201 S. Anaheim Blvd.
Suite #1003
Anaheim, CA 92805
Tel: (714) 765-4300
Fax: (714) 765-4630
www.anaheim.net
CITY COUNCIL AGENDA REPORT
City of Anaheim
HOUSING & COMMUNITY DEVELOPMENT
DEPARTMENT
DATE: NOVEMBER 28, 2023
FROM: HOUSING & COMMUNITY DEVELOPMENT DEPARTMENT
SUBJECT: ACCEPTANCE OF CALOPTIMA HEALTH GRANT FOR THE
COMPLETION OF THE FINAMORE PLACE AFFORDABLE
HOUSING DEVELOPMENT
ATTACHMENT (Y/N): YES ITEM # 25
GOVERNMENT CODE § 84308 APPLIES:
RECOMMENDATION:
That the City Council, by Motion, 1) ratify the submission of the CalOptima Health Capital Grant application, 2) approve the grant agreement with CalOptima Health in the amount of $1,500,000, substantially in the form attached authorizing the use of these funds for the Finamore Place affordable housing development, 3) authorize the City Manager, or designee, to execute all documents and agreements required to receive and administer this grant and related activities, 4) increase the Housing and Community Development Department’s Fiscal Year 2023/24 revenue and expenditures budget by $1,500,000.
DISCUSSION:
The Housing and Community Development Department seeks to enter into an agreement with CalOptima Health to accept a grant award in the amount of $1,500,000 for last-mile funding for the completion of the Finamore Place affordable housing development which will provide 102 units of affordable housing for individuals and families; 20 units of which are designated to households with lived experience of homelessness.
CalOptima Health released a Notice of Funding Opportunity (NOFO) on June 22, 2023, for capital projects that demonstrate the ability to increase the number of people connected to permanent housing or increase the number of permanent housing units. The funding for this opportunity derives from the State’s Housing and Homelessness Incentive Program (HHIP), which prioritizes addressing the social determinants of health and health disparities for people at risk or currently experiencing homelessness.
While Finamore Place is now complete and fully leased, conversion of construction loans to permanent financing debt is still pending because it was necessary to identify additional capital to address increased costs associated with material and labor shortages all attributed to COVID shutdowns.
CalOptima Health HHIP Grant – Finamore Place
November 28, 2023
In August of 2023, the City received notification that the application for funding was successful and a grant award for $1,500,000 was approved by the CalOptima Board.
The grant award term is December 1, 2023, to December 30, 2024. To accept the $1,500,000 grant from CalOptima Health, the City must meet the following reporting requirements of the agreement:
• Semi-annual progress report due June 30, 2024
• Final project close-out report due December 30, 2024
Acceptance of Cal Optima funds helps to advance the work of the City to increase the stock of affordable housing in Anaheim.
IMPACT ON BUDGET:
The Housing and Community Development Department’s FY 2023/24 revenue and expenditures budget will be increased by $1,500,000 by accepting the grant award.
Respectfully submitted,
Grace Stepter
Director of Housing and Community Development
Attachment:
1. CalOptima Health HHIP Round 2 Agreement for Finamore Place