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CC - ACTION ITEM: (1) Discussion of the Use of Funds Under the County of Los Angeles Permanent Local Housing Allocation Year 3 Grant Program; (2) If Desired, Adoption of a Resolution Approving Participation in the Local Housing Allocation Program and Authorizing the City Manager to Sign an Agreement With the Los Angeles County Development Authority (LACDA); and (3) Direction to the City Manager as Deemed Appropriate.
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Meeting Date: June 12, 2023
Contact Person/Dept: Tevis Barnes / Housing and Human Services Department
Phone Number: (310) 253-5780
Fiscal Impact: Yes [] No [X] General Fund: Yes [] No [X]
Public Hearing: [] Action Item: [X] Attachments: [X]
Public Notification: (E-Mail) Meetings and Agendas - City Council (06/07/2023); and Advisory Committee on Housing and Homeless (06/08/2023)
Department Approval: Tevis Barnes, Housing and Human Services Director (05/30/22)
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RECOMMENDATION:
Staff recommends the City Council (1) discuss the use of funds under the County of Los Angeles Permanent Local Housing Allocation (PLHA) Year 3 Grant Funds; (2) if desired, adopt a resolution (Attachment 1) approving participation in the local housing allocation program and authorizing the City Manager to sign an agreement with the Los Angeles County Development Authority (LACDA); and (3) provide direction to the City Manager as deemed appropriate.
BACKGROUND:
The California Department of Housing and Community Development (HCD) announced that the County of Los Angeles (County) through the Los Angeles County Development Authority (LACDA) will receive an allocation of $18,858,143 for the PLHA Year 3.
Cities who have a State-approved Housing Element are invited to submit a non-competitive counter application by June 30, 2023. Funding award amounts are formulated, and each jurisdiction has a prescribed funding amount. The funding amount earmarked for Culver City is $207,991. This is a reimbursable grant, and there is no matching requirement. PLHA Year 3 grant funds must be expended by December 31, 2025.
PLHA provides funding to local governments in California for housing-related projects and programs that assist in addressing the unmet housing needs of their local communities.
Attachment 2 provides the PLHA Year 3 allocation amounts available to cities that qualify and wish to utilize these funds for current or new eligible activities.
To receive PLHA Year 3 funding, cities must have secured a State-approved Housing Element. On October 10, 2022, HCD determined that the Culver City’s adopted Housing Element (2021 and 2029) is in full compliance with the State Housing Element Law.
DISCUSSION:
Eligible Uses of PLHA Grant Funds
The PLHA Year 3 grant allows for the various eligible uses that cause the creation of affordable and homeless housing and supportive services. Detailed below are the allowable eligible uses under the PLHA Year 3 grant.
• Multifamily Rental Housing
o Acquisition
o Predevelopment
o Rehabilitation
o Preservation
• Affordable Rental, Ownership, and ADU Housing
o Acquisition
o Predevelopment
o Rehabilitation
o Preservation
o Development
• Housing for Homeless
o Rapid ReHousing
o Rental Assistance
o Supportive Case Management
o Operating Costs for Emergency Shelters
o Rehabilitation
• Accessibility Modifications for Owner-Occupied Housing
• Acquisition and Rehabilitation of Foreclosed or Vacant Homes
• Homeownership Opportunities Assistance
Culver City has declared a Local Emergency on Homelessness. The City Manager, John Nachbar, in his capacity as Director of Emergency Services, proclaimed a local emergency on homelessness on January 3, 2023. The Local Emergency was ratified by the City Council at the January 9, 2023, Council meeting.
The Housing and Human Services (HHS) Department recommends the City Council consider the following programming for the utilization of the PLHA Year 3 grant funds to support programming aimed at meeting the housing and service needs of our unhoused neighbors:
Rental Assistance- This use of funds falls under the PHLA Year 3 eligible use category Housing for Homeless/Rental Assistance. Grant funds would be utilized to provide one year of rental assistance up to $3,000 per month per household ($36,000 per year) for up to 6-7 unhoused neighbors transitioning to permanent housing from the City’s Project Homekey Interim Housing Program, Motel Master Leasing Program or Safe Sleep Program. Rental Assistance participants would continue to receive supportive service during the one-year period to help transition to more independent living and managing the rental unit without a rental subsidy. The rental assistance participant would pay an affordable rent up to 30% of their income and the balance of the contract rent for the unit would be covered by the rental subsidy for a period of one year.
Supportive Case Management - This use of funds falls under the PHLA Year 3 eligible use category Housing for Homeless/Supportive Case Management. Grant funds would be utilized to supplement supportive case management for the Motel Master Leasing Program. The Motel Master Leasing Program is designed to enter into long-term leasing agreements with local motel providers to provide temporary interim housing for our unhoused community. The Motel Master Leasing Program will provide 3 daily meals, onsite case management and supportive services based on the individual needs of our unhoused neighbors. Supportive services include: mental health and substance use treatment, life skills training, occupational therapy, documentation readiness, linkages to health care, education and job training.
FISCAL ANALYSIS:
Culver City is eligible for the amount of $207,991 under the PLHA Year 3 grant funds. Utilization of funds will be determined by Council direction. These grant funds are reimbursable and do not require a matching component. Once funds are secured by the County, HHS will work with the Finance Department to place the grant funds in the appropriate account.
ATTACHMENTS:
1. County of Los Angeles Permanent Local Housing Allocation Year 3 Resolution
2. PLHA Year 3 Cities Funding Allocation
MOTION:
That the City Council:
1. Discuss the use of funds under the County of Los Angeles Permanent Local Housing Allocation Year 3 Grant Funds; and
2. If desired, adopt a resolution approving participation in the local housing allocation program and authorizing the City Manager to sign an agreement with the Los Angeles County Development Authority (LACDA); and
3. Provide direction to the City Manager as deemed appropriate; and
4. Authorize the City Attorney to review/approve the necessary documents; and
5. Authorize the City Manager to execute such documents on behalf of the City.