From: David Loya
To: Rhea Varley; Beth Redfern
Subject: FW: CDBG AHP Request for Funds
Date: Wednesday, February 25, 2026 10:44:42 AM
Attachments: CDBG_AHP Request for Funds.pdf
FYI – Blue folder
David Loya (him)
Community Development Director
City of Arcata
p. 707-825-2045
c. 707-834-5013
I acknowledge my residence in Goudi'ni (Arcata), part of the ancestral territory of the Wiyot peoples.
I offer my reconciliation and respect to their elders past and present. https://www.wiyot.us/162/Wiyot-Placename-Video
From: Darlene Spoor <[email protected]>
Sent: Tuesday, February 24, 2026 5:55 PM
To: Alex Stillman <[email protected]>; Stacy Atkins-Salazar <[email protected]>; [email protected]; Kimberley White <[email protected]>; Sarah Schaefer <[email protected]> Cc: David Loya <[email protected]>; Jennifer Dart <[email protected]>; Merritt Perry <[email protected]>
Subject: CDBG AHP Request for Funds
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City Council Members
Attached please find our request for funds to consider
prior to or at the meeting this Thursday at 5:00 pm.
Darlene
Darlene A. Spoor, Ed.D.
Executive Director
Arcata House Partnership
4677 Valley West Blvd.
Arcata, CA 95521
707-822-4528 x 106
In partnership with the City of Arcata, Arcata House Partnership (AHP) developed The Grove, a 60-unit affordable housing community serving individuals with incomes at or below 30% of Area Median Income.
Many residents are seniors, individuals living with disabilities, and people who have experienced homelessness.
AHP made the mission-driven decision to open The Grove as soon as units were habitable in order to respond immediately to the urgent housing crisis in our community. Rather than delay occupancy until every capital improvement was fully funded, we chose to house people quickly and safely. That decision has already stabilized dozens of vulnerable residents.
We are now seeking $2.9 million to complete the remaining capital improvements necessary to ensure the long-term safety, sustainability, accessibility, and operational efficiency of the property.
CDBG REQUEST FOR FUNDS
www.arcatahouse.org
PROJECT OVERVIEW
WWHHOO TTHHEE GGRROOVVEE SSEERRVVEESS
At The Grove:
56 residents are currently housed
61% are age 55 or older
100% are living with a disability
96% have been stably housed for 6
months or more
Funding Request: $2,900,000
4701 Valley West Blvd., Arcata, CA
The Grove provides not only
housing, but stability,
dignity, and access to
supportive services
The Grove provides not only
housing, but stability,
dignity, and access to
supportive services
People on fixed incomes who
cannot afford market rents
Grandparents who lost housing
after a medical crisis or income
reduction
Victims who fled domestic violence
Community members who became
homeless due to rising housing costs
Employees who could no longer
work due to health conditions
DEVELOPING THE GROVE AT VALLEY WEST
Research consistently shows that chronically homeless individuals cost public systems significantly more when unhoused due to emergency room visits, hospitalizations, law enforcement contact, and crisis services.
Even modest reductions in:
· ER visits
· Psychiatric holds
· Ambulance transport
· Jail stays
Produce measurable cost offsets.
Stability reduces crisis utilization. Housing is often the most costeffective intervention available. www.arcatahouse.org
PROJECT OVERVIEW
WWHHOO TTHHEE GGRROOVVEE SSEERRVVEESS
Chronically homeless prior to move-in: 56 (100 %)
Formerly unsheltered: 100 %
Veterans: 2 (3.5 %)
Households on fixed income (SSI/SSDI) or zero income: 100 % Average annual household income: $9,000
Average monthly income: $750
Income Level:
· 100% of residents are at or below 30% of AMI which is: $1,646 per month · 100% pay no more than 30% of income toward rent
· Average tenant rent contribution: $264.00 per month
· Average gap per unit (difference between tenant rent and fair market rent): $848 · Annual subsidy gap across 60 units: $243,324
These are residents who cannot compete in Arcata’s private rental market — even modest rent increases would result in displacement.
The Grove is already stabilizing lives — this funding ensures that the stability of the project continues for decades
The Grove is already stabilizing lives — this funding ensures that the stability of the project continues for decades
Solar - new with backup $708,000.00
16 units rehabilitated $844,000.00
Engineering and plans $55,138.00
Accessible sidewalks $501,500.00
Relocation during sidewalk
rennovation
$4,602.00
Roof replacement $289,100.00
Gutter replacement $53,100.00
Fence replacement $50,000.00
Furniture replacement $50,000.00
60 new doors and locks $295,000.00
PTAC units / materials only - no labor for
installation
$49,560.00
Prevailing wage applies
Total $2,900,000.00
www.arcatahouse.org
CAPITAL IMPROVEMENT
BUDGET SUMMARY
Funding Requested: $2,900,000
Below is a breakdown of priority items and how each directly supports housing stability, safety, and long-term affordability.
2. RENOVATION OF 16 UNITS
– $844,000
2. RENOVATION OF 16 UNITS
– $844,000
($52,750 per unit; using original scope/design
These 16 units require rehabilitation to meet the condition of the other units. Renovation will:
· Ensure safe and sanitary living conditions
· Prevent further structural deterioration
· Create housing equity within the property
· Protect long-term asset value
Without these upgrades, the units risk becoming
uninhabitable, reducing total affordable housing inventory
1. SOLAR REPLACEMENT WITH BATTERY
BACKUP – $708,000
1. SOLAR REPLACEMENT WITH BATTERY
BACKUP – $708,000
The existing solar system is nonfunctional. Replacing it with a new system and battery backup will:
· Reduce long-term operating costs
· Stabilize utility expenses
· Provide resilience during power outages
This investment lowers operating subsidies over time and strengthens the sustainability of the property.
3.ENGINEERING, PLANS & PERMITTING
– $55,138
3.ENGINEERING, PLANS & PERMITTING
– $55,138
Professional engineering and required permitting ensure:
· Code compliance
· Structural safety
· Proper installation of major systems
· Protection of public investment
www.arcatahouse.org
I am a 79 year old
woman. I was unhoused
for many years. I have
been at The Grove since
it opened. I am so happy
to be here. This is a
beautiful community.
The staff and
management look out
for us and care about
our safety. From
responding quickly to
any and all issues that
arise, to providing us
with a weekly food
pantry, The Grove is a
wonderful place and I
am grateful to be a part
of this community”
-Grove Tenant
5. ROOF REPLACEMENT – $289,100
The existing roof requires replacement to:
· Prevent water intrusion
· Avoid mold and structural damage
· Protect interior renovations
· Prevent costly emergency repairs
A failing roof threatens the entire property investment.
4. ACCESSIBLE SIDEWALK IMPROVEMENTS
– $501,500
4. ACCESSIBLE SIDEWALK IMPROVEMENTS
– $501,500
ADA-accessible sidewalks are essential for residents with disabilities and seniors. Improvements will:
· Reduce fall risk
· Improve mobility
· Ensure ADA compliance
· Increase safe access to services and transit
Accessibility upgrades are critical given the high
percentage of elderly and disabled residents.
6. GUTTER REPLACEMENT – $53,100
New gutters will:
· Protect the building structure
· Reduce erosion
· Prevent long-term water damage
www.arcatahouse.org
7. FENCE REPLACEMENT – $50,000
Security fencing is essential for:
· Resident safety
· Reducing trespassing
· Preventing theft and vandalism
· Supporting trauma-informed housing practices
I was a 69 year old
woman. I had
serious mental
health and physical
health challenges. I
had lived on the
streets for many
years, after being a
teacher all my life.
My mental health
challenges caused
me to lose
everything I had, my
career, my home and
ultimately my health.
I obtained housing
through the hard
work of the outreach
team at the Annex,
and was housed at
the Grove. I passed
away in December of
2025 in my cute and
cozy home, with my
friends, in a
community I came to
love.
-Grove Tenant
9. PTAC HEATING UNITS (MATERIALS ONLY)
– $49,560
9. PTAC HEATING UNITS (MATERIALS ONLY)
– $49,560
Replacing heating units ensures:
· Safe indoor temperatures
· Energy efficiency
· Reduced maintenance costs
· Improved resident health outcomes
8. 60 NEW DOORS AND LOCK SYSTEM –
$295,000
8. 60 NEW DOORS AND LOCK SYSTEM –
$295,000
Replace doors and update locking systems:
· Increase personal safety
· Reduce break-ins
· Provide peace of mind for formerly homeless residents · Align with best practices for supportive housing
10. RELOCATION COSTS – $4,602
Temporary relocation while sidewalks are being replaced ensures:
· Safe completion of rehabilitation work
· Minimal disruption to residents
www.arcatahouse.org
Community Impact
Preserving this property protects 60 deeply affordable units that would otherwise be impossible to replace at today’s construction costs.
· Reduces homelessness
· Prevents emergency shelter and hospital utilization
· Stabilizes seniors and disabled residents
· Strengthens neighborhood safety
· Protects prior public investment
I am a 63 year old
veteran. I have
multiple health
issues, including
cancer. Living here at
the Grove has been
the best thing that
has happened to me
in many years. I was
out on the street and
living at the Mission
when I could. I was
able to get into the
Grove because of the
hard work of Arcata
House outreach,
combined with VA. It
saved my life by
becoming housed
here and I will always
be grateful.
-Grove Tenant
PROJECT OVERVIEW
Arcata House Partnership made the decision to house
people quickly in response to urgent community need.
This funding allows the City to now complete that
investment responsibly and sustainably.
We respectfully request your support to preserve
The Grove as safe, dignified, deeply affordable
housing for many years to come.
www.arcatahouse.org
WWHHYY FFUUNNDD TTHHEE GGRROOVVEE?? Unlike new construction, this request preserves and completes an existing 60-
unit affordable housing community
already serving residents.
The return on investment is immediate:
· Housing remains operational
· Infrastructure is secured
· Operating costs decrease
· Vulnerable residents remain safely housed
Contact us:
[email protected]
(707)822-4528 EXT:106
“I am a 64 year old indigenous
man. I teach the traditional ways
of the tribes of Northern
California. I came to the Grove
in very poor health, needing
open heart surgery. The Grove
staff and management enabled
me to do so, with confidence
and the security that my home
would be safe and waiting for
my return. My reasonable
accommodation requests have
all been honored quickly and the
staff at the Grove is always
helpful. I am now thriving and
living my best life.Thank you
Arcata House and The Grove ,
for providing me the chance to
heal and live a meaningful life.”
-Grove Tenant
“I am a cancer survivor and
most recently, a victim of DV.
The Grove staff and
management were with me
every step of the way while I
was extricating myself from the
DV situation. The Grove kept me
safe and kept my abuser away
from me. They have given me a
chance to get my life back
together and I am so grateful.”
-Grove Tenant