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December 17, 2024
ITEM TITLE
Grant Application: Authorize Submittal of a State of California Prohousing Incentive Program Funds Grant Application
Report Number: 24-0312
Location: No specific geographic location
Department: Housing and Homeless Services
G.C. § 84308: No
Environmental Notice: The activity is not a “Project” as defined under Section 15378 of the California Environmental Quality Act (“CEQA”) State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is required.
Recommended Action
Adopt a resolution authorizing application for and receipt of Prohousing Incentive Program Funds.
SUMMARY
The proposed resolution is being brought to City Council to compete for available funding from the Department of Housing and Community Development (“HCD”). The City is in the process of being designated a “prohousing” city, which would allow for potential funds in the amount of $1,120,000 that can be used for activities to house unsheltered individuals and/or families.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed activity for compliance with CEQA. The activity is not a “Project” as defined under Section 15378 of the State CEQA Guidelines because the proposal consists of a reporting action, is not for a site -specific project(s) and will not result in a direct or indirect physical change in the environmental. Therefore, pursuant to S ection 15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA.
BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.
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DISCUSSION
HCD awards funds to cities that have received a prohousing designation through the Prohousing Incentive Pilot (PIP) Program. The prohousing designation is awarded to cities that have programs and policies that are considered “prohousing”, such as the City’s pre-approved ADU plans that promote efficient land use and affordable housing. On May 21, 2024 via Resolution No. 2024-103, City Council authorized the submittal of an application to the Prohousing Designation Program . HCD recently advised staff that Chula Vista’s designation is in the final stages of review and the City is eligible to apply for the PIP funds that have a n application due date of December 31, 2024.
If the City’s application is chosen, $1,120,000 in funding would be awarded. While PIP funds have a variety of eligible activities, staff is proposing to apply for category #6 to “assist persons who are experiencing or at risk of homelessness, including providing rapid rehousing, rental assistance, navigation centers, emergency shelters, and the new construction, rehabilitation, and preservation of permanent and transitional housing”.
Other categories require matching funds or related activities are already being funded through other funding sources. This category has the most flexibility to assist existing programs and provide permanent housing solutions for our most vulnerable residents.
If awarded, staff would return to Council with program or project details and to appropriate funds.
DECISION-MAKER CONFLICT
Staff has reviewed the decision contemplated by this action and has determined that it is not site-specific and consequently, the real property holdings of the City Council members do not create a disqualifying real property-related financial conflict of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).
Staff is not independently aware, and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision-maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
Approval of this resolution will allow for application of prohousing grant funds in the amount of $1,120,000 in the fiscal years 2024/25 and/or 2025/26 budget to assist in housing unsheltered. There is no fiscal impact to the General Fund as a result of accepting this grant as funding for this project will come from HCD and will completely offset the project costs.
ONGOING FISCAL IMPACT
Grant funds would fund eligible activities with no additional impact to the General Fund.
ATTACHMENTS
None.
Staff Contact: Stacey Kurz, Director of Housing & Homeless Services Chris Stanley, Senior Planner