File #: 24-147    Version: 1 Name: Permanent Local Housing Allocation 5-Year Plan Amendment
Type: Staff Report Status: Filed
In control: City Council
Meeting Date: 5/20/2024 Final action: 5/20/2024
Enactment date: Enactment #: Reso 2024-038
Title: Adopt a Resolution to 1) Amend the City of San Leandro's Permanent Local Housing Allocation (PLHA) Five-Year Plan (2019-2023) and 2) Authorize Submittal of the Amended PLHA Plan and Amended Plan Application to the California Department of Housing and Community Development
Attachments: 1. A - Resolution to Amend the City’s PLHA Five-Year Plan (2019-2023), 2. Ex A1 - Amended PLHA Plan (2020-2023), 3. B - PLHA Five-Year Plan (2019-2023)

Title

Adopt a Resolution to 1) Amend the City of San Leandro’s Permanent Local Housing Allocation (PLHA) Five-Year Plan (2019-2023) and 2) Authorize Submittal of the Amended PLHA Plan and Amended Plan Application to the California Department of Housing and Community Development

Staffreport

COUNCIL PRIORITY

                     Housing and Homelessness

 

SUMMARY

The City of San Leandro (City), as a State of California Permanent Local Housing Allocation (PLHA) entitlement jurisdiction, is required by the Department of Housing and Community Development (HCD) to submit a five-year plan in order to receive PLHA funding that the City utilizes to address affordable housing and homelessness needs. On July 20, 2020, the City Council approved the City’s PLHA Five-Year Plan (2019-2023) for Years 1-5 (Attachment B) and submittal of the PLHA Application to HCD for an estimated $2,099,760 in grant funds. The City has committed Year 1 (2019) PLHA funds to an affordable housing development. In order to reallocate PLHA funds for Years 2-5 (2020-2023), HCD requires the City to submit the Amended five-year PLHA Plan (Exhibit A1).

 

RECOMMENDATIONS

Adopt a Resolution to 1) Amend the City of San Leandro’s PLHA Five-Year Plan (2019-2023) and 2) Authorize Submittal of the Amended PLHA Plan and Amended Plan Application to the California Department of Housing and Community Development.

BACKGROUND

In 2017, Governor Brown signed the Building Homes and Jobs Act, which established the PLHA Program and provided funding through recording fees on real estate documents to increase the supply of affordable homes in California. As noted earlier, in July 2020, the City Council approved the City’s PLHA Five-Year Plan and submittal of the PLHA Application to HCD for an estimated $2,099,760 in grant funds. The City received approval from HCD to use PLHA Year 1-5 funds on the development of affordable rental housing utilizing Alameda County Measure A-1 Housing Bond funds. The City committed $349,960 in Year 1 (2019) PLHA funds to Abode Communities for the 15101 Washington Avenue affordable housing development that will construct 72 affordable rental housing units. Abode Communities also received a commitment of Alameda County Measure A-1 Housing Bond and City Low Mod Housing Asset funds for development of the 15101 Washington Avenue project.

 

In December 2023, HCD issued a Notice of Funding Availability (NOFA) for the PLHA program. The NOFA provides an opportunity for the City to amend its original PLHA Five-Year Plan to pursue any new uses of PLHA funds for Years 2-5 (2020-2023). On April 24, 2024, the City Council Finance Committee reviewed the Amended PLHA Plan and provided staff direction to move forward seeking City Council approval. 

ANALYSIS

Given the local need to prevent and address homelessness, staff recommends amending the PLHA Five-Year Plan to reallocate Year 2- 5 funding to two new programs: 1. Rental assistance for people at risk of homelessness; and 2. Lewelling Interim Homeless Shelter and Navigation Center operating costs. Per PLHA guidance, eligible households must 1) be 30% Area Median Income (AMI) or lower; and must meet the McKinney-Vento Homeless Assistance Act definition of “at-risk of homelessness.” Staff will work with HCD to ensure that the two new programs meet eligibility requirements for PLHA funds. The following table outlines the proposed allocations for the Amended PLHA Plan:

PLHA Funding Year

Anticipated  Expenditure Period

Activity

Allocation

2019 (Committed)

FY24-25

15101 Washington Avenue

$349,960

2020

FY24-25 to FY26-27

Rental Assistance Program

$516,749

2021

FY24-25 to FY26-27

Rental Assistance Program

$568,663

2022

FY24-25 to FY26-27

Rental Assistance Program

$285,017

2023

FY27-28

Lewelling Interim Shelter and Navigation Center Operations

$291,881 (est.)

2020-2023

FY24-25 to FY26-27

Administration

$87,490 (est.)

 

 

5-Year Total (est.)

     $2,099,760

 

In order to access PLHA funds, the City Council must adopt the HCD standardized resolution that meets the State's requirements approving the Amended PLHA Plan.


ENVIRONMENTAL REVIEW

No environmental review is required for this action.

 

SUMMARY OF PUBLIC OUTREACH EFFORTS

The PLHA Plan Amendment was made available for community review on the City’s website (https://www.sanleandro.org/housing) from April 23 - May 20, 2024.

 

FINANCIAL IMPACTS

The City is eligible to receive approximately $1,749,800 in 2020-2023 PLHA funds, which will be issued as grant funds. The City has already committed Year 1 (2019) PLHA funds in the amount of $349,960.

ATTACHMENTS

Attachment A: Resolution to 1) Amend the City’s PLHA Five-Year Plan (2019-2023) and 2) Authorize Submittal of the Amended PLHA Plan and Amended PLHA Plan Application to HCD

Ex A1: Amended PLHA Plan (2020-2023)
Attachment B: PLHA Five-Year Plan (2019-2023)


PREPARED BY: Kerri Heusler, Housing Manager

 Jessica Lobedan, Director of Human Services