TO: Board of Supervisors
FROM: Minh C. Tran, County Executive Officer
REPORT BY: Jennifer Palmer, Director of Housing & Homeless Services
SUBJECT: SB-2 Permanent Local Housing Allocation
RECOMMENDATION
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Director of Housing and Homeless Services requests adoption of a Resolution rescinding and replacing Resolution 2020-159 authorizing application and execution of grant agreement documents for the Permanent Local Housing Allocation Program to update authorized signatories.
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EXECUTIVE SUMMARY
SB 2 established the Building Homes and Jobs Trust Fund (Fund) and authorized the Department of Housing and Community Development to allocate 70 percent of monies collected and deposited in the Fund, beginning in calendar year 2019, to local governments for eligible housing and homelessness activities. The intent of the bill is to provide a permanent, on-going source of funding to local governments for housing-related projects and programs that assist in addressing the unmet housing needs of their local communities.
FISCAL & STRATEGIC PLAN IMPACT
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Is there a Fiscal Impact? |
Yes |
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Is it currently budgeted? |
No |
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Is it Mandatory or Discretionary? |
Discretionary |
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Discretionary Justification: |
There is no mandate to apply for these funds. However, the funds are available to Napa County to use to help meet affordable housing goals. |
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Is the general fund affected? |
No |
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Future fiscal impact: |
Appropriation will be budgeted accordingly in future fiscal years. |
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Consequences if not approved: |
Napa County will not have access to allocated funds. |
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County Strategic Plan pillar addressed: |
Healthy, Safe, and Welcoming Place to Live, Work, and Visit |
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: The proposed action is not a project as defined by 14 California Code of Regulations 15378 (State CEQA Guidelines) and therefore CEQA is not applicable.
BACKGROUND AND DISCUSSION
SB 2 established the Building Homes and Jobs Trust Fund (Fund) and authorized the Department of Housing and Community Development to allocate 70 percent of monies collected and deposited in the Fund, beginning in calendar year 2019, to local governments for eligible housing and homelessness activities. The intent of the bill is to provide a permanent, on-going source of funding to local governments for housing-related projects and programs that assist in addressing the unmet housing needs of their local communities.
There are a variety of eligible activities the County may choose to utilize the funds for including capital acquisition and/or rehabilitation of affordable housing as well as assisting persons experiencing homelessness with rental assistance and supportive services. It is important to note that if the County invests in housing capital expenditures, constructions or loans on properties, these properties must be in the unincorporated area, whereas services and rental assistance may be provided in a scattered site model throughout the County.
The funding available in the NOFA is for a five-year period and is based on anticipated revenue. The County's five-year estimated funding amount is $859,334. This translates to approximately $172,000 for each year, which is comprised of $163,400 for activities and $8,600 for grant administration.
Application and Spending Plan
The County of Napa received approval for an application proposing to spend 100% of its annual activity allocation over a five-year period to meet the unmet need of having supportive case management services available to support the ongoing tenancy of clients placed in housing after exiting the homeless services system. As the administrative entity of the homeless services system, including permanent housing placement, the County annually receives and administers a substantial amount of rapid-rehousing rental assistance funds. Those funds do not generally come with long-term tenancy care services, including mental health support, to ensure clients assisted into housing received the support needed to successfully sustain their housing. Existing funding for housing tenancy sustaining services is limited to roughly 30 clients at any given time. With over 140 units for clients exiting homelessness set to come online within the next two years, these funds will help ensure long term success of our clients.
Today’s action updates the Resolution authorizing the Napa County Executive Officer or designee to execute the PLHA Standard Agreement and any subsequent amendments or modifications thereto, as well as any other documents which are related to the Program or the PLHA grant awarded to Applicant, as the Department may deem appropriate.