San Marcos Corridor News obtained all information in the following article from two independent anonymous sources.
A local organization, Together for a Cause, has neglected to provide payment amounting to over $27,000 to three San Marcos hotels for a GAP Transitional Housing Program (GAP). The company claims it will pay the amount owed if they receive a grant from the city. Together for a Cause was denied CDBG grant funding last month. However, the city is looking at giving Together for a Cause grant money of up to $200,000 from other funding sources.
But according to Together for a Cause’s CDBG application, all $85,000 requested in the grant will be used for salaries and benefits for the GAP Program Manager/Case Worker and Finance Manager.
Chetna Patel and Aayush Nagar, owners of three hotels in San Marcos: The Classic Inn, the Budget Inn, and the Executive Inn, began working with non-profits during COVID-19 to help provide shelter to individuals impacted by the pandemic or who have medical needs. The owners have voiced concerns about how they will be reimbursed the $27,385 local organization Together for a Cause owes and if the money will be provided through a grant from the City of San Marcos.
“We do have concerns about the way things have been handled by some of the non-profit groups we have worked with and we have concerns about a lack of communication from city staff, especially regarding a grant that is being considered for a program that would be operating at our motel,” the owners of the hotels wrote in a letter to The City of San Marcos.
In October 2020, Roland Saucedo, Board Member with the Salvation Army, approached the hotels’ owners about creating a Memorandum Of Understanding (MOU) with the Salvation Army for emergency motel stays.
According to the letter, the Salvation Army chose to release individuals from their emergency motel program in February during the snowstorm because there were “not sufficient funds for them to continue to house individuals.” Since several more days of freeze remained, the non-profit HOME Center took over the guest’s bills to keep people sheltered from the storm.
The Salvation Army never paid for extensive damages caused by guests staying in the hotel during the freeze. The hotels billed the Salvation Army for their guests, and some payments were not received until March when the hotel staff contacted Salvation Army headquarters in Dallas about the payment. At that time, the hotel owners were informed that Salvation Army District Manager Anthony Torres had not turned in the billing information for the vouchers.
Around mid-June, the hotel owners contacted the Salvation Army’s Dallas Headquarters due to not receiving payment for hotel stays since February for the GAP program managed by Saucedo. Will Hale, Divisional Director of Development for the Dallas Headquarters, informed them that the GAP program does not exist, was never authorized by the Salvation Army, and Anthony Torres was terminated for setting up the unauthorized program.
After the Salvation Army ended the unauthorized GAP program, Saucedo approached the hotels and said that the Salvation Army was at fault for the problems that occurred. He then stated that his non-profit, Together for a Cause, would manage the GAP program in the future.
According to their website, “Together For A Cause Inc.’s mission is to perform charitable services to the residence of Hays County by providing community events and fundraising events. We also provide services to the citizens of Hays County to help improve the quality of life, increase educational opportunities, promote leadership, increase the sense of culture and community.”
“He informed us that Together for a Cause has existed for many years, was an established non-profit with a 501c3, and that he would be receiving grant money from the city to pay for funding for up to 30 individuals,” the hotel owners stated in the letter.
The hotel owners have not signed an MOU with Together for a Cause yet or received adequate documentation about the program. They also expressed concern that Anthony Torres would be managing the GAP program and funds for the GAP program, which is what led to his termination from the Salvation Army.
The hotels have not been reimbursed consistently from Together for a Cause. One of the payments made towards guest stays was paid for by Saucedo with a credit card under another person’s name (Albert Vargas, founder of Together for a Cause) and said that the credit card “belonged to one of his benefactors.” The hotels were also responsible for covering the credit card fees.
“Although guests were paying Roland Saucedo money for Together for a Cause, no payment was submitted to the motel for the hotel stays. We have not received payment consistently for hotel stays for their clients,” the letter says.
According to the letter, Saucedo agreed to pay off all pending bills by check by August 3, but no payments were made. The hotel staff then asked for payment by August 5, where Saucedo said he would provide the owed amount but threatened to move the guests to another motel. As of September 2, no payment has been made and Saucedo has asked for an extension until September 7 when the city will inform him if Together for a Cause qualifies for a grant application.
In Together for a Cause’s application for the grant (below), it states they have received $15,500 from an anonymous benefactor. According to several sources, the anonymous benefactor is Mayor Jane Hughson and is an open secret within the city. Additionally, the local motels never received any portion of the $15,500.
According to the CDBG application, Together for a Cause is asking for $85,000 in total grant funding; $70,000 toward salary, and $15,000 towards fringe benefits for a GAP Program Manager/Case Worker and Finance Manager. None of the grant funding requested is allocated to assist in GAP housing payments.
Screenshot of Together for a Cause CDBG application.
The hotel owners contacted Carol Griffin, Housing and Community Development Manager for the City of San Marcos, to verify that Together for a Cause would make the payment on September 7. Griffith responded that the organization Together for a Cause was not, in fact, a non-profit or registered 501c3, so Saucedo may not qualify for the grant.
Griffith responded on August 25 that she is working on the terms of the contract with Together for a Cause where “the per-room rate that will be paid by the grant to the motel for one person is $45 per night, and for two or more people is $60 per night.”
In the letter, the hotel owners said they would be open to working with the city and Together for a Cause if they can work out the current misunderstandings and determine how payment for the program will be made.
Together for a Cause has not responded to multiple attempts to contact them as of the publication of this article.
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CDBG
2021
Public
Services
Application
Page
1
Due
Date:
June
18,
2021
C
ITY
OF
S
AN
M
ARCOS
2019
CDBG
P
UBLIC
S
ERVICES
A
PPLICATION
I.
A
PPLICANT
C
ONTACT
I
NFORMATION
Applicant
Organization:
Together
for a Cause,
Inc.
Contact
Name:
Roland Saucedo
Mailing
Address:
326 N. LBJ Drive, San Marcos, TX 78666
Telephone:
512
-938
-2596
Physical
Address,
if different
from
mailing
address:
Contact
E-
Mail Address:
rolishadiva@gmail.org
Web
Address:
www.togetherforacause.org
Who
is authorized
to execute
program
documents?
Roland
Saucedo
II.
A
PPLICATION
S
UMMARY
I
NFORMATION
Project Name:
Transitional Housing Program
Amount
of CDBG
Funds
Requested:
$ 85,000
Project
Location:
San
Marcos, Hays
County
Will
all
CDBG
funds
for
this
project
be
expended
by
July
15,
2021?
Yes
X
No
0%-funds
If “No”,
what
percent
is expected
to be
completed
by
that
date?
avail.10/1
CDBG
2021
Public
Services
Application
Page
2
III.
P
ROJECT
D
ESCRIPTION
P
ROGRAM
S
UMMARY
Briefly
summarize
the
program
for
which
CDBG
funding
has
been
requested.
The
GAP Transitional Housing Program (GAP) provides assistance for people in crisis (e.g. unemployed, recently released from jail
or prison, victims of domestic violence, recovering from illness or chemical dependency, citizens and veterans with mental he
alth
issues) and are in need of transitional housing. Transitional housing is provided for a limited time (from 2 weeks to 6 months
) through
a partnership with a local motel chain. By providing temporary housing for a longer term than emergency shelters, the GAP program
provides assistance long enough for those who are struggling to "get back on their feet". Program staff will work with local
low
-income apartment complexes and the local Housing Authority to secure permanent housing for the client while providing support
services designed to help clients to secure employment, apply for public assistance when applicable and gain necessar
y life skills
that will foster self
-sufficiency.
Although there is not a fee for clients to participate, they are required to contribute a co-pay toward their monthly expenses while
participating in the program.
The co-pay amount and the number of months the co-pay is required is dependent on the client's
financial situation and their ability to pay.
The average co-pay is $400 per month for two to four months.
During their GAP lodging,
clients are required to open and maintain a savings account to serve as their emergency relief fund to prevent them from returning to
their current situation in the future.
Upon entry, a case manager will 1) conduct an assessment and write an individualized service plan for each client, entering into an
agreement that
outlines
services
to be
rendered,
goals for
the client
including
a timeline
and the
expectations
of each
party (the
client and case manager), and 2) monitor the client's progress, ensuring that the plan is followed and goals are achieved in a timely
manner.
Client
s are responsible for maintaining communication with the case manager or another representative of the organization
on a weekly basis.
Services rendered will be aligned with program goals.
Non
-compliance with rules and regulations of the program
will resul
t in the client's immediate exit from the program.
U
SE
OF
F
UNDS
How
will
the
funds
be
used?
All CDBG funding will be used for salaries and benefits for the GAP Program Manager/Case Worker and Finance Manager.
A
CCOMPLISHMENTS
Once
the
project
is completed,
how
can
its
success
be
measured?
100% of clients will participate in life skills and budgeting workshops.
100% of clients who are parents of children under 7 or mothers
-to
-be will be fererred to First Choice for parenting courses and will
attend.
90% of clients will exit the program into a permanent, affordable housing situation.
85% of clients who are placed in a permanent apartment will maintain housing on their own for at least one year.
Success is achieved when a client "graduates" by completing their service plan and exits the program with affordable permanent
housing, a job (if able to work), a savings account with some funds, appropriate benefits (if applicable) and life skills nec
essa
ry for
self
-sufficiency.
CDBG
2021
Public
Services
Application
Page
3
T
YPE
OF
P
UBLIC
S
ERVICE
(choose
all
that
apply)
05A
S
enior
Services
X
05B
Handicapped
Services
05C
L
egal
Services
05D
Youth
Services
X
05E
Transportation
Services
X
05G
Battered
and
Abused
Spouses
Services
X
05F
Substance Abuse
Services
X
05H
Employment
Training
05I
C
rime
Awareness
X
05J
Fair
Housing
Activities
0
5K
Tenant/Landlord
Counseling
05L
Child
Care
Services
X
05M
Health
Services
X
05O
Mental
Health
Services
X
05Q
Subsistence
Payments
X
05N
Abused
and
Neglected
Children
Services
05P
Screening
for
Lead
Paint/Lead
Hazards
X
05R
Homeownership
Assistance
(Not
Direct)
Transitional Housing for the homeless & people displaced due to COVID
-19; assistance finding affordable
Other:
housing
P
ROGRAM
I
NFORMATION
1.
Program
eligibility
(please
select
one):
a.
X
This
is a
new
program.
b.
This
is an
existing
program
that:
(select
one
of the
following)
H
as previously received CDBG funding and the amount requested for this year is the same or less than
previous
funding;
or
will expand to serve more beneficiaries or to provide more services if the CDBG funding as requested is
approved.
Please attach an analysis that details how the program or service will be expanded, how many new
beneficiaries
will be
served
by the
expansion,
and
how
this
number
was
determined.
2.
Programs
receiving
funding
from
the
City
at this
time
(during
the
current
program
year):
N/A
a.
How
much
CDBG
funding
was
awarded?
N/A
b.
Is this
program
receiving
any
other
City
of San
Marcos
sources?
N/A
c.
If yes,
how
much
was
received
and
from
what
source?
X
3.
Is there a
fee
to clients
to participate
in the
program?
Yes
No
If yes,
please
provide
fee
structure.
8:00A
- 5:00P, Monday through Friday; with 24 hour on
-call
4.
Describe
the
days
and
hours
of operation
of the
program:
X
CDBG
2021
Public
Services
Application
Page
4
N
EED
AND
J
USTIFICATION
Describe
the
need
for
this
program.
Homelessness in America is a difficult and complex problem. The primary causes of homelessness, according to researchers, are
1)
lack of affordable housing, 2) poverty, 3) unemployment, 4) mental illness and lack of needed services, 5) substance abuse and lack
of needed services, 6) lack of affordable healthcare, 7) chronic health conditions, 8) domestic violence, 9) family conflict, 10) a jail or
prison stay, and 11) PTSD.
In January 2020, there were 102 individuals in San Marcos who were experiencing homelessness.
48%
were unsheltered and 23% were in emergency shelters or transitional housing (H.O.M.E. Center, 2020 P.I.T). The prob
lem of
homelessness has been exacerbated by the COVID
-19 pandemic.
Unemployment rates skyrocketed during the pandemic and there
has been a major increase in hospitalizations due to COVID with many people who contracted the disease still experiencing ongoin
g
COVID
-related health problems.
A prolonged illness can result in job loss and exorbitant hospital bills which can lead to
homelessness.
Although
2021
P.I.T
numbers
are
not
available
for
San
Marcos
at this
time,
we
know
that
the
numbers
have
incresed since 2020 and with Austin's recent camping ban, the staff of the Southside Community Center anticipates an influx of
people from the Austin area coming to their shelter for help.
Research has shown that public assistance alone is not the answer
because homeless people experience various problems that keep them from accessing these services (e.g. no permanent address,
no place to store or refrigerate the food purchased with their Lone Star card, communication difficulties, lack of transporation to
attend required appointments, etc.). To meet the needs of the homeless community and help get them "back on their feet", it w
ill take
an approach like the one proposed by the Transitional Housing Program which combines affordable housing with support servi
ces
that help individuals maintain housing stability.
THP embraces the philosophy of Housing First programs, prioritizing permanent
housing, thereby ending the client's homelessness, making way for them to set and meet their goals of self
-sustainability.
I
MPACT
Describe
in detail the
impact
this
program
will
have
on
the
identified
need
and
on
San
Marcos
residents.
Homelessness does not just affect the those who experience it but it affects the entire community.
It can have an impact on
healthcare resources, crime and safety, the workforce as well as the use of tax dollars.
"Between shelters and emergency rooms
and jails, it costs about $40,000 a year for a homeless person to be on the streets (Shaun Donovan, Secretary of the U.S. Housing
and Urban Development Department, 2012).
A 2017 study of a program called CaringWorks, conducted by the RAND Corporation,
found
that
the
costs
of public
services
consumed
in the
year
after
the
receipt
of long-term
housing
decreased by
almost
60%.
Ending
homelessness in the San Marcos community is a win-win for all.
Three out of four families who are eligible for housing assistance must be turned away due to lack of funding.
Shelters that are at
capacity are forced to turn people away.
CBDG funding will allow the Transitional Housing Program to assist more families who
would go without assistance minus the funding.
By offering long-term transitional housing, assistance with access to permanent
affordable housing along with specialized services that foster self
-sustainability,GAP graduates will become assets to the San
Marcos community -
citizens who are working, paying taxes, paying rent or mortgages, purchasing groceries, spending money at
local businesses, less dependent on public services and volunteering.
E
XPERIENCE
OR
R
EFERENCES
Describe
your
experience
in implementing
a
similar
program,
or if this
is a
first
time
venture,
provide
an
explanation
of
why
you
believe
you
will
be
successful
in implementation. You
may
attach
up
to three
letters
of reference.
Together for a Cause president has worked with a similar program in his position on the Board of the Salvation Army.
A letter of reference is included with required documents.
I have been told that an email was sent this afternoon from one of the hotel managers that they found where payment had been made. Apparently found while reconciling credit card transactions.
I have been told that an email was sent this afternoon from one of the hotel managers that they found where payment had been made. Apparently found while reconciling credit card transactions.