;16 (c) T RANSITIONAL HOUSING;17 (d) P ERMANENT SUPPORTIVE HOUSING ;18 (e) E MERGENCY SHELTER;19 (f) R ECOVERY-ORIENTED SERVICES AND CARE;20 (g) V OCATIONAL REHABILITATION AND EMPLOYMENT SKILLS21 TRAINING WITH THE REQUISITE SUPPORTIVE SERVICES THAT SUPPORT22 THOSE INITIATIVES;23 (h) A SSISTANCE ENROLLING ELIGIBLE INDIVIDUALS INTO PUBLIC24 ASSISTANCE BENEFITS PROGRAMS ; 25 (i) SERVICES FOR INDIVIDUALS EXITING OTHER RESIDENTIAL26 FACILITIES OR PROGRAMS AND WHO ARE AT RISK OR IMMINENTLY AT RISK27 1378 -5- OF EXPERIENCING HOMELESSNESS ; AND1 (j) OTHER SUPPORTIVE SERVICES INCLUDING, BUT NOT LIMITED TO,2 TRANSPORTATION, CASE MANAGEMENT, LIFE SKILLS TRAINING, AND OTHER3 SUPPORTIVE SERVICES DESCRIBED IN 42 CFR 578.53 AND OTHERS4 DETERMINED BY THE DIVISION.5 (4) I N SELECTING A GRANT RECIPIENT , THE DIVISION, IN6 COLLABORATION WITH THE DEPARTMENT OF HUMAN SERVICES AND THE7 BEHAVIORAL HEALTH ADMINISTRATION IN THE DEPARTMENT OF HUMAN8 SERVICES, SHALL CONSIDER:9 (a) A N APPLICANT'S COMMITMENT TO REGIONAL AND10 TRANSFORMATIONAL PROJECTS THAT ADDRESSES HOMELESSNESS ;11 (b) A N APPLICANT'S COMMITMENT TO PROVIDING WRAPAROUND12 SERVICES FOR THE RESIDENTS AT THE SUPPORTIVE RESIDENTIAL CAMPUS ;13 (c) T HE IMPACT OF THE PROPOSED NAVIGATION CAMPUS IN THE14 COMMUNITY WHERE IT WILL BE LOCATED AND IN THE15 D ENVER-METROPOLITAN REGION AS A WHOLE ; AND16 (d) T HE ABILITY OF THE APPLICANT TO MANAGE THE LOCATION17 AND DETERMINE LONG-TERM OPERATIONAL COSTS AND SUSTAINABILITY .18 (5) I N ADOPTING POLICIES, PROCEDURES, AND GUIDELINES, THE19 DIVISION SHALL COLLABORATE WITH THE DEPARTMENT OF HUMAN20 SERVICES AND THE BEHAVIORAL HEALTH ADMINISTRATION IN THE21 DEPARTMENT OF HUMAN SERVICES TO CREATE A PROCESS THAT ENSURES22 THE GRANT IS ONLY AWARDED AFTER A FAIR AND RIGOROUS OPEN23 COMPETITION AMONG ELIGIBLE APPLICANTS . THE DIVISION SHALL REVIEW24 APPLICATIONS AND SELECT THE GRANT RECIPIENT IN COLLABORATION25 WITH PARTNERING AGENCIES.26 (6) T HE DIVISION, GRANT RECIPIENT, OR ANY OTHER PERSON WHO27 1378 -6- RECEIVES MONEY FROM THE DIVISION PURSUANT TO THIS SECTION SHALL1 COMPLY WITH THE COMPLIANCE , REPORTING, RECORD-KEEPING, AND2 PROGRAM EVALUATION REQUIREMENTS ESTABLISHED BY THE OFFICE OF3 STATE PLANNING AND BUDGETING AND THE STATE CONTROLLER IN4 ACCORDANCE WITH SECTION 24-75-226 (5).5 (7) O N JULY 1, 2022, THE STATE TREASURER SHALL TRANSFER6 FIFTY MILLION DOLLARS FROM THE ECONOMIC RECOVERY AND RELIEF7 CASH FUND, CREATED IN SECTION 24-75-228, THAT ORIGINATES FROM THE8 MONEY THE STATE RECEIVED FROM THE FEDERAL CORONAVIRUS STATE9 FISCAL RECOVERY FUND, TO THE REGIONAL NAVIGATION CAMPUS CASH10 FUND FOR THE PURPOSES OF THIS SECTION. THE DIVISION MAY EXPEND UP11 TO TEN PERCENT OF THE MONEY APPROPRIATED OR TRANSFERRED TO THE12 FUND TO PAY FOR ITS DIRECT AND INDIRECT COSTS IN ADMINISTERING THE13 GRANT. ALL ADMINISTRATIVE COSTS MUST BE PAID OUT OF THE MONEY14 TRANSFERRED TO THE FUND PURSUANT TO THIS SUBSECTION (7).15 (8) (a) T HE REGIONAL NAVIGATION CAMPUS CASH FUND , REFERRED16 TO IN THIS SECTION AS THE "FUND", IS CREATED IN THE STATE TREASURY.17 T HE FUND CONSISTS OF MONEY TRANSFERRED TO THE FUND PURSUANT TO18 SUBSECTION (7) OF THIS SECTION AND ANY OTHER MONEY THAT THE19 GENERAL ASSEMBLY MAY APPROPRIATE OR TRANSFER TO THE FUND .20 (b) T HE STATE TREASURER SHALL CREDIT ALL INTEREST AND21 INCOME DERIVED FROM THE DEPOSIT AND INVESTMENT OF MONEY IN THE22 FUND TO THE FUND . EXCEPT AS OTHERWISE REQUIRED BY THIS23 SUBSECTION (8)(b), ALL MONEY NOT EXPENDED OR ENCUMBERED , AND24 ALL INTEREST EARNED ON THE INVESTMENT OR DEPOSIT OF MONEY IN THE25 FUND, REMAINS IN THE FUND AND DOES NOT REVERT TO THE GENERAL26 FUND OR ANY OTHER FUND AT THE END OF ANY FISCAL YEAR . THE MONEY27 1378 -7- IN THE FUND IS CONTINUOUSLY APPROPRIATED TO THE DEPARTMENT OF1 LOCAL AFFAIRS FOR USE BY THE DIVISION FOR THE PURPOSES OF THIS2 SECTION.3 (c) FOR STATE FISCAL YEAR 2022-23, THE GENERAL ASSEMBLY4 SHALL APPROPRIATE MONEY FROM THE FUND TO THE DEPARTMENT OF5 HUMAN SERVICES FOR THE IMPLEMENTATION OF THIS SECTION .6 (d) THE GRANT RECIPIENT SHALL EXPEND OR OBLIGATE ANY7 MONEY RECEIVED PURSUANT TO THIS SECTION NO LATER THAN DECEMBER8 30, 2024. ANY MONEY THE GRANT RECIPIENT OBLIGATES MUST BE9 EXPENDED NO LATER THAN DECEMBER 30, 2026.10 SECTION 3. In Colorado Revised Statutes, 24-75-402, amend11 (5)(tt) and (5)(uu); and add (5)(vv) as follows:12 24-75-402. Cash funds - limit on uncommitted reserves -13 reduction in the amount of fees - exclusions - repeal.14 (5) Notwithstanding any provision of this section to the contrary, the15 following cash funds are excluded from the limitations specified in this16 section:17 (tt) The community impact cash fund created in section 25-7-12918 (1); and 19 (uu) The 988 crisis hotline cash fund created in section 27-64-104;20 AND21 (vv) T HE REGIONAL NAVIGATION CAMPUS CASH FUND CREATED IN22 SECTION 24-32-726.23 SECTION 4. Appropriation. (1) For the 2022-23 state fiscal24 year, $44,557 is appropriated to the department of human services for use25 by the behavioral health administration. This appropriation is from funds26 transferred from the division of housing in the department of local affairs27 1378 -8- from the regional navigation campus cash fund created in section1 24-32-726 (8)(a), C.R.S., that originates from the money the state2 received from the federal coronavirus state fiscal recovery fund, and is3 based on an assumption that the administration will require an additional4 0.4 FTE. To implement this act, the administration may use this5 appropriation for program administration.6 SECTION 5. Safety clause. The general assembly hereby finds,7 determines, and declares that this act is necessary for the immediate8 preservation of the public peace, health, or safety.9 1378 -9-