REPORT TO COUNCIL
SUBJECT
Title
Action to Adopt a Resolution Authorizing the City Manager to Negotiate and Execute a Consortium Agreement with the County of Santa Clara (County), that Authorizes the County to Submit Funding Applications to the State of California on the City's Behalf for the City's allocation of State Permanent Local Housing Allocation (PLHA) Program Funds, and Authorizes the County to Administer the Funds in Accordance with State Requirements and in Accordance with the Consortium Agreement
Report
BACKGROUND
SB2 (2017), as authorized by Health and Safety Code Section 50470, was part of a 15-bill housing package aimed at addressing the state's housing shortage and high housing costs. SB2 created the Building Homes and Jobs Trust Fund and the PLHA Program. Specifically, it established a permanent source of funding intended to increase the affordable housing stock in California. The revenue from SB2 varies from year to year, as revenue is dependent on real estate transactions with fluctuating activity. The legislation directs the California Department of Housing and Community Development (HCD) to use 70% of the revenue collected, beginning in calendar year 2019, to provide financial assistance to local governments for eligible housing-related projects and programs to assist in addressing the unmet housing needs of their local communities.
The PLHA formula allocations are based on the same formula used to award federal Community Development Block Grant (CDBG) funds to eligible communities in Federal Fiscal Year (FFY) 2017. The chart below shows the estimated 2019 PLHA allocations by eligible jurisdiction in the County. The jurisdictions will receive annual allocations of PLHA funds.
PHLA Entitlement Jurisdictions
2019 Allocation
2020 Allocation
Combined 2019 & 2020 Allocation
Previously Awarded
Currently Available
Santa Clara County
$736,733
$1,145,111
$1,881,844
$0
$1,881,844
City of Cupertino
$165,510
$257,254
$422,764
$0
$422,764
Ci...
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