HomeMy Public PortalAbout11) 10C_PLHA Staff ReportMANAGEMENT SERVICES DEPARTMENT
MEMORANDUM
DATE: October 5, 2021
TO: The Honorable City Council
FROM: Bryan Cook, City Manager
By: Tinny Chan, Management Analyst
SUBJECT: PERMANENT LOCAL HOUSING ALLOCATION PROGRAM
RECOMMENDATION:
The City Council is requested to discuss and provide direction on how the City should
appropriate its Permanent Local Housing Allocation funding for Fiscal Year 2021-22.
BACKGROUND:
1.On September 2017, the California Legislature passed Senate Bill (SB) 2 (Building
Homes and Jobs Act), which established a $75 recording fee on real estate
documents to increase the supply of affordable housing. To administer the funds,
the State created the Permanent Local Housing Allocation (PLHA) program, to be
administered by the California Department of Housing and Community
Development (HCD) via Los Angeles County Development Authority (LACDA).
The five-year PLHA program is meant to provide a source of funding for cities and
counties to help meet the unmet need for affordable housing and increase supply
of affordable housing.
2.On October 6, 2020, the City Council passed Resolution 20-5492 (see Attachment
“A”) to use the City’s PLHA funding for accessibility modifications in lower-income
owner-occupied housing for its Year 1 allocation of $124,815. To date, the City has
not received the funding from the LACDA for its Year 1 allocation. LACDA has
delayed disbursement of PLHA due to delayed communication from the State, as
well as needing to amend its own Five-Year PLHA plan.
3.On April 6, 2021, the City Council voted in favor of joining the San Gabriel Valley
Housing Trust (SGVRHT) as an affiliate member during Fiscal Year 2021-22. The
one-time joining fee as an affiliate member was $3,000 with an annual membership
fee of $3,027 for each year thereafter. At the time, it was understood that the
annual membership fee of $3,027 could be paid using PLHA funds with no further
contribution required. The City would have taken funds from its Year 2 PLHA to
AGENDA
ITEM 10.C.
City Council
October 5, 2021
Page 2 of 4
pay the annual administrative fee. See Attachment “B” for the staff report.
4.On May 13, 2021, the LACDA issued a letter asking for cities to submit their
Council decisions for Year 2 PLHA funding (See Attachment “C”). Temple City’s
PLHA funding for Year 2 is $194,001. It was communicated that Year 1 and Year
2 allocations would be disbursed together and that another Council resolution
needed to be passed, regardless of whether the city previously submitted a
resolution for Year 1. When staff communicated to the LACDA that the City wished
to use a portion of its PLHA funding for SGVRHT administrative fees, LACDA
informed the City that in order to use its PLHA allocation on administrative fees for
joining the Housing Trust, the City would have to allocate at least $30,270 of PLHA
funds to the Trust (up to 10 percent of the funds allocated to the SGVRHT can be
used for covering the administrative fees).
5.On September 20, 2021, the Homelessness Standing Committee reviewed the
City’s Year 1 and Year 2 PLHA funding and recommended the item be brought to
City Council for a decision.
ANALYSIS:
The City of Temple City will be receiving a total of $318,810 for both Year 1 and 2 of the
PLHA program. LACDA will require the City to pass resolutions in regards to which eligible
activity the City chooses to use its PLHA funds on.
Previously, the City Council discussed using Year 1 PLHA funds between the following
options:
●Establishing a loan or grant program to create up to 12 affordable junior accessory
dwelling units.
●Accessibility modifications in lower-income owner-occupied housing.
Council ultimately voted on using first-year PLHA funding on the latter option due to the
following reasons:
●The PLHA eligibility requirements for the junior accessory dwelling units were not
flexible; additionally,
●There is a strong demand for the City’s Handyworker Grant and Housing
Rehabilitation Programs which indicated a demand, and that this existing program
would benefit from additional PLHA funding.
When the discussion to join the Housing Trust was presented to Council in April 2021,
staff had informed Council that the annual administrative fee could be fully funded using
PLHA. However, after further clarification from LACDA, this could only be done if the City
matched PLHA funds to the SGVRHT.
Tonight’s discussion would be for Council to discuss how the City should utilize the City’s
Year 1 and 2 PLHA funds.
City Council
October 5, 2021
Page 3 of 4
The City Council could consider supporting the following activities:
●Accessibility modifications in lower-income owner-occupied housing.
○This is the activity Council passed a Resolution to spend its funding on for
Year 1.
○This would allow for more additional funds along with the existing allocation
of CDBG funds of $80,000 to be used for the City's existing handworker
grant and home rehabilitation grant programs. There is a consistent demand
and interest from residents with the existing program.
○As this program already exists, there would not be a need to create a new
program or to establish any new city policies for this.
●Allocate funding to the SGVRHT, to assist the Trust in its objectives to create more
affordable housing in the San Gabriel Valley.
○This option supports the City and the overall region in its affordable housing
goals.
○This option aligns with action steps and goals outlined in the City’s
Homeless Plan, specifically Goal D to “continue to participate in regional
and countywide homelessness prevention and response planning and
coordination activities”, with specific mention to utilize and allocate PLHA
funds to the SGVRHT for Fiscal Year 2021-22.
○10% of an affiliate member’s PLHA allocation to the SGVRHT may be
applied to cover affiliate fee, up to 100% of the affiliate fee. In the case of
Temple City, a PLHA allocation of $30,270 would allow the City to use PLHA
to cover its full affiliate fee of $3,027. Remaining funds will be used as
capital for affordable and emergency housing. An additional $3,000 in PLHA
could be used for the joining fee, which is not subject to the 10% allocation
rule.
The City Council could consider using the City’s PLHA funding for both activities
described above, with $288,540 allocated to expanding the City’s Housing Rehabilitation
Programs and $30,270 to the SGVRHT.
Year 1 Year 2
Accessibility modifications
in lower-income owner-
occupied housing
$124,815 $163,731
SGVRHT $0 $30,270
City Council
October 5, 2021
Page 4 of 4
Total $124,815 $194,001
If the Council wishes to join the SGVRHT as a full member, the cost of the membership
would be $18,000 for the first year, and $15,000 for subsequent years. For full members,
10 percent of the City’s PLHA allocation could cover up to 50 percent of the administrative
fees. The annual PLHA contribution to the SGVRHT would have to be at least $75,000 to
cover 50 percent of the administrative fees and the remaining $7,500 will need to come
out of the City’s General Fund. Joining as a full member in Fiscal Year 2021-22 will leave
a balance of $119,001 for the City’s selected program. Please note that the City’s annual
PLHA fund will fluctuate from year to year, depending on the State’s real estate activity.
Once Council makes a decision on how to use its PLHA funding, staff will send a
resolution, to be placed at a subsequent meeting to the LACDA on how the City would
like to use its allocation. Once approved by the State, the LACDA will send an agreement
to the City and funds will be released thereafter. LACDA has not given a definitive date
on when PLHA funds will be disbursed.
The City will have an option to change its funding allocation each fiscal year, with City
Council approval.
CITY STRATEGIC GOALS:
Actions contained in this report align with Council’s Strategic Goal of quality of life and
good governance.
FISCAL IMPACT:
Temple City will be allocated $124,815 for the first year of the PLHA program and
$194,001 for the second year of the PLHA program. The City would receive a total of
$318,810. Depending on the Council's decision on how to use this funding, there will be
different fiscal impacts.
ATTACHMENTS:
A.October 6, 2020 Staff Report
B.April 6, 2021 Staff Report
C.Letter from LACDA
MANAGEMENT SERVICES DEPARTMENT
MEMORANDUM
DATE: October 6, 2020
TO: The Honorable City Council
FROM: Bryan Cook, City Manager
Via: Brian Haworth, Assistant to the City Manager
Via: Scott Reimers, Interim Community Development Director
By: Tinny Chan, Management Analyst
SUBJECT: PERMANENT LOCAL HOUSING ALLOCATION FUNDING
RECOMMENDATION:
The City Council is requested to:
1. Provide direction on how the City should appropriate its Permanent Local Housing
Allocation (PLHA) funding for fiscal year 2020-2021; and
2. Approve Resolution No. 20-5492, should Council direct staff to use PLHA funding for
eligible, city-specific initiatives (Attachment “A”).
BACKGROUND:
1.On Sept. 29, 2017, Governor Jerry Brown signed SB 2, the Building Homes and Jobs
Act. The law established a permanent funding source—otherwise known as
Permanent Local Housing Allocation (PLHA) funding—to increase the state’s supply
of affordable housing. This was done by imposing a $75 recording fee on real estate
documents.
2.On Feb. 26, 2020, the state’s Housing and Community Development Department
announced that the County of Los Angeles would receive over $11 million in PLHA
funding for fiscal year 2020-2021. Of this amount, the City would receive its first
formula-based grant of $124,815. Subsequent fiscal year allocations will fluctuate
based on the local real estate market.
3.On June 17, 2020, the Los Angeles County Development Authority (LACDA)—as the
funding administrator—held a teleconference with local cities to introduce the new
funding source. A proposal was also unveiled for this year’s countywide allocation of
ATTACHMENT A
City Council
October 6, 2020
Page 2 of 3
$11 million (in PLHA funds) for the LACDA’s Expanded Eviction Defense Program.
Funds would support the tenant outfall of the current pandemic, i.e., limited and full
scope legal representation, short-term rental assistance, case management, and
“know-your-rights” workshops (Attachment “B”, pg. 4).
4.On June 26, 2020, it was confirmed that local cities could determine how to use its
PLHA funding for eligible activities (Attachments “C” and “D”) rather than appropriating
funding to the LACDA’s recommended eviction defense program. Once Council
makes a decision on how to use this year’s allocation, staff must notify the LACDA of
the City’s proposed funding activities—via resolution—no later than October 15, 2020.
Funds would then be released in late-December with programs to start in January
2021.
ANALYSIS:
Tonight’s discussion centers on two questions:
1.Does Council wish to use this fiscal year’s PLHA funding on the LACDA’s Expanded
Eviction Defense Program; or
2.Does Council wish to use this fiscal year’s PLHA funding on other eligible activities
that better support local housing policies (e.g., RHNA, General Plan)?
Should Council pursue the first option, no other action is needed. However, if Council
wishes to pursue the second option, the attached matrix identifies eligible and city-specific
initiatives for consideration (Attachment “E”).
Staff will provide a presentation of the matrix, which identifies six eligible activities. The
matrix details each activity's pros and cons and determines how they can further city
policies.
Staff Recommendations:
1.While the LACDA is encouraging local cities to allocate its PLHA funds to their
Expanded Eviction Defense Program, staff does not recommend this because:
•There is no quantifiable way to show that the City’s PLHA funds will directly help
Temple City residents; and
•There are more efficient ways to use the City’s PHLA funds that better align with
local housing policies.
Council may wish to consider funding the Expanded Eviction Defense Program next
year, especially if this need is identified in the City’s soon-to-be-completed Homeless
City Council
October 6, 2020
Page 3 of 3
Plan.
2.Staff recommends using this year’s PLHA funding on Matrix Activity No. 2, which
establishes a loan or grant program to create up to 12 affordable junior accessory
dwelling units. The initiative also:
•Helps the City meet its regional housing needs assessment (RHNA) goals; and
•Is consistent with strategies identified in the General Plan to reduce impacts on
single-family neighborhoods.
As an alternative recommendation, Council is encouraged to consider Matrix
Activity No. 5, which funds accessibility modifications in lower-income, owner-
occupied housing. While it does not help the City meet its RHNA goals, it would:
•Provide additional funding for the City’s existing handyworker and home
rehabilitation grant program, which has a large waiting list; and
•Yield an additional 12 handyworker grants or three housing rehabilitation loans for
this fiscal year.
CITY STRATEGIC GOALS:
Actions contained in this report align with the following strategic goals: quality of life and
good governance.
FISCAL IMPACT:
Annual funding is limited to a five-percent administration fee. For this fiscal year, that
amount is $6,240.75.
The use of subsequent year funding allocations will require Council review and approval.
ATTACHMENTS:
A.Resolution No. 20-5492
B.Expanded Eviction Defense Program
C.Confirmation Letter
D.Eligible PLHA Funding Activities
E.Matrix of Eligible and City-Specific Initiatives
RESOLUTION 20-5492
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMPLE CITY
APPROVING PARTICIPATION IN THE LOS ANGELES URBAN COUNTY PERMANENT
LOCAL HOUSING ALLOCATION PROGRAM BY AUTHORIZING THE MAYOR (OR
DESIGNEE) TO SIGN A CONTRACT FOR FUNDING FOR THIS PROGRAM FROM
THE COUNTY OF LOS ANGELES
WHEREAS, Senate Bill 2, enacted in 2017 and codified in Government Code section 27388.1 and Health
and Safety Cody section 50470, provided a funding source (Permanent Local Housing Allocation) to all local
governments in California to help cities and counties implement plans to increase the affordable housing stock;
and
WHEREAS, as a result, the City of Temple City will receive $124,815 for fiscal year 2020-2021; and
WHEREAS, the City of Temple City would be able to use these funds (PLHA funds) for certain eligible
activities defined by the California Department of Housing and Community Development; and
WHEREAS, the PHLA funds would be administered by the Los Angeles County Development Authority;
and
WHEREAS, the City of Temple City desires to participate in the Los Angeles Urban County Permanent
Local Housing Allocation (PLHA) Program for the period beginning January 2021; and
WHEREAS, the City authorizes the execution of a contract with the County of Los Angeles to receive said
PLHA funds.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Temple City as follows:
SECTION 1. The City Council approves eligible, city-specific initiatives to be implemented using PLHA funds for
fiscal year 2020-2021, which are identified in Exhibit 1.
SECTION 2. The City Council authorizes the Mayor (or designee) to execute any and all documents
necessary for participation in the Los Angeles Urban County PLHA Program on behalf of the City of Temple City.
SECTION 4. This Resolution shall take effect immediately upon its adoption by the City Council
SECTION 3. The Secretary shall certify to the adoption of this Resolution.
APPROVED AND ADOPTED on this 6th day of October, 2020.
Tom Chavez, Mayor
DRA
F
T
Resolution No. 20-5492
Page 2 of 2
I hereby certify that the foregoing Resolution was adopted by the City Council of the City of Temple City at
a meeting held on the 6th of October, 2020, by the following vote:
ATTEST:APPROVED AS TO FORM:
Peggy Kuo, City Clerk Gregory Murphy, City Attorney
YES:Councilmember-
NO:Councilmember-
ABSENT:Councilmember-
ABSTAIN:Councilmember-
ATTEST:
Peggy Kuo, City ClerkDRA
F
T
Resolution No. 20-5492
Page 2 of 2
PROPOSED ACTIVITY OR ACTIVITIES
FOR THE STATE PERMANENT LOCAL HOUSING ALLOCATION PROGRAM
City Name ________________________ Date _________________
Name and Descrip2on of the Eligible Ac2vity or Ac2vi2es the City would like to Implement Using PLHA funds:
Budget (s) Proposed for Ac2vity or Ac2vi2es:
Per2nent Facts and Informa2on about the Priority Need for this Ac2vity or Ac2vi2es in your City:
SubmiJed to LACDA By: _________________________ Date: ___________________
Title: _________________________________________ DRA
F
T
1
Permanent Housing Local Allocation Plan 2019-2023
302 (c)(4) Plan
Eligible Applicant Type Entitlement
Local Government Recipient of PLHA Formula
Allocation
County of Los Angeles
Approximate PLHA Formula Allocation Amount $11,025,126
Approximate PLHA Formula Five-Year Allocation
Amount
$66,150,756
§302(c)(4)(A) Describe the manner in which allocated funds will be used for eligible activities.
The County of Los Angeles will use PLHA formula allocation funds to deliver homelessness
prevention services under its Expanded Eviction Defense Program (EDP), to be launched in
the last quarter of calendar year 2020: 1) limited and full scope legal representation; 2) short-
term (90 day) rental assistance; 3) program navigation and case management; and 4) tenant
legal clinics/"Know-Your-Rights" workshops.
The primary goal of the County’s EDP is to provide low-income renters making up to 30% of
the Area Median Income (AMI) and at-risk of becoming homeless due to a pending eviction
case with free services and resources to aid them in maintaining and stabilizing their rental
housing before, during, and after undergoing formal eviction proceedings—and thus,
preventing the multitude of negative outcomes associated with evictions and disruptive
displacements. PLHA funds would be used to provide free comprehensive legal services,
case management, and short-term rental assistance to ensure low-income renters have the
resources at their disposal to stabilize their housing and avoid becoming homeless due to a
financial hardship. In addition, PLHA funds would be used to provide tenant/legal education to
communities that are at high risk for displacement due to the number of low-income and rent
burdened households, among other key socio-economic indicators for tenant vulnerability.
§302(c)(4)(B) Provide a description of the way the Local government will prioritize
investments that increase the supply of housing for households with incomes at or below 60
percent of Area Median Income (AMI).
The County of Los Angeles will prioritize investments that increase the supply of housing for
households with income at or below 60% of AMI by using PHLA funds to provide critical
homelessness prevention services to low income households making up to 30% of the AMI.
2
§302(c)(4)(C) Provide a description of how the Plan is consistent with the programs set forth
in the Local Government’s Housing Element.
The Plan is consistent with the programs set forth in the 2014-2021 Los Angeles County
Housing Element because it aligns with and supports three key policies that drive several of
the programs outlined in the Housing Element: 1) provide financial assistance and ensure that
necessary supportive services are provided to assist low and moderate income households
and those with special needs to attain and maintain affordable housing (Policy 4.1); 2)
enforce laws against illegal acts of housing discrimination (Policy 8.2); and 3) ensure
collaboration among County departments and other agencies in the delivery of housing and
related services (Policy 9.1). The County's EDP supports Policy 4.1 via its short-term rental
assistance component that will provide up to three months of financial assistance to
households that need aid to stabilize their housing; Policy 8.2 via limited scope and full scope
legal representation that will be provided to low income renters undergoing an eviction case
as a result of landlord intimidation or retaliation; and Policy 9.1 via collaborations with the Los
Angeles County Development Authority and various community-based organizations and
legal service providers to implementation the eligible activities that will be funded by the
PLHA. Lastly, the County's Plan aligns with and complements the following programs set forth
in the Housing Element: 1) Program 10, First 5 LA Supportive Housing for Homeless Families
Fund; 2) Program 24, Fair Housing Program; and 3) Program 30, Housing Element Annual
Report.
§301(a)(6) Assisting persons who are experiencing or At risk of homelessness, including, but
not limited to, providing rapid rehousing, rental assistance, supportive/case management
services that allow people to obtain and retain housing, operating and capital costs for
navigation centers and emergency shelters, and the new construction, rehabilitation, and
preservation of permanent and transitional housing.
§302(c)(4)(E)(i) Provide a description of how allocated funds will be used for the proposed
Activity.
The County's proposed plan will dedicate 100% of allocated PLHA funds to implement two
core components of the County's EDP:
1) legal services, which includes limited and full scope legal representation
2) short-term rental assistance
3) program navigation & case management
4) Tenant legal clinics/workshops
3
Proposed PLHA Activity 2019-2023 302(c)(4)(E)
Pe
r
m
a
n
e
n
t
§302(c)(4)(E)(iv) Period of
Affordability for the Proposed
Activity (55 years required
for rental housing projects)
n/a n/a n/a n/a n/a
§302(c)(4)(E)(ii) Projected
Number of Households
Served
0 800 4800 4800 4800
§302(c)(4)(E)(ii) Unmet share
of the RHNA at AMI Level n/a n/a n/a n/a n/a
30%30%30%
Type of Activity for Persons
Experiencing or At Risk of
Homelessness Pe
r
m
a
n
e
n
t
Pe
r
m
a
n
e
n
t
Pe
r
m
a
n
e
n
t
§302(c)(4)(E)(ii) Area Median
Income Level Served 30%
§302(c)(4)(E)(i) Percentage of
Funds Allocated for the
Proposed Activity
100%100%100%100%
Funding Allocation Year 2019 2020 2021 2022 2023
15200
0
TOTAL
4
§302(c)(4)(E)(iii) A description of major steps/actions and a proposed schedule for the
implementation and completion of the Activity.
September 10, 2019-L.A. County Board of Supervisors directs the Department of Consumer
and Business Affairs (DCBA) to develop an implementation and evaluation plan for an
Expanded Eviction Defense Program (EDP)
March 4, 2020-Board of Supervisors declares State of Emergency in Los Angeles County due
to the COVID-19 pandemic
June 2020-DCBA, in partnership with non-profit legal service providers and community based
organizations, to launch a countywide, 6-month Emergency Eviction Prevention Program in
response to the COVID-19 emergency. This program will provide limited legal services, in
addition to general and targeted tenant outreach and education, to address the immediate
short-term needs of County residents during the COVID-19 emergency. This emergency
program will fill a service gap while the long-term Expanded Eviction Defense Program ramps
up for launch in November of 2020.
November 2020-expected disbursement of PLHA funds
November 2020-Begin year two delivery of PLHA funded activities, which include
comprehensive legal services, including full scope legal representation, short-term rental
assistance, case management/program navigation, and tenant clinics/workshops
December 2020-Expiration of countywide Emergency Eviction Prevention Program.
Residents in need of full scope legal services, rental assistance, and case management will
be folded into the Expanded Eviction Defense Program.
January 2021-Begin year three implementation PLHA funded EDP activities
January 2022-Begin year four implementation of PLHA funded EDP activities
January 2023-Begin year five implementation of the PLHA funded EDP activities
December 2023-End of five-year PLHA funded EDP activities
111OSINOCOMMUNITY
ECONOMIC
LACDA
Los Angeles County Development Authority
June 26, 2020
Bryan Cook, City Manager
City of Temple City
9701 Las Tunas Drive
Temple City, CA 91780
Dear Mr. Cook:
PERMANENT LOCAL HOUSING ALLOCATION GRANT APPLICATION
This letter has been prepared by the Los Angeles County Development Authority (LACDA) to announce
our intention to apply for the California Department of Housing & Community Development's (HCD)
Permanent Local Housing Allocation (PLHA) Grant. The PLHA Grant Program is funded by California
State Property Transfer Fees (SB 2, 2017) and it is anticipated that it will be an annual program.
Due to the impending deadlines, the LACDA is currently working to submit an application for the PLHA
grant to the HCD on behalf of the County and its participating cities. It is estimated that the County will be
allocating approximately $5,056,130 to participating cities through this program. Because of the limited
timeline we have to submit the application and State PLHA Plan this upcoming fiscal year, the County has
identified the activity to be funded as the Eviction Defense Program (EDP) to provide legal defense and
eviction prevention resources for all eligible residents at risk of homelessness via methods including, but
not limited to, rental assistance and supportive/case management services that allow people to obtain and
retain housing.
Should your City elect to utilize the grant funds for another eligible program or project (see Attachment A),
the City will be expected to identify the program or project, in writing to the LACDA, no later than October
15, 2020, along with documentation of council approval. We will provide additional information on eligible
projects in upcoming notifications to include sample documents for submission. We expect to receive
funding in December 2020 and interested cities should be prepared to participate by January 2021.
For information on what your City's allocation will be, please see the Attachment B. Note that the LACDA
will retain all administration authority for planning, reporting, and monitoring purposes. If your City's
program or project is deemed eligible, and once funds become available from the State of California, the
LACDA will send an agreement to your City to be signed and returned before funds are released in January
2021. We estimate that that deadline to be approximately December 14, 2020 but will know more as we
have more information from the State.
The LACDA will need to amend the State PLHA Plan which requires the Board of Supervisors' approval
prior to submission. We plan to do this by December 15, 2020 to include projects that were not previously
identified.
0 0 700 West Main Street, Alhambra, CA 91801
Tel: (626) 262-4511 TDD: (626) 943-3898 cr)
Iacda.org
Acting Executive Director: Emilio Salas
Commissioners: Hilda L. Solis, Mark Ridley -Thomas, Sheila Kuehl, Janice Hahn, Kathryn Barger
Bryan Cook, City Manager
June 26, 2020
Page 2 of 2
Estimated Deadlines:
October 15, 2020 — Letter Identifying Program or Project due to the LACDA with Council Approval
December 14, 2020 --- Signed Agreements due to the LACDA
December 15, 2020 - Board of Supervisors' Approval of Amended Plan
January 1, 2021 — PLHA Grant Agreement Start Date
Should you have any questions or concerns, please contact Linda Jenkins at (626) 586-1765 or
lindajenkins@lacda.org.
lacda.org.
Sincerely,
DAVON BARBOUR, Director
Community & Economic Development Division
DB:LJ:HR:ob
IOWA COMMONIGPPAIPESTIPLHA Letter of Inquiries
Attachments
c: Scott Reimers, Interim Community Development Director
Adam Gulick, Associate Planner
PERMANENT LOCAL HOUSING ALLOCATION (PLHA)
LIST OF ELIGIBLE ACTIVITIES
Eligible activities for the formula allocations are:
1. The predevelopment, development, acquisition, rehabilitation, and preservation of
multifamily, residential live-work, rental housing that is affordable to extremely low-,
very low-, low-, or moderate-income households, including necessary operating
subsidies.
2. The predevelopment, development, acquisition, rehabilitation, and preservation of
affordable rental and ownership housing, including Accessory Dwelling Units (ADUs),
that meets the needs of a growing workforce earning up to 120-percent of AMI, or 150-
percent of AMI in high-cost areas. ADUs shall be available for occupancy for a term of
no less than 30 days.
3. Matching portions of funds placed into Local or Regional Housing Trust Funds.
4. Matching portions of funds available through the Low- and Moderate-Income Housing
Asset Fund pursuant to subdivision (d) of HSC Section 34176.
5. Capitalized Reserves for Services connected to the preservation and creation of new
permanent supportive housing.
6. Assisting persons who are experiencing or at risk of homelessness, including, but not
limited to, providing rapid rehousing, rental assistance, supportive/case management
services that allow people to obtain and retain housing, operating and capital costs for
navigation centers and emergency shelters, and the new construction, rehabilitation, and
preservation of permanent and transitional housing.
A. This activity may include sub-awards to administrative entities as defined in HSC
Section 50490(a)(1-3) that were awarded the CESH program or HEAP funds for
rental assistance to continue assistance to these households.
B. Applicants must provide rapid rehousing, rental assistance, navigation centers,
emergency shelter, and transitional housing activities in a manner consistent with
the Housing First practices described in 25 CCR, Section 8409, subdivision
(b)(1)-(6) and in compliance with WIC Section 8225(b)(8). An applicant allocated
funds for the new construction, rehabilitation, and preservation of permanent
supportive housing shall incorporate the core components of Housing First, as
provided in WIC Section 8255, subdivision (b).
7. Accessibility modifications in lower-income owner-occupied housing.
8. Efforts to acquire and rehabilitate foreclosed or vacant homes and apartments.
9. Homeownership opportunities, including, but not limited to, down payment assistance.
10.Fiscal incentives made by a county to a city within the county to incentivize approval of
one or more affordable housing projects, or matching funds invested by a county in an
affordable housing development project in a city within the county, provided that the city
has made an equal or greater investment in the project. The county fiscal incentives shall
be in the form of a grant or low-interest loan to an affordable housing project. Matching
funds investments by both the county and the city also shall be a grant or low-interest
deferred loan to the affordable housing project.
ATTACHMENT B
Permanent Local Housing Allocation 2020 Total Urban County Entitlement $11,025,126
Less Administration (5%)$551,256
Total 2020-2021 to be Allocated $10,473,870
City Population
2015
Poverty
2015
Overcrwding
205 Factor Allocation
AGOURA HILLS 20,697 1194 65 0.004345193 $45,511
ARCADIA 57,564 5486 735 0.017424818 $182,505
AVALON 3,777 539 313 0.002380354 $24,932
AZUSA 48,033 7569 1,758 0.023293918 $243,977
BELL 35,998 9947 2,394 0.027934862 $292,586
BELL GARDENS 42,842 11935 3,556 0.035962885 $376,671
BEVERLY HILLS 34,663 3100 317 0.009723729 $101,845
CALABASAS 24,075 1897 62 0.005785489 $60,596
CLAREMONT 35,762 2591 300 0.009000859 $94,274
COMMERCE 13,017 2052 724 0.007213434 $75,553
COVINA 48,587 5245 1,042 0.017183349 $179,976
CUDAHY 24,138 7527 1,922 0.021198893 $222,034
CULVER CITY 39,469 3491 803 0.012618399 $132,163
DIAMOND BAR 56,471 3919 322 0.013396981 $140,318
DUARTE 21,769 3313 535 0.009425774 $98,724
EL SEGUNDO 16,929 1224 208 0.004496691 $47,098
HAWAIIAN GARDENS 14,475 4426 806 0.011318428 $118,548
HIDDEN HILLS 1,557 76 2 0.000295148 $3,091
HERMOSA BEACH 19,747 783 79 0.003660287 $38,337
IRWINDALE 1,426 178 31 0.000542803 $5,685
LA CANADA-FLINTRIDGE 20526 518 129 0.003520497 $36,873
LA HABRA HEIGHTS 5,425 186 39 0.001023701 $10,722
LA MIRADA 49,182 3453 1,257 0.015277139 $160,011
LA PUENTE 40,496 5853 1,911 0.020385377 $213,514
LA VERNE 31,920 2576 352 0.008744464 $91,588
LAWNDALE 33,231 5915 1,639 0.018693836 $195,797
LOMITA 20,622 3009 479 0.008629249 $90,382
MALIBU 12,856 1339 95 0.003815106 $39,959
MANHATTAN BEACH 35,603 1416 90 0.006415414 $67,194
MAYWOOD 27,739 8284 2,405 0.024512447 $256,740
MONROVIA 37,164 3738 685 0.012315745 $128,994
RANCHO PALOS VERDES 42,464 1799 277 0.008437302 $88,371
ROLLING HILLS ESTS 8188 444 43 0.001738249 $18,206
SAN DIMAS 34,073 2283 223 0.008062317 $84,444
SAN FERNANDO 24,296 4563 947 0.013120635 $137,424
SAN GABRIEL 40,198 5492 1,402 0.017948713 $187,992
SAN MARINO 13,353 740 108 0.002996815 $31,388
SANTA FE SPRINGS 17,162 2153 660 0.007591641 $79,514
SIERRA MADRE 11,084 636 62 0.002420530 $25,352
SIGNAL HILL 11,332 2041 515 0.006251968 $65,482
SOUTH EL MONTE 20,483 4200 995 0.012318315 $129,020
SOUTH PASADENA 25,999 2025 319 0.007127353 $74,651
TEMPLE CITY 36,079 3414 745 0.011916778 $124,815
WALNUT 29,970 1999 223 0.007175079 $75,151
WEST HOLLYWOOD 35,332 5408 311 0.013320883 $139,521
WESTLAKE VILLAGE 8,471 512 16 0.001775713 $18,599
TOTAL PARTICIPATING CITIES 1,234,244 150,488 31,901 0.482737559 $5,056,130
Supervisorial Districts (Unincorporated Area only) *
I.262483 52,187 13,007 0.156276164 $1,636,816
II.253210 64,961 12,653 0.173593546 $1,818,196
III.21,410 1,826 60 0.005377334 $56,321
IV.223783 24,416 6,599 0.086079046 $901,581
V.279396 31,613 4,587 0.095936351 $1,004,825
TOTAL DISTRICTS 1,040,282 175,002 36,907 0.517262441 $5,417,739
TOTAL ALLOCATIONS 2,274,526 325,490 68,808 100% $10,473,870
* Supervisorial District boundary updated after 2011 adopted reapportionment borders; the population numbers are based on 2011-
2015 ACS Data
All Participating Cities $5,056,130
All Supervisorial Districts $5,417,739
County Administration $551,256
TOTAL URBAN COUNTY DISTRIBUTION $11,025,126
Permanent Local Housing Allocation Funds
Possible Programs for Fiscal Year 2020-2021
ELIGIBLE
ACTIVITY
PROS CONS ALIGNMENT WITH
LOCAL POLICIES
STAFF
RECOMMENDATION
No. 1: The predevelopment,
development, acquisition,
rehabilitation, and
preservation of multifamily,
residential live -work, rental
housing that is affordable to
extremely low -, very low -,
low -, or moderate-income
households, including
necessary operating
subsidies.
Can possibly be used to
redevelop the former
Chamber of Commerce site at
9050 E. Las Tunas Drive.
May be expensive to fund.
No previous Council direction
on the site’s redevelopment.
Future PLHA funding may be
insufficient to make a project
“pencil out.”
This has not been included in
the Housing Element’s list of
existing programs.
Not recommended.
For Consideration: If Council
wants to redevelop the
property into affordable
housing, it would be best to
join San Gabriel Valley
Regional Housing Trust.
Participation would allow for
the possible allocation of
regional housing funds.
No. 2: The predevelopment,
development, acquisition,
rehabilitation, and
preservation of affordable
rental and ownership housing,
including accessory dwelling
units (ADUs), that meets the
needs of a growing workforce
earning up to 120-percent of
AMI, or 150- percent of AMI in
high-cost areas. ADUs shall
be available for occupancy for
a term of no less than 30
days.
Is consistent with the General
Plan’s strategy to reduce
impacts on single-family
neighborhoods.
Would be a good way to
increase affordable housing
throughout the city.
Helps with RHNA numbers.
Could focus funding on low- to
moderate-income seniors.
Allows affordable housing to
be spread out, instead of
concentrated to one area.
Staff-intensive; would require
much Council policy to
establish the program.
Creates additional density in
single-family zoned areas.
Is consistent with the Housing
Element, i.e., Category 2,
Program 8: Second Unit
Ordinance.
Recommended.
For Consideration: The City
would need to hire a
consultant to monitor
affordability covenants.
The program could possibly
produce 8-12 net new junior
ADU units with individual
$10K-$15K grant/loans.
ELIGIBLE
ACTIVITY
PROS CONS ALIGNMENT WITH
LOCAL POLICIES
STAFF
RECOMMENDATION
No. 3: Matching portions of
funds placed into local or
regional housing trust funds.
N/A N/A This has not been included in
the Housing Element’s list of
existing programs.
Not recommended.
For Consideration: Council
would need to first approve
membership in the San
Gabriel Valley Regional
Housing Trust. A staff report
outlining membership options
and responsibilities will be
presented on Nov. 3.
No. 4: Assisting persons who
are experiencing or at risk of
homelessness, including, but
not limited to, p roviding rapid
rehousing, rental assistance,
supportive/case management
services that allow people to
obtain and retain housing,
operating and capital costs for
navigation centers and
emergency shelters, and the
new construction,
rehabilitation, and
preservation of permanent
and transitional housing.
Funds can be used for
homeless prevention
initiatives and homeless plan
strategies (e.g., case
management, etc.).
No existing guiding policy.
Does not help with RHNA
numbers.
Is consistent with the Housing
Element, i.e., Program 5:
Rental Assistance (for
Existing Cost Burdened
Households).
Not recommended.
For Consideration: LACDA
has created the Eviction
Defense program. It would be
more prudent to opt-in to their
program rather than creating a
program ourselves.
Reconsider this as an option
after the City’s Homeless Plan
is adopted.
No. 5: Accessibility
modifications in lower-income,
owner-occupied housing.
Leverages the City’s existing
CDBG handyworker grant
program.
Does not help with RHNA
numbers.
Is consistent with the Housing
Element, i.e., Program 12:
Reasonable Accommodation.
Recommended alternative.
For Consideration: There is a
large waiting list for the City’s
handyworker grant program;
additional funding would help
meet demand.
ELIGIBLE
ACTIVITY
PROS CONS ALIGNMENT WITH
LOCAL POLICIES
STAFF
RECOMMENDATION
No. 6: Homeownership
opportunities including, but not
limited to, down payment
assistance.
Addresses the reality that it’s
difficult for younger people (or
young families) to buy homes
in Temple City.
Limited availability of
loans/grants (acting as second
mortgages) because of locally-
high real estate prices.
Is a staff intensive program,
i.e., program development and
the monitoring of affordability
covenants.
Does not help with RHNA
numbers.
Is consistent with the Housing
Element, i.e., Program 6:
Home Ownership Program for
Lower-Income Households.
Not recommended.
For Consideration: This
program is not the most
efficient use of funds given it
may only assist two or three
households.
MANAGEMENT SERVICES DEPARTMENT
MEMORANDUM
DATE: April 6, 2021
TO: The Honorable City Council
FROM: Bryan Cook, City Manager
By: Tinny Chan, Management Analyst
SUBJECT: SAN GABRIEL VALLEY REGIONAL HOUSING TRUST MEMBERSHIP
RECOMMENDATION:
The City Council is requested to:
1.Provide direction on whether the City of Temple City should become a member of the
San Gabriel Valley Regional Trust, and if so;
2.Identify a desired membership level for the remaining fiscal year; and
3.Direct the City Manager to allocate available funding for membership fees.
BACKGROUND:
1.In October 2019, Governor Newsom signed SB 751 to establish the San Gabriel
Valley Regional Housing Trust (SGVHRT). Operating as a joint powers authority
between local cities and the San Gabriel Valley Council of Governments (SGVCOG),
the housing trust creates a mechanism that increases the region’s competitiveness to
capture funding and financing for affordable housing activities (Attachment “A”).
2.In February 2020, the SGVHRT was established by 16 full-member and two affiliate-
member cities. The collaborative operates under an appointed nine-member board;
accomplishments to date include securing a $1.35 million grant for affordable housing
projects, applying for funding under t he state’s housing trust fund, and initiating a
strategic planning process (Attachment “B”).
3.In June 2020, the City began the development of its first-ever homelessness response
plan. Sponsored by the SGVCOG, the initiative assesses existing conditions a nd
needs, and formalizes a localized strategy that prevents homelessness and provides
for affordable housing.
ATTACHMENT B
City Council
April 6, 2021
Page 2 of 4
4.In March 2021, the City adopted its first City-based Homeless Plan, among its
recommended strategies is to consider membership in the SGVRHT.
ANALYSIS:
Senate Bill 751 has enabled the creation of the SGVRHT which will finance affordable
housing projects. The SGVRHT allows San Gabriel Valley cities to collaborate to bring
additional affordable housing resources to the San Gabriel Valley region.
Full Membership
Full membership allows the City to receive funding for affordable housing projects.
It also avails a council member to sit on the SGVRHT Board of Directors.
While a full membership does not commit the City (or Council) to a quota for
affordable housing projects, it does allow the City to leverage and identify funding
that may not be available just to Temple City. For example, it can use allocated
affordable housing funds from another participating city to financially package an
affordable housing project in Temple City. It would also allow the City to access
funding sources not typically available to municipalities, e.g., private grants and
financing.
The cost for full membership is $18,000 for the first year: a $3,000 joining fee and
an annual administrative fee of $15,000.
Membership can be withdrawn at the end of each fiscal year with proper notice.
Attachment “C” identifies SGVRHT full-membership cities.
Affiliate Membership
The affiliate membership allows Council to show support for SGVRHT; however, it
does not provide access to available funding sources or a seat on the Board of
Directors.
The cost for affiliate membership is $6,000 for the first year: a $3,000 joining fee
and an annual administrative fee of $3,000.
Currently, two cities in the area have affiliate memberships: San Gabriel and La
Canada Flintridge.
Staff would recommend that if the City Council were to consider membership, that the
City consider affiliate membership since both the affordable housing crisis and
homelessness have become regional issues that impact all cities in the San Gabriel
Valley.
City Council
April 6, 2021
Page 3 of 4
The City’s participation in the SGVRHT is a recommended implementation measure of
the recently adopted homeless plan. Additionally, affiliate membership may be of
assistance as an implementation measure of the City’s upcoming Housing Element
Update.
Since there are currently no affordable housing projects that the City is currently
considering, if in the future a project that met the City’s General Plan and Zoning
requirements came before City, a transition to full membership could allow for the
potential use of future funding to meet the needs and requirements of the City.
Tonight’s discussion centers on two questions:
Does Council elect to join the SGVHRT?
If so, what membership level: full or affiliate?
NEXT STEPS
Should Council choose to become an affiliate member of the SGVRHT, the City Manager
will send a letter of intent to join as an affiliate member.
Should Council choose to become a full member of the SGVRHT, the City will need to
enter into a Joint Powers of Exercise agreement (Attachment “A”) with the SGVRHT.
CITY STRATEGIC GOALS:
Recommended actions contained in this report align with the City Strategic Goals of
Quality of Life and Good Governance.
FISCAL IMPACT:
Staff’s recommendation to pursue an affiliate membership level represents a $6,000 cost
for this fiscal year, and $3,000 for each year thereafter. Should Council wish to pursue a
full membership, it would cost $18,000 for this fiscal year, and $15,000 for each year
thereafter. Funding should be appropriated from the unassigned General Fund balance.
For Council’s consideration, starting next fiscal year 2021-22, the City may allocate a
portion (up to 10%) of its Permanent Local Housing Authority funding to pay for up to
100% of the affiliate fee or 50% of the full membership fee. See Attachment “D”.
City Council
April 6, 2021
Page 4 of 4
ATTACHMENTS:
A.Joint Powers Agreement
B.SGVCOG Presentation
C.Full-Membership Cities
D.SGVRHT Staff Report on Permanent Local Housing Authority Funds
1471730.1
THE SAN GABRIEL VALLEY REGIONAL HOUSING
TRUST_JOINT EXERCISE OF POWERS AGREEMENT
THIS JOINT EXERCISE OF POWERS AGREEMENT (the "Agreement") is
made this____ day of ______ 2020 (the "Effective Date"), by and between the
public agencies listed in the attached Exhibit “A” (hereafter, individually, a “Party”
and collectively, the "Parties").
RECITALS
A.The Parties are authorized to take such actions that promote the public health,
safety and welfare of residents.
B.The Parties acknowledge that a shortage of affordable housing exists as a result
of various causes.
C.The Parties are committed to providing additional housing opportunities and
reducing homelessness in a coordinated and comprehensive manner.
D.The Parties acknowledge that an adequate supply of housing will provide social
and economic benefits to residents and taxpayers of each Party.
E.Each Party has the individual power to fund the planning and construction of
affordable housing projects within its jurisdictional boundaries and to carry out all
of the purposes of this Agreement.
F.The Parties find it in their mutual interest to enter into this Agreement to provide
a coordinated response to addressing shortages in workforce housing, affordable
housing, and supportive housing in the San Gabriel Valley.
G.California Government Code sections 6500 et seq. ("Joint Exercise of Powers
Act" or "Act") permits two or more public agencies to create a joint powers
authority for the purposes cited herein, and permits such agencies to exercise
jointly any power that the public agencies could exercise separately.
1471730.1
H.California Government Code section 6539.6 authorizes the County of Los
Angeles and any of the cities within the jurisdiction of the San Gabriel Valley
Council of Governments to create a joint powers agency known as the San
Gabriel Valley Regional Housing Trust ("SGVRHT"), which may do any of the
following:
1.fund the planning and construction of housing of all types and tenures for
the homeless population and persons and families of extremely low, very
low, and low income, as defined in Section 50093 of the Health and Safety
Code, including, but not limited to, permanent supportive housing;
2.receive public and private financing and funds; and
3.authorize and issue bonds, certificates of participation, or any other debt
instrument repayable from funds and financing received and pledged by
SGVRHT.
I.The Parties are establishing the SGVRHT to promote public-private partnerships,
nonprofit collaborations, and community building to maximize sources of public
and private funds, when available, to efficiently accelerate housing for homeless,
low, very low and extremely low-income individuals and families.
J.This Agreement shall not in any way be interpreted to limit any Party’s authority
over land-use decisions within their respective jurisdictions, including, but not
limited to, whether any project or program supported by SGVRHT is to be
implemented within such Party’s jurisdiction.
NOW, THEREFORE, in consideration of the mutual promises set forth below, the parties
agree as follows:
Section 1. Creation and Purpose.
a)Creation of SGVRHT. Pursuant to the Joint Exercise of Powers Act, including
Section 6539.6 of the Government Code, there is hereby created a public entity
to be known as the "San Gabriel Valley Regional Housing Trust." SGVRHT shall
be a public entity separate and apart from the Parties, and shall administer this
Agreement.
1471730.1
b) Purpose. This Agreement is made pursuant to the Joint Exercise of Powers Act
for the purpose of creating SGVRHT as a public entity separate from the Parties
to: (i) exercise common powers with respect to providing funding for the planning
and construction of housing of all types and tenures for the homeless population
and persons and families of extremely low, very low, and low income, as defined
in Section 50093 of the Health and Safety Code, including, but not limited to,
permanent supportive housing; and (ii) receive public and private financing and
funds. The purpose of this Agreement shall be accomplished and common
powers exercised in the manner set forth in the Agreement. Nothing contained in
this Agreement shall preclude any Party from establishing, maintaining or
providing social programs or services to its respective residents as it deems
proper and necessary.
Section 2. Term and Termination.
a) Term. This Agreement shall become effective, and SGVRHT shall come into
existence, on the Effective Date, which date shall be the date upon which this
Agreement has been approved by four eligible members, and this Agreement
shall thereafter continue in full force and effect until terminated pursuant to
subdivision (b) of this section.
b) Termination. This Agreement may be terminated by agreement of a majority of
the Parties, but shall remain in full force and effect until all bonds or SGVRHT
liabilities have been paid. Upon such liabilities being paid, the assets of SGVRHT
shall be distributed to the Parties in proportion to the contributions of each Party
to SGVRHT and the amounts paid by, each Party in connection with SGVRHT's
activities.
Section 3. Powers and Duties of SGVRHT.
a)General Powers. SGVRHT shall have all the powers common to the Parties to
this Agreement necessary or convenient, specified or implied, to accomplish the
purpose of this Agreement as set forth in Section 1, subject to the restrictions set
forth in Section 3, subdivision (c) below. Said powers shall be exercised in the
manner provided in the Joint Exercise of Powers Act, including without limitation
all powers set forth in Government Code section 6539.6, and, except as expressly
1471730.1
set forth herein, subject only to such restrictions upon the manner of exercising
such powers as are imposed upon the City of West Covina, a general city.
b)Specific Powers. Without limiting the generality of the powers conferred in
subdivision (a) of this Section 3, SGVRHT is hereby authorized, in its own name,
to do all of the acts necessary or convenient to the accomplishment of the
purposes of this Agreement and the full exercise of the powers conferred in
subdivision (a) of this Section 3, including but not limited to the following:
1.to make and enter into contracts;
2.to contract for staff assistance, including, but not limited to, contracting with
other public agencies;
3.to sue and be sued in its own name;
4.to apply for, accept, receive and disburse grants, loans and other aids from
any Federal, State or local program that is related to the purposes of this
Agreement;
5.to invest any money in the treasury pursuant to Section 6505.5 of the Joint
Exercise of Powers Act that is not required for the immediate necessities
of SGVRHT, as SGVRHT determines is advisable, in the same manner
and upon the same conditions as local agencies, pursuant to Section
53601 of the California Government Code;
6.to apply for letters of credit or other forms of financial guarantees in order
to enter into agreements in connection therewith;
7. to incur and discharge debts, liabilities, and obligations, subject to the
limitations provided in this Agreement and to the extent permitted under
the law;
8. to issue and receive loans;
9.to engage the services of private consultants to render professional,
financial and technical assistance and advice in carrying out the purposes
of this Agreement;
10. to employ and compensate legal counsel, including bond counsel,
determined appropriate by SGVRHT in the accomplishment of the
purposes of this Agreement;
11. to contract for engineering, construction, architectural, accounting,
1471730.1
environmental, land use, or other services determined necessary or
convenient by SGVRHT in connection with the accomplishment of the
purposes of this Agreement;
12. for the purposes of enforcing affordable housing covenants or holding
security interests for loans, to take title to, and transfer, sell by installment
sale or otherwise, lands, structures, real or personal property, rights,
rights-of-way, franchises, easements, and other interests in real or
personal property which SGVRHT determines are necessary or
convenient in connection with the accomplishment of the purposes of this
Agreement;
13. for the purposes of renting space for SGVRHT to operate, to lease to, and
to lease from, a Party or any other person or entity lands, structures, real
or personal property, rights, rights-of-way, franchises, easements, and
other interests in real or personal property which SGVRHT determines are
necessary or convenient in connection with the accomplishment of the
purposes of this Agreement;
14. to solicit charitable contributions from private sources;
15. to acquire, hold, or dispose of property, contributions, and donations of
property, funds, services, and other forms of assistance from persons,
firms, corporations, and government entities;
16. to partner with Parties on funding solicitations and other opportunities for
the purposes set forth in this Agreement, including but not limited to jointly
exercising powers with a Party pursuant to the Joint Exercise of Powers
Act;
17. to the extent not herein specifically provided for, to exercise any powers in
the manner and according to methods provided under the laws applicable
to the SGVRHT; and
18. to carry out and enforce all the provisions of this Agreement in compliance
with the Joint Exercise of Powers Act.
c)Limitation on Powers. This Agreement does not authorize SGVRHT do any of the
following:
1.regulate land use within the jurisdiction of any of the Parties;
1471730.1
2.levy, or advocate or incentivize the levying of, any land use exaction such
as an impact fee, charge, dedication, reservation or tax assessment, as a
condition of approving the funding for or approval of, a development
project;
3.require inclusionary zoning requirements;
4.fund or otherwise approve an agreement for a housing project that is not
supported by the Party within whose jurisdiction the project is proposed to
be located; or
5.require the Parties to this Agreement to accept or provide any specific
number of housing units as a prerequisite to joining or remaining a Party
to this Agreement.
Section 4. Members/Affiliates.
a)Members. The members of SGVRHT shall be the Parties to this Agreement who
have not withdrawn from SGVRHT, and such other entities that may join
SGVRHT after execution of this Agreement. New members may join on the terms
and conditions set forth in Section 10 hereof. Only the County of Los Angeles and
cities within the jurisdiction of the San Gabriel Valley Council of Governments
may become members of SGVRHT.
b)Affiliates. Entities that are eligible to be a party to this Agreement may join the
SGVRHT as an affiliate. Entities that join as an affiliate are not eligible to have a
member of their governing board serve on the Board of Directors or receive
funding for a project within their jurisdiction until such time, if ever, they become
of a Party of SGVRHT. An eligible entity may become an affiliate through written
notice from the executive officer of the entity, but shall not be a Party to this
Agreement.
Section 5. Board of Directors.
a)Selection of Directors. The membership of the Board of Directors of
SGVRHT shall be governed by Government Code section 6539.6 and as it may
be amended. As currently provided therein, SGVRHT shall be
governed by a Board of Directors selected by the San Gabriel Valley Council of
1471730.1
Governments Governing Board (“SGVCOG Board”) consisting of nine Directors
selected as follows:
1. Seven Directors who are members of the SGVCOG Board that either
represent: (i) a County of Los Angeles board of supervisor district that is
located wholly or partially within the territory of the San Gabriel Valley
Council of Governments, provided the County of Los Angeles is a Party to
this Agreement; or (ii) a city that is a Party to this Agreement.
2.Two Directors that are experts in homeless or housing policy.
3.Alternates for each Director position may be established by the Board of
Directors under bylaws adopted by the Board of Directors; provided that
such alternates meet the requirements established in Government Code
section 6539.6 and as it may be amended.
b)Board Powers. Subject to the limitations of this Agreement and the laws of the
State of California, the powers of SGVRHT shall be vested in and exercised by
and its property controlled and its affairs conducted by the Board of Directors.
c)Director Terms. At its first regular meeting following the Effective Date or at such
other time as it determines, the SGVCOG Board shall select the Directors for the
SGVRHT Board of Directors. Each Director shall serve a term of two years. At
a regular SGVCOG Board meeting preceding the end of the Directors’ terms by
at least 15 days, the SGVCOG Board shall select new Directors or re-select
current Directors for the new terms of office. There is no limit on the number of
terms a Director may serve. In the event of a vacancy on the Board of Directors,
the SGVCOG Board shall appoint a replacement within 60 days of such vacancy
who shall serve out the remainder of term of the Director that he or she has
replaced.
d)Advisory Board. The Board of Directors may appoint advisory boards that may
include such persons as designated by the Board of Directors. The Board of
Directors shall adopt bylaws that govern the appointment of advisory boards
should it determine in its discretion to appoint such advisory boards.
1471730.1
e) Compensation. Directors shall serve without compensation but may be
reimbursed for any expenses actually incurred in connection with serving as a
Director; provided such expenses have been previously approved by the Board
of Directors and incurred in accordance with any SGVRHT policies or procedures
governing same.
f)Meetings of the Board of Directors.
1.Call, Notice and Conduct of Meetings. All meetings of the Board of
Directors, including without limitation, regular, adjourned regular, special
meetings and adjourned special meetings, shall be called, noticed, held
and conducted in accordance with the provisions of the Ralph M. Brown
Act, Government Code sections 54950 et seq.
2.Regular Meetings. Regular meetings of the Board of Directors shall be
held at such dates and times as the Board of Directors may fix by
resolution; a copy of such resolution shall be furnished to each Party
hereto. If any day so fixed for a regular meeting shall fall upon a legal
holiday, then such regular meeting shall be held on the next succeeding
business day at the same hour, unless otherwise determined by the Board
of Directors. No notice of any regular meeting of the Board of Directors
need be given to the individual Directors.
3.Special Meetings. Special meetings of the Board of Directors shall be held
whenever called by the Chairperson of the Board or by a majority of the
Directors. Notices of all special meetings shall be provided to all Parties.
4. Quorum. A quorum is established if at least five (5) Directors are present
at a meeting, except that less than a quorum may adjourn a meeting to
another time and place or constitute a “committee of the whole” for
purposes of hearing reports or other matters not requiring action by the
Board of Directors. Unless otherwise provided in this Agreement, actions
and decisions of the Board of Directors may be taken by a majority of the
quorum present at any meeting.
1471730.1
5. Minutes. The Board of Directors shall cause minutes of all regular,
adjourned regular, and special meetings to be kept and present same for
approval by the Board of Directors.
6.Officers. The Board of Directors shall elect a chairperson and a vice
chairperson from among its Directors at the first meeting held in each
calendar year. In the event that the chairperson or vice chairperson so
elected ceases to be a Director, the resulting vacancy shall be filled at the
next regular meeting of the Board of Directors held after such vacancy
occurs or at a special meeting called for that purpose. In the absence or
inability of the chairperson to act, the vice chairperson shall act as
chairperson. The chairperson, or in the chairperson's absence, the vice
chairperson, shall preside at and conduct all Board of Director meetings.
7.Rules and Regulations. The Board of Directors may adopt, from time to
time, by resolution, such rules, regulations and bylaws for the conduct of
its meetings and affairs as the Board determines is necessary or
convenient.
Section 6. Additional Officers and Employees
a)Officers and Contract Staff.
1.SGVRHT may contract for officers and staff with a Party to this Agreement,
the San Gabriel Valley Council of Governments or other independent
contractors, agents, or volunteers as the Board of Directors may deem
necessary to carry out any of SGVRHT's powers, upon such terms and
conditions as the Board may require, including the retaining of professional
and technical assistance, provided that adequate funds are available in
SGVRHT's budget and are appropriated by SGVRHT therefore.
2.None of the officers, agents or staff, if any, directly contracted by SGVRHT
shall be deemed, by reason of their roles or duties or contracted status, to
be employed by any Party.
3.If SGVRHT contracts with a Party to this Agreement to provide SGVRHT
1471730.1
with administrative services through persons who are employees and/or
officers of the Party, then any retirement liabilities associated with that
Party's employees and/or officers shall not constitute a liability of SGVRHT
or any other Party to this Agreement.
4.All privileges and immunities from liability, exemptions from laws,
ordinances and rules, and benefits that apply to officers, agents or
employees of a member Party shall apply to the same extent when
performing duties for SGVRHT.
b)Treasurer and Auditor/Controller. Pursuant to Government Code Sections 6505.5
and 6505.6, the Board of Directors shall appoint an officer or employee of
SGVRHT, the treasurer of a Party to this Agreement or a certified public
accountant to hold the offices of treasurer and auditor for SGVRHT. Such person
or persons shall possess the powers of and shall perform the treasurer and
auditor functions for SGVRHT required by Sections 6505, 6505.5 and 6505.6 of
the Government Code, including any amendments thereto. Pursuant to
Government Code Section 6505.1, the auditor and treasurer shall have charge of
certain property of SGVRHT. The treasurer and auditor shall ensure that there
shall be strict accountability of all funds and reporting of all receipts and
disbursements of SGVRHT. The treasurer and auditor of SGVRHT shall be
required to file an official bond as required by Government Code section 6505.1
with the Board of Directors in an amount, which shall be established by the Board.
Should the existing bond or bonds of any such officer be extended to cover the
obligations provided herein, said bond shall be the official bond required herein.
The premiums on any such bonds attributable to the coverage required herein
shall be an appropriate expense of SGVRHT.
c)Attorney. The Board of Directors shall have the power to appoint one or more
legal advisors to SGVRHT who shall perform such duties as may be prescribed
by the Board.
Section 7. Financial Provisions
a)Fiscal Year. The Fiscal Year of SGVRHT shall, unless and until changed by the
1471730.1
Board of Directors, commence on the 1st day of July of each year and shall end
on the 30th day of June of the next succeeding year except that the initial Fiscal
Year of SGVRHT shall commence on the effective date of this Agreement and
end on the immediately following 30th day of June.
b) Budget.
1.General Budget. Within one hundred and twenty days (120) after the first
meeting of the Board of Directors, a general budget for the first fiscal year
shall be adopted by the vote of a majority of the membership of the Board
of Directors.
2.Expenditures for the Approved Budget. The payment of all SGVRHT
obligations is limited to the amount of appropriations allowed in SGVRHT's
approved budget, except as it may be revised with the approval of a
majority of all of the Directors of the Board of Directors.
c)Contributions by the Parties.
1.Administrative Cost Contributions. The Parties agree that they shall make
annual contributions (“Administrative Fee”) towards the budgeted
administrative costs of SGVRHT in accordance with a cost allocation
formula as outlined below:
Population Annual Administrative Fee
Up to 30,000 $10,000
30,001 – 60,000 $15,000
60,001 – 100,000 $20,000
100,001 – 175,000 $25,000
County (per district) $25,000
Affiliate Membership
Population Annual Administrative Fee
Up to 30,000 $2,000
30,001 – 60,000 $3,000
60,001 – 100,000 $4,000
1471730.1
100,001 – 175,000 $5,000
The Administrative Fee and Affiliate Fee (collectively, “Fees”) shall be
assessed annually. After the first fiscal year, the Fees shall increase
annually in an amount equal to the U.S. Bureau of Labor Statistics
consumer price index for the Los Angeles-Long Beach-Anaheim area for
the 12-month period preceding the year the Fees are assessed. Payment
of the Fees shall be due within 30 days of receipt of an invoice from the
SGVRHT. The invoice shall indicate how the Fees were calculated. A
Party's contribution to SGVRHT's administrative costs shall be in the form
of money, unless the Board of Directors approves another form of
contribution such as services, personal property or use of real or personal
property, or other in- kind contributions. The acceptance and valuation of
any such non-monetary contributions may be used to offset in whole or
part a Party’s contribution as determined in the sole and absolute
discretion of the Board of Directors. If a Party has received funding through
the County Measure H Program and allocates that funding to support the
start-up and operations of the SGVRHT, the funding will be credited
towards the Party’s first year Administrative Fee only. Notwithstanding the
above, after the first fiscal year the Board of Directors may establish Fees
in an amount the Board of Directors deems financially prudent; provided it
shall roughly be proportional as to each Party in the amounts reflected in
the table above.
2.Program Cost Contributions. In addition to a Party’s annual Administrative
Fee set forth above, the level of, and mechanism for involvement by
SGVRHT or a Party to any particular programs and program budget,
funded, sponsored or operated by SGVRHT, shall be determined and
approved by the Board of Directors.
d)Accounts and Reports.
1.Books and Records. There shall be strict accountability of all SGVRHT
funds and accounts and report of all SGVRHT receipts and disbursements.
1471730.1
Without limiting the generality of the foregoing, SGVRHT shall establish
and maintain such funds and accounts as may be required by good
government accounting practice. The books and records of SGVRHT shall
be open to inspection at all reasonable times by each Party and its duly
authorized representatives.
2.Annual Audit. The person appointed by the Board of Directors to perform
the auditor function for SGVRHT shall cause an annual independent audit
of the accounts and records of SGVRHT and records to be made by a
certified public accountant or firm of certified public accountants in
accordance with Government Code section 6505. Such audits shall be
delivered to each Party and shall be made available to the public.
3.Annual Financial Report. Pursuant to section 6539.6 of the Government
Code, SGVRHT shall publish an Annual Financial Report that shall
describe the funds received by SGVRHT and the use of such funds by
SGVRHT. The Annual Financial Report shall describe how the funds
received by SGVRHT have furthered the purpose of SGVRHT.
e) Funds. Subject to the applicable provisions of any instrument or agreement which
SGVRHT may enter into, which may provide for a trustee or other fiscal agent to
receive, have custody of and disburse SGVRHT funds, the person appointed by
the Board of Directors to perform the treasurer function for SGVRHT shall receive,
have the custody of and disburse SGVRHT funds in accordance with generally
accepted accounting practices, shall make the disbursements required by this
Agreement or to carry out any of the provisions or purposes of this Agreement.
Section 8. Amendments.
Unless otherwise specifically provided herein, this Agreement may not be amended or
modified except by writing and with approval of two-thirds of the governing bodies of all
the Parties and no other amendment or modification shall be of any force and effect
unless approved in accordance with this Agreement.
Section 9. Non-Liability for Obligations of SGVRHT.
1471730.1
The debts, liabilities and obligations of SGVRHT shall not be considered the debts,
liabilities or obligations of any Party or its respective officers, agents, employees,
representatives or volunteers.
a) Indemnification. The SGVRHT shall defend, indemnify and hold harmless each
Party, its officers, agents, employees, representatives and volunteers (the
“Indemnitees”) from and against any loss, injury, claim, lawsuit, liability, expense,
or damages of any kind or nature (collectively, “Claims”) brought by a third party
which arises out of or in connection with SGVRHT’s administration of this
Agreement, including such third party claims arising out of or in connection with
any Indemnitees acting within their authorized capacity as an officer, agent,
employee, representative or volunteer of SGVRHT. The SGVRHT’s duty to
defend and indemnify under this Section shall not extend to Claims otherwise
arising out of the Indemnitees’ own active negligence, omissions or willful
misconduct, whether in whole or part. The SGVRHT shall finance its obligation
pursuant to this Subsection by establishing a liability reserve fund, and/or by
purchasing commercial insurance, and/or by joining a joint powers insurance
authority (JPIA) as determined by the Board. In the event the SGVRHT’s financial
obligations to indemnify, defend and hold harmless, pursuant to this Subsection,
exceed the liability reserve fund and/or the proceeds from any applicable
insurance and/or JPIA coverage maintained by the SGVRHT (hereinafter
“Unfunded Liability”), a Party or Parties may meet and confer with SGVHRT in
good faith to negotiate alternative means or mechanisms by which SGVHRT may
fund such Unfunded Liability; however, in no event shall the event of an Unfunded
Liability relieve, limit or waive SGVHRT’s obligations of indemnity or defense to
each Party as first set forth above in this Section. Nothing herein shall obligate
any Party to indemnify or hold harmless SGVRHT for any Unfunded Liability.
b) Assignment. Each Party shall assign to the SGVRHT its rights, title, and interest
to recover damages from any third party for Claims arising out of this Agreement,
to the extent that the SGVRHT has met its obligations to defend and indemnify
such Party pursuant to this Section.
1471730.1
c)Survival. SGVRHT’s duty to defend, indemnify and hold harmless shall survive
and continue in full force and effect after withdrawal of any Party from this
Agreement, including as to the withdrawing Party, or termination of this
Agreement for any reason with respect to any Claims that occurred before the
date of such withdrawal or termination.
Section 10. Admission and Withdrawal of Parties.
a)Admission of New Parties. It is recognized that additional eligible entities other
than the Parties, may wish to join SGVRHT after the Effective Date. Such eligible
entities may become a Party to this Agreement upon such terms and conditions
as are established by this Agreement and the Board of Directors. As a condition
precedent to becoming a Party more than six months after the Effective Date, an
eligible entity may thereafter become a Party to this Agreement; provided that (1)
this Agreement is adopted by its governing body and (2) the eligible entity pays,
a late joining fee. The late joining fee shall be calculated by totaling the annual
affiliate fee the eligible entity would have paid under this Agreement had it been
an affiliate in all years prior to becoming a Party, minus any affiliate fees it actually
paid during those years. Notwithstanding the foregoing, an eligible entity’s late
joining fee shall not exceed two times the amount of the applicable annual
administrative fee existing at the time it becomes a Party. Payment shall be due
within 30 days of receipt of an invoice from SGVRHT.
b)Withdrawal from SGVRHT. A Party may withdraw from SGVRHT upon its
governing board's adoption of a resolution stating its intent withdraw from
SGVRHT. The withdrawal of any Party, unless otherwise provided by the Board
of Directors, shall be conditioned as follows:
1.The withdrawal shall be effective at the end of the SGVRHT fiscal year
which is at least six months after the receipt by SGVRHT of a written notice
of the Party’s intent to withdraw, accompanied by a copy of the governing
board resolution stating its intent to withdraw; and
2.Unless otherwise provided by a unanimous vote of the Board of Directors,
withdrawal shall result in the forfeiture of the withdrawing Party's rights and
1471730.1
claims relating to distribution of property and funds upon termination of
SGVRHT as set forth in Section 2 above. Withdrawn members shall not
be entitled to any reimbursement of Administrative Fees.
Section 11. Notices.
Notices required or permitted hereunder shall be sufficiently given if made in writing and
delivered either personally or by registered or certified mail, postage prepaid, to the
persons and entities listed at the addresses set forth in the attached Exhibit “A”, or to
such other address as may be designated to SGVRHT for formal notice.
Section 12. Miscellaneous.
a)Section Headings. The section headings herein are for convenience only and are
not to be construed as modifying or governing or in any manner affecting the
scope, meaning or intent of the provisions or language of this Agreement.
b) Counterparts. This Agreement may be executed in any number of counterparts,
each of which shall be deemed to be an original, but all together shall constitute
but one and the same Agreement.
c)Laws Governing. This Agreement is made in the State of California under the
Constitution and laws of such State and shall be construed and enforced in
accordance with the laws of California.
d) Severability. Should any part, term, portion or provision of this Agreement, or the
application thereof to any person or circumstance, be held to be illegal or in
conflict with any law of the State of California, or otherwise be rendered
unenforceable or ineffectual, it shall be deemed severable, and the remainder of
this Agreement or the application thereof to other persons or circumstances shall
continue to constitute the agreement the Parties intended to enter into in the first
instance.
e)Successors. This Agreement shall be binding upon and shall inure to the benefit
of the successors of the respective Parties hereto. No party may assign any right
or obligation hereunder without the written consent of a majority of the other
Parties.
IN WITNESS THEREOF, the Parties hereto have caused this Agreement to be
executed and attested by their duly authorized officers, as follows:
1471730.1
Party:
By:
Supervisor/Mayor
Attest:
Clerk
1
Temple City City Council
April 6, 2021
Background
•Dedicated funds held in trust for the planning & construction
of homeless, extremely low, very low, and low income
housing
•Authorized by SB 751 (Rubio) -signed October 2019
○Allows any city in the San Gabriel Valley and the County of
Los Angeles in the San Gabriel Valley to join a San Gabriel
Valley Regional Housing Trust Joint Powers Authority
○Allows Trust to issue bonds & other debt instruments
○Allows Trust to receive public & private funds and
financing
2
SGVRHT Opportunities
•Vehicle to fund and finance affordable housing &
homeless housing projects with dedicated
funds/structure for San Gabriel Valley
•Regional engagement
•Pool resources & leverage funds
•Maximize economies of scale
•Collaboration with stakeholders
•Local control
○Locally-appointed Board of Directors
○No projects funded in a city without approval of City
Council
●Appointed by SGVCOG Governing Board
●9 members
○7 members representing Parties to the
SGVRHT Agreement
○2 Housing/Homeless Experts
●2-year terms
●Oversee activities of the SGVRHT
○Priority/Goal Setting
○Funding disbursement
○Program development/management
SGVRHT Board of Directors
3
●Jurisdictional Representatives
o Northeast District: Gary Boyer (City of Glendora)
o Northwest District: Becky Shevlin (City of Monrovia)
o Southeast District: Patty Cortez (City of Covina)
o Central District: Jerry Velasco (City of El Monte)
o At-large Member: Adele Andrade-Stadler (City of Alhambra)
o At-large Member: Margaret Finlay (City of Duarte)
●Housing/Homeless Experts:
o Jed Leano, Councilmember, City of Claremont (Delegate);
Carol Averell, Housing Manager, City of Baldwin Park
(Alternate)
o Benita DeFrank, Neighborhood Services Director, City of
Pomona (Delegate); Alma Martinez, City Manager, City of El
Monte (Alternate)
SGVRHT Board of Directors
●Must be SGVCOG member
●Must execute joint powers agreement to join
●Payment of annual administrative fees
●Must provide written notice of exit 6 months
prior to start of new fiscal year
○If existing project in city, will be
responsible for administrative fee to
manage project
SGVRHT Participation
4
●Ensures ongoing revenues for SGVRHT
operations
●Provides funding for grant-ineligible
activities
●Population-based
SGVRHT Annual Administrative Fee
Population Amount
Up to 30,000 $10,000
30,001 -60,000 $15,000
60,001 -100,000 $20,000
100,001 -175,000 $25,000
County (per District)$25,000
●Allows city to show support for regional
affordable housing production
●Cannot receive funding for project or serve
on Board of Directors
●Population-based Administrative Fee
SGVRHT Annual Administrative Fee
Affiliate Membership
Population Amount
Up to 30,000 $2,000
30,001 -60,000 $3,000
60,001 -100,000 $4,000
100,001 -175,000 $5,000
County (per District)$5,000
5
Participating Cities
•Alhambra
•Arcadia
•Azusa
•Baldwin Park
•Claremont
•Covina
•Diamond Bar
•Duarte
•El Monte
•Glendora
•Irwindale
•La Canada Flintridge*
•La Verne
•Montebello
•Monrovia
•Pomona
•San Gabriel*
•South El Monte
•South Pasadena
•West Covina
* Affiliate Member
•Submitted a $1.2 million application to
State Local Housing Trust Fund (LHTF)
grant program
○125 affordable housing units of
affordable housing in cities of Pomona,
Claremont, and El Monte
•Approved project pipeline with 13 projects
totaling 585 units across the region
•Initiating fundraising campaign
Progress to Date
6
•Awarded annually to entitlement jurisdictions to
help meet the unmet need for affordable housing
and increase the supply of affordable units
•Eligible activity: matching funds for Regional
Housing Trust
•Approximately $1.3 million in allocated PLHA
funds: Alhambra, Baldwin Park, Claremont,
Covina, Duarte, La Canada Flintridge, La Verne,
Monrovia, South El Monte
Permanent Local Housing Allocation
(PLHA) Funds
Upcoming Activities
•Foundational planning efforts
o SGVRHT Strategic Plan
o San Gabriel Valley Surplus Land Use Study
o Housing Finance and Construction Innovation
Study and Pilot Program
o SGVRHT Housing Incubator
o Foundational planning efforts
•Preparation for spring 2021 LHTF application
•Ongoing fundraising efforts
7
Questions?
13
Project Pipeline
8
LHTF Application
SAN GABRIEL VALLEY REGIONAL HOUSING TRUST FULL-MEMBER CITIES
•Alhambra
•Arcadia
•Azusa
•Baldwin Park
•Claremont
•Covina
•Diamond Bar
•Duarte
•El Monte
•Glendora
•La Verne
•Monrovia
•Pomona
•South El Monte
•South Pasadena
REPORT
DATE: December 2, 2020
TO: Board of Directors
FROM: Marisa Creter, Executive Director
RE: PERMANENT LOCAL HOUSING ALLOCATION (PLHA) FUNDS AND
SGVRHT ANNUAL ADMINISTRATIVE AND AFFILIATE FEES
RECOMMENDED ACTION
Adopt Resolution 20-21 allowing use of PLHA funds for a portion of SGVRHT annual
administrative and affiliate fees.
BACKGROUND
In 2017, Governor Brown signed Senate Bill 2 (SB 2), known as the Building Homes and
Jobs Act, which established a $75 recording fee on real estate documents to increase the
supply of affordable housing. The Act establishes the Permanent Local Housing
Allocation (PLHA) program administered by the California Department of Housing and
Community Development (HCD). The PLHA program provides a permanent source of
funding to cities and counties to help address the unmet need for affordable housing and
increase the supply of affordable housing units. PLHA funding is provided annually.
Eligible activities for the PLHA funding include the development of affordable rental
housing, assisting persons experiencing or at risk of homelessness, supporting efforts to
acquire and rehabilitate foreclosed or vacant homes and apartments, or as matching
portions of funds placed into local or regional housing trust funds. SGVRHT has also been
informed that an eligible use of PLHA funds is for the administrative costs associated with
operating a regional housing trust.
PLHA program funding is awarded as formula grants to entitlement and non-entitlement
jurisdictions based on the formula prescribed under federal law for the Community
Development Block Grant (CDBG) program. Those cities that partner with the County of
Los Angeles to administer their CDBG funds will receive their annual PLHA allocation
through the County. In this fiscal year, the County has indicated that it will use its PLHA
funding to administer a Countywide Eviction Defense Program (EDP) to provide legal
defense and eviction prevention resources for all eligible residents at-risk of
homelessness. Cities were also able to request that their funds instead be allocated
towards another eligible program. For FY 2020-21, the County requested notification by
October 15, 2020, if a City were interested in allocating funds towards another program.
LA County has indicated that it intends to return to its participating cities in the spring of
2021 to request notification on how cities intend to use their FY 2021-22 PLHA funding
allocation.
The San Gabriel Valley Regional Housing Trust (SGVRHT) is able to receive both private
and public funds. One potential source of public funds is PLHA funds. Member cities could
allocate their PLHA funds to the SGVRHT for program eligible expenses, which include
use as capital funds to produce affordable and homeless housing. Additionally, PLHA
funds are eligible for use as matching funds for the State Local Housing Trust Fund
(LHTF) application, which is anticipated to be released in the spring of 2020.
DISCUSSION
Annual administrative fees and affiliate member fees support the general operational
expenses of the SGVRHT. Cities are responsible for their annual administrative fee or
affiliate member fee to the SGVRHT and have inquired about using PLHA as a source for
this fee. The SGVRHT would like to encourage member agencies to allocate PHLA funds
to the SGVRHT in order to leverage and maximize capital funds, and staff recognizes
allowing a portion of the funds to be used to cover annual administrative fees could be an
incentive to do so. To this end, staff has developed proposals for both the annual
administrative fee for full members and the affiliate membership fee.
Annual Administrative Fee (Full Members)
Staff therefore proposes that 10% of a member’s city’s PLHA allocation to the SGVRHT
may be applied to cover annual administrative fees, up to 50% of the city’s annual
administrative fee.
Annual
administrative fee
PLHA allocation to
SGVRHT
PLHA allocation
applied to annual
administrative fee
(10% of PLHA
Allocation or 50% of
administrative fee)
Limit on PLHA
applied to annual
administrative fee
(50% of administrative
fee)
City A $10,000 $30,000 $3,000 $5,000
City B $10,000 $50,000 $5,000 $5,000
City C $20,000 $120,000 $10,000 $10,000
In the case of City A, which allocated $30,000 of its PLHA to the SGVRHT, their PLHA
allocation eligible to be applied towards the annual administrative fee would be $3,000,
equal to 10% of their PLHA allocation. This is less than the limit of $5,000, equal to 50%
of the City A’s $10,000 annual administrative fee which would be achieved by a PLHA
allocation of $50,000 or more. In the case of City B, its allocation of $50,000 of PLHA
funds would allow for $5,000 in PLHA funds to be applied towards their annual
administrative fee and would equal the limit of 50% of their $10,000 annual administrative
fee. In the case of City C, 10% of their PLHA allocation of $120,000 totals $12,000, which
exceeds the limit of 50% of their annual administrative fee. In this case, City C’s PLHA
eligible to be applied towards annual administrative fee would be subject to the
aforementioned limit and would equal $10,000.
Affiliate Membership Free
Staff also proposes that 10% of an affiliate member’s PLHA allocation to the SGVRHT
may be applied to cover affiliate fee, up to 100% of the affiliate fee. Examples are shown
in the chart below:
Affiliate fee PLHA allocation
to SGVRHT
PLHA allocation
applied to
affiliate fee
(10% of PLHA
Allocation or
100% of
administrative
fee)
Limit on
PLHA applied
to affiliate fee
(100% of
affiliate fee)
City A $2,000 $5,000 $500 $2,000
City B $2,000 $20,000 $2,000 $2,000
City C $5,000 $120,000 $5,000 $5,000
In the case of City A, which allocated $5,000 of its PLHA funding to the SGVRHT, their
PLHA allocation eligible to be applied to towards the annual affiliate fee would be $500.
This is less than the limit of 100% of the affiliate fee which would be achieved by a PLHA
allocation of $20,000 or greater. In the case of City B, its allocation of $20,000 of PLHA
funds would mean that their PLHA allocation eligible towards the affiliate fee would equal
their affiliate fee. In the case of City C, 10% of their PLHA allocation of $120,000 totals
$12,000, which exceeds the limit of 100% of the City’s affiliate fee, and City C would be
eligible to apply $5,000 towards their affiliate fee.
NEXT STEPS
If approved, this policy would come into effective for the PLHA awards to be announced
in spring 2021 and will be applied to administrative and affiliate fees for FY 2021-2022.
PLHA allocations are only eligible to be applied to annual administrative and affiliate
member fees in the fiscal years that the allocation is made to the SGVRHT cannot be
applied across multiple years. At the time a member agency or affiliate member allocates
PLHA funds to SGVRHT, it shall state in writing the percentage of its allocation it desires
to be applied toward its annual administrative fee or annual affiliate fee, up to the Board
approved capped amounts.
Prepared by: ____________________________________________
Brielle Acevedo
Principal Management Analyst
Approved by: ____________________________________________
Marisa Creter
Executive Director
ATTACHMENTS
Attachment A – Resolution 20-21
RESOLUTION NO. 20-21
A RESOLUTION OF THE SAN GABRIEL VALLEY REGIONAL HOUSING TRUST
APPROVING PERCENTAGE OF PERMANENT LOCAL HOUSING (PLHA)
ALLOCATION TO SGVRHT APPLIED TO ANNUAL ADMINISTRATIVE AND
AFFILIATE FEE
WHEREAS, the San Gabriel Regional Housing Trust (SGVRHT) charges annual
administrative fees to members and affiliate fees to affiliate members to support the
ongoing operations and administration of the SGVRHT; and
WHEREAS, cities will be awarded Permanent Local Housing Allocation (PLHA)
funds to support the development of affordable housing and prevent residents from falling
into homelessness; and
WHEREAS, eligible activities for the use of these PLHA funds is as matching funds
for a regional housing trust and for the administration of a regional housing trust; and
WHEREAS, member and affiliate cities would like to apply a percentage of their
PLHA allocations to the SGVRHT to their annual administrative and affiliate member fees.
NOW, THEREFORE, NOW, THEREFORE, BE IT RESOLVED that the Board
adopts the following PLHA Percentage Allocation to Administrative and Affiliate fee:
1.Member agencies: A member agency may apply up to 10% of its annual PLHA
allocation to the SGVRHT toward no more than 50% of its annual administrative
fee.
2.Affiliate members: An affiliate member may apply up to 10% of its annual PLHA
allocation to the SGVRHT toward no more than 100% of its annual affiliate fee.
3.At the time a member agency or affiliate member allocates PLHA funds to
SGVRHT, it shall state in writing the percentage of its allocation it desires to be
applied toward its annual administrative fee or annual affiliate fee, as
applicable.
PASSED AND ADOPTED at a regular meeting of the Board of Directors of SGVRHT
held, on the 2nd day of December, 2020.
San Gabriel Valley Regional Housing Trust
_______________________________
Jed Leano, Chair
Attest:
I, Marisa Creter, Executive Director and Secretary of the Board of Directors of the San
Gabriel Valley Regional Housing Trust, do hereby certify that the foregoing Resolution
was adopted at a regular meeting of the Board of Directors held on the 2nd day of
December 2020, by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
_________________________________
Marisa Creter, Secretary
NUMBER: 21-0004
DATE: MAY 13, 2021
SUBJECT: 2020 PROGRAM ALLOCATIONS, YEAR 2 FOR THE
PERMANENT LOCAL HOUSING ALLOCATION (PLHA)
PROGRAM FOR URBAN COUNTY PARTICIPATING
CITIES
EFFECTIVE DATE: IMMEDIATELY PAGE 1 OF 2
TO: PARTICIPATING CITIES
The Los Angeles County Development Authority (LAGOA) would like to inform our Partner Cities about the status
of the Permanent Local Housing Allocation (PLHA) Program funding for Year 1 and the Notice of Funding
Availability (NOFA) released for Year 2. As some of you may know, the State was initially delayed in starting
Year 1 (2019 Allocation) of this new program and is now trying to get on a schedule. The Year 1 Allocation for
the PLHA Program is now being followed quickly by the Year 2 Allocation (2020 Allocation). The program year
for the PLHA Program will begin on July 1st and end on June 30th•
The initial PLHA application for Year 1, which was submitted to the State on July 27, 2020 requested that 100%
of the funding be dedicated to Eviction Defense activities (see attachment B for Eligible Activities). Because we
were still learning about the legislation and this new program, and we had a short time frame to submit the
application to the State it was determined that Eviction Defense would be the best activity to request funds for;
Rental Assistance was critically needed this past year, and still is for many households in Los Angeles County.
We knew that we would submit an amendment to the State-approved PLHA Plan to include activities for the
cities that would support other housing efforts.
Last fall, in October 2020 the California State Department of Housing and Community Development (HCD)
determined that the PLHA Program funding for Year 1 would be approved and awarded a grant to the County
for funding activities under PLHA Program Eligible Activity 301 (a)(6). All funds (with the exception of the
administrative allocation) would be directed to Eviction Defense activities. At the time, the HCD informed us that
funding for other eligible activities would require an amendment to the PLHA Program Five (5) Year Plan.
During the months of November and December, we inquired from cities what activities they would like to
implement with the PLHA funding. In January 2021, the LAC DA received approval of the original PLHA Five (5)
Year Plan and was issued a Standard Agreement from the State. The Board of Supervisors approved and
adopted the Amended Plan on February 9, 2021, which was submitted to PLHA State officials. However,
because the timing was so close to the release of the NOFA for Year 2 of the PLHA Program they would review
the amendment together with our application for Year 2 of the PLHA Program.
ATTACHMENT C
Participating Cities
May 13, 2021
Page 2
The NOFA for Year 2 of the PLHA Program has been released. The LACDA, on behalf of the County, will apply
for its annual allocation. This allocation includes funding for the LACDA to administer the program and for the
Urban County Participating Cities to implement affordable housing programs. Cities that are partners of the
County through the Urban County Cooperation Agreement will be able to access their allocations for this housing
program through the LACDA. We have been informed that the County will receive an allocation of $17,136,476
for Year 2 of this program. Attachment A indicates in more detail how the allocation is distributed.
Cities should consider the proposed activity they would like to fund (Attachment B) for Year 2 of this program.
Funding will not be released for the City PLHA funded activities until the State approves our amendment.
We have already learned that there will be some changes to the PLHA eligible activities and Partner Cities will
have the option to reconsider their activity or designate their funding to a local or Regional Housing Trust. Any
unused funding will be rolled over to the following calendar year and can be designated to the Eligible Activity.
Cities should utilize the grant funds for eligible activities and identify them, using the enclosed form "Proposed
Program for the State Permanent Local Housing Allocation Program" (Attachment C). This form should be
completed and submitted to the LACDA, along with a Resolution (Sample Resolution enclosed,
Attachment D) indicating City Council approval by no later than June 30, 2021.
Given the unique set of circumstances that we continue to find ourselves in this year, we can only convey the
information we have to date. The County and its' Partner Cities should be prepared to begin implementing these
programs by July 1, 2021. We will communicate closely with cities and keep you apprised of information and
the schedule regarding this program as soon as we receive information from the State.
Please be aware that the County cannot issue PLHA funding until we receive funding from the State. You may
contact Jenny Salazar, PLHA Specialist, at 626.586.1533 or jenny.salazar@lacda.org, should you need
assistance in this matter or have any questions related to the PLHA Program.
Sincerely,
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LINDA JENKINS, Acting Director
Community & Economic Development Division
LJ:HR:ob
K:1GMU COMMON\BULLETINS (Working File - WORD Version)\CDBG\202112020 Program Allocation PLHA.docx
Attachments
pages 1
Attachment A
Permanent Local Housing Allocation 2020 Total Urban County Entitlement $17,136,461
Less Administration (5%) ($856,823)
Total 2021-2022 to be Allocated $16,279,638
Population Poverty Overcrwding
City 2015 2015 2015 Factor Allocation
AGOURA HILLS 20,697 1194 65 0.004345193 $70,738
ARCADIA 57,564 5486 735 0.017424818 $283,670
AVALON 3,777 539 313 0.002380354 $38,751
AZUSA 48,033 7569 1,758 0.023293918 $379,217
BELL 35,998 9947 2,394 0.027934862 $454,769
BELL GARDENS 42,842 11935 3,556 0.035962885 $585,463
BEVERLY HILLS 34,663 3100 317 0.009723729 $158,299
CALABASAS 24,075 1897 62 0.005785489 $94,186
CLAREMONT 35,762 2591 300 0.009000859 $146,531
COMMERCE 13,017 2052 724 0.007213434 $117,432
COVINA 48,587 5245 1,042 0.017183349 $279,739
CUDAHY 24,138 7527 1,922 0.021198893 $345,110
CULVER CITY 39,469 3491 803 0.012618399 $205,423
DIAMOND BAR 56,471 3919 322 0.013396981 $218,098
DUARTE 21,769 3313 535 0.009425774 $153,448
EL SEGUNDO 16,929 1224 208 0.004496691 $73,204
HAWAIIAN GARDENS 14,475 4426 806 0.011318428 $184,260
HIDDEN HILLS 1,557 76 2 0.000295148 $4,805
HERMOSA BEACH 19,747 783 79 0.003660287 $59,588
IRWINDALE 1,426 178 31 0.000542803 $8,837
LA CANADA-FLINTRIDGE 20526 518 129 0.003520497 $57,312
LA HABRA HEIGHTS 5,425 186 39 0.001023701 $16,665
LA MIRADA 49,182 3453 1,257 0.015277139 $248,706
LA PUENTE 40,496 5853 1,911 0.020385377 $331,867
LA VERNE 31,920 2576 352 0.008744464 $142,357
LAWNDALE 33,231 5915 1,639 0.018693836 $304,329
LOMITA 20,622 3009 479 0.008629249 $140,481
MALIBU 12,856 1339 95 0.003815106 $62,109
MANHATTAN BEACH 35,603 1416 90 0.006415414 $104,441
MAYWOOD 27,739 8284 2,405 0.024512447 $399,054
MONROVIA 37,164 3738 685 0.012315745 $200,496
RANCHO PALOS VERDES 42,464 1799 277 0.008437302 $137,356
ROLLING HILLS ESTS 8188 444 43 0.001738249 $28,298
SAN DIMAS 34,073 2283 223 0.008062317 $131,252
SAN FERNANDO 24,296 4563 947 0.013120635 $213,599
SAN GABRIEL 40,198 5492 1,402 0.017948713 $292,199
SAN MARINO 13,353 740 108 0.002996815 $48,787
SANTA FE SPRINGS 17,162 2153 660 0.007591641 $123,589
SIERRA MADRE 11,084 636 62 0.002420530 $39,405
SIGNAL HILL 11,332 2041 515 0.006251968 $101,780
SOUTH EL MONTE 20,483 4200 995 0.012318315 $200,538
SOUTH PASADENA 25,999 2025 319 0.007127353 $116,031
TEMPLE CITY 36,079 3414 745 0.011916778 $194,001
WALNUT 29,970 1999 223 0.007175079 $116,808
WEST HOLLYWOOD 35,332 5408 311 0.013320883 $216,859
WESTLAKE VILLAGE
TOTAL PARTICIPATING
8,471 512 16 0.001775713 $28,908
CITIES 1,234,244 150,488 31,901 0.482737559 $7,858,793
Supervisorial Districts (Unincorporated Area only) *
I. 262483 52,187 13,007 0.156276164 $2,544,119
II. 253210 64,961 12,653 0.173593546 $2,826,040
III. 21,410 1,826 60 0.005377334 $87,541
IV. 223783 24,416 6,599 0.086079046 $1,401,336
V. 279396 31,613 4,587 0.095936351 $1,561,809
TOTAL DISTRICTS 1,040,282 175,002 36,907 0.517262441 $8,420,845
TOTAL ALLOCATIONS 2,274,526 325,490 68,808 100% $16,279,638
ATTACHMENT B
PERMANENT LOCAL HOUSING ALLOCATION (PLHA)
LIST OF ELIGIBLE ACTIVITIES
Eligible activities for the formula allocations are:
1.The predevelopment, development, acquisition, rehabilitation, and preservation of
multifamily, residential live-work, or rental housing that is affordable to extremely low-,
very low-, low-, or moderate-income households (up to 120 percent of Area Median Income
(AMI), or 150 percent of AMI in High-cost areas, see appendix B for a list of High-cost
areas ), including necessary Operating subsidies.
Note: Predevelopment and/or acquisition must result in the development,
rehabilitation, or preservation of housing, as otherwise there is no actual housing
outcome of the predevelopment or acquisition assistance.
2.The predevelopment, development, acquisition, rehabilitation, and preservation of
Affordable rental and ownership housing, including Accessory Dwelling Units (ADUs), that
meets the needs of a growing workforce earning up to 120 percent of Area Median Income
(AMI), or 150 percent of AMI in High-cost areas. ADUs shall be available for occupancy
for a term of no less than 30 days. See Appendix B for a list of High-cost areas in
California.
Note: Predevelopment and/or acquisition must result in the development,
rehabilitation, or preservation of Affordable rental and ownership housing, as
otherwise there is no actual housing outcome of the predevelopment or acquisition
assistance.
3.Matching portions of funds placed into Local or Regional Housing Trust Funds.
Matching funds must be utilized as required by PLHA guidelines Section 301(a).
4.Matching portions of funds available through the Low- and Moderate-Income Housing
Asset Fund pursuant to subdivision (d) of HSC Section 34176. Matching funds must be
utilized as required by PLHA guidelines Section 301(a).
5.Capitalized Reserves for Services connected to the preservation and creation of new
Permanent Supportive Housing.
6.Assisting persons who are experiencing or At risk of homelessness in conformance with 24
Code of Federal Regulations (CFR Section 578.3),including
Rapid rehousing in conformance with federal rules contained in 24 CFR
Section 576.104, except for legal services;
Rental assistance with a term of at least six (6) months (rental arrears is not
eligible);
Street outreach, and other Supportive/case management services in conformance
with federal rules contained in 24 CFR Section 576.101 that allow people to
obtain and retain housing;
Operating and capital costs for navigation centers and emergency shelters, and the
new construction, rehabilitation, and preservation of permanent and transitional
housing.
a.This Activity may include subawards to Administrative Entities as defined in
HSC Section 50490(a)(1-3) that were awarded California Emergency Solutions
and Housing (CESH) Program or Homeless Emergency Aid Program (HEAP)
funds for rental assistance to continue assistance to these households.
b.Applicants must provide rapid rehousing, rental assistance, navigation centers,
emergency shelter, and transitional housing activities in a manner consistent with
the Housing First practices described in 25 CCR, Section 8409, subdivision
(b)(1)-(6) and in compliance with Welfare Institutions Code (WIC) Section
8255(b)(8). An Applicant allocated funds for the new construction, rehabilitation,
and preservation of Permanent supportive housing shall incorporate the core
components of Housing First, as provided in WIC Section 8255(b).
7.Accessibility modifications in Lower-income (up to 80 percent of AMI) Owner-occupied
housing.
8.Efforts to acquire and rehabilitate foreclosed or vacant homes and apartments.
9.Homeownership opportunities, including, but not limited to, down payment assistance.
10.Fiscal incentives made by a county to a city within the county to incentivize approval of
one or more Affordable housing projects, or matching funds invested by a county in an
Affordable housing development project in a city within the county, provided that the city
has made an equal or greater investment in the project. The county fiscal incentives shall
be in the form of a grant or low-interest loan to an Affordable housing project. Matching
funds investments by both the county and the city also shall be a grant or low interest
deferred loan to the Affordable housing project.
ATTACHMENT C
PROPOSED ACTIVITY OR ACTIVITIES
FOR YEAR TWO OF THE STATE
PERMANENT LOCAL HOUSING ALLOCATION PROGRAM
City Name: __________________________________ Date: __________________
Name and Description of the Eligible Activity or Activities the City would like to Implement
Using PLHA funds:
_________________________________________________________________________
_________________________________________________________________________
_________________________________________________________________________
_________________________________________________________________________
Budget(s) Proposed for Activity or Activities:
_________________________________________________________________________
_________________________________________________________________________
_________________________________________________________________________
_________________________________________________________________________
Pertinent Facts and Information about the Priority Need for this Activity or Activities in your
City:
_________________________________________________________________________
_________________________________________________________________________
_________________________________________________________________________
Please check box to continue implementing PLHA Eligible Activity from prior year
$____________ (PLHA Funds distribution) to ___________________________
$____________ (PLHA Funds distribution) to ___________________________
Submitted by: _________________________________
Date: ________________________________________
Title: ________________________________________
x
ATTACHMENT D
RESOLUTION NO.______________________
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ________________ APPROVING
PARTICIPATION IN THE LOS ANGELES URBAN COUNTY PERMENENT LOCAL HOUSING ALLOCATION
PROGRAM BY AUTHORIZING THE MAYOR, OR HIS/HER DESIGNEE, TO SIGN A REIMBURSABLE
CONTRACT WITH THE LOS ANGELES COUNTY DEVELOPMENT AUTHORITY (LACDA) ACTING ON
BEHALF OF THE COUNTY.
WHEREAS,the City of ______________________________ desires to participate in the Los Angeles Urban County
Permanent Local Housing Allocation (PLHA) Program; and
WHEREAS,the city authorizes the execution of a Reimbursable Contract with the County of Los Angeles in order to receive
said PLHA funds;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF _________ AS FOLLOWS:
SECTION 1. The City Council authorizes the Mayor, or his/her designee, to execute any and all documents
necessary forparticipation in the Los Angeles UrbanCountyPLHA Program onbehalfof the City of ___________________.
PASSED, APPROVED, AND ADOPTED this (date) day of __________ 2021.
______________________________
(name), Mayor
ATTEST:
_____________________________
(NAME), City Clerk
I, ______________, City Clerk of the City of ___________, do hereby certify that the foregoing resolution was introduced
and adopted at a regular meeting of the City Council of the City of ___________ held on the (date) day of _______, by the
following votes:
AYES:
NOES:
ABSENT:
ABSTAIN:
_____________________________
(name), City Clerk
K:\CDBG COMMON\PLHA\PLHA \sample resolution for a city.docx