Report to Mayor and City Council
Tuesday, November 07, 2023
Consent
SUBJECT:
Title
CONSIDER ADOPTION OF RESOLUTION NO. 23-178 TO ALLOCATE $276,486.67 IN PERMANENT LOCAL HOUSING ALLOCATION (PLHA) GRANT FUNDS FOR HOMELESS PREVENTION RENTAL ASSISTANCE INTO THE FISCAL YEAR 2023-24 BUDGET AND EXPRESSLY AUTHORIZE THE CITY MANAGER TO ADMINISTER DISBURSEMENT OF THE ASSISTANCE TO ELIGIBLE RESIDENTS
Body
I. SUMMARY
On April 21, 2022, the City was notified of the award of the Permanent Local Housing Allocation (PLHA) Grant from the California Department of Housing and Community Development (HCD) in the total amount of $1,059,349.00 for the combined amounts of the 2019 ($414,730) and 2020 ($644,619) funding years. On August 3, 2022, the Standard Agreement governing the grant (Exhibit No. 1) was executed by all parties.
Staff has requested HCD disbursement of 2019 funding year funds in the amount of $276,486.67 for the purpose of homeless prevention rental assistance (grant activity no. 6). This request represents two-thirds of the total awarded PLHA funds for the 2019 funding year. The other one-third has been allocated to the "rehabilitation and preservation of affordable ownership housing" grant activity, and the City is not requesting funds for the "first-time home buyer program" grant activity for the 2019 funding year. Staff expects to receive the disbursement per its request for homeless prevention rental assistance funds within 45 days.
Per HCD requirements, the funds can be used to provide assistance with eligible residents' rent payments as they come due, and must be spread out over a period of at least six months. They cannot be used for arrearages, down payments, or rapid rehousing. Among other eligibility criteria, residents must be extremely low income (below 30% of Area Median Income) to be eligible for consideration.
The primary anticipated use of the funds would be to help eligible residents displaced by mobilehome park closures such as Imperial Aval...
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