Title
Staff Report for the HOME Consortium Agreement Between the City of San Leandro and the County of Alameda for Federal Fiscal Years 2018-2020
Staffreport
SUMMARY AND RECOMMENDATIONS
The City of San Leandro receives HOME Investment Partnership Program (HOME) funds through participation in the Alameda County HOME Consortium. The Consortium includes Alameda County cities and the Urban County area. The HOME Consortium Agreement for Federal Fiscal Years 2018 - 2020 continues the City’s participation in the consortium and establishes Alameda County Housing and Community Development Department (HCD) as the lead agency in the administration of the HOME funds. The current HOME Consortium Agreement expires this year.
Staff recommends that the City adopt a resolution approving the HOME Consortium Agreement between the City of San Leandro and County of Alameda for Federal Fiscal Years 2018-2020.
This action is a procedural item that only provides for the administration of the HOME funds. All proposed HOME expenditures for specific projects will be brought to the City Council for review and approval.
BACKGROUND
HOME is authorized under Title II of the Cranston-Gonzales National Affordable Housing Act (24 CFR Part 92), passed in 1990. It is the largest Federal block grant to State and local governments designed exclusively to create affordable housing for low-income households.
The City has received and allocated over $5.8 million in federal HOME funds from 1992 to 2017 (including over $900,000 for Marea Alta Phases 1 and 2 in recent years) to fund projects through participation in the Alameda County HOME Consortium. Program funds are allocated to local government agencies on the basis of a formula that considers the relative inadequacy of each jurisdiction's housing supply, its incidence of poverty, its fiscal distress, and other factors.
Communities that do not qualify for an individual allocation under the formula can join with one or more neighboring localities in a legally binding consortium whose members' combined allocation would meet the threshold for direct funding. As the City of San Leandro does not qualify for an individual direct allocation due to its size, the City participates in the Alameda County HOME Consortium in order to receive federal HOME funds.
Analysis
San Leandro joins with six other cities - Alameda, Fremont, Hayward, Livermore, Pleasanton, and Union City - in Alameda County and the Urban County (consisting of the cities of Albany, Dublin, Emeryville, Newark, Piedmont, and the unincorporated County) in the Alameda County HOME Consortium. An agreement between the City and County of Alameda is required in order for the City to participate.
This agreement assigns monitoring, oversight, and administration of the HOME program to Alameda County HCD. For example, in FY 2016-17, County HCD allocated $166,737 for the City, but retained $9,301 to assist with County HCD oversight and administration costs. County HCD then allocated the remaining $157,436 to the City, of which $148,135 reflects new HOME funds for eligible projects and $9,301 towards City-related HOME administration costs.
The agreement under City Council consideration tonight will continue the City’s participation in the Consortium and provide for the administration of the HOME Program by Alameda County HCD for Federal Fiscal Years 2016, 2017, and 2018.
Current Agency Policies
The City of San Leandro is currently a member of the Alameda County HOME Consortium.
Previous Actions
The City Council approved the FY 2015-2017 Agreement between the City of San Leandro and County of Alameda for administration of HOME Consortium funds on April 7, 2014.
Applicable General Plan Policies
Chapter 6, Goal 3: New Housing Opportunities - Provide housing opportunities and improve economic access to housing for all segments of the community.
Fiscal Impacts
This agreement will not impact the City’s General Fund because HOME funds are federal discretionary funds.
Budget Authority
Title II of the Cranston-Gonzales National Affordable Housing Act (24 CFR Part 92).
Attachments to Resolution
• HOME Consortium 3 Year Agreement FY2018-2020
PREPARED BY: Tom Liao, Deputy Community Development Director