Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT A
Homekey+ Program
NOFA Date: 11/26/2024; as amended 1/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
AUTHORITY, PURPOSE AND SCOPE OF WORK
1. Authority
California Assembly Bill No. 140 (Chapter 111, Statutes of 2021) (“AB 140”) and California Assembly Bill No. 531 (Chapter 789, Statutes of 2023) added section 50675.1.3 and 50675.1.5 to the Multifamily Housing Program (“MHP”) (Chapter 6.7 (commencing with Section 50675) of Part 2 of Division 31 of the Health and Safety Code). Health and Safety Code section 50675.1.3 and 50675.1.5 provide the statutory basis for the Homekey+ Program (“Homekey+” or “Program”). Health and Safety Code section 50675.1, subdivision (d) authorizes the Department of Housing and Community Development (“Department” or “HCD”) to administer MHP.
The Department issued a Homekey+ Program Notice of Funding Availability on November 26, 2024, which was subsequently amended January 31, 2025 and August 7, 2025. (the “NOFA”). The NOFA incorporates by reference the MHP, as well as the Multifamily Housing Program Final Guidelines, dated May 18, 2023 (“MHP Guidelines”), both as amended and in effect from time to time. The NOFA, further, incorporates by reference, the Uniform Multifamily Regulations (UMRs) (Cal. Code Regs., tit. 25, § 8300 et seq.), effective November 15, 2017, and as subsequently amended, except to the extent that any UMR provision would be inconsistent with the provisions of the NOFA.
Homekey+ grant funds are derived primarily from Proposition 1 bond funds established by the Behavioral Health Infrastructure Bond Act (BHIBA) (AB 531, Chapter 789, Statutes of 2023). Homekey+ funds are also derived from Assembly Bill 129 (Chapter 40, Statutes 2023) and Assembly Bill 166 (Chapter 48, Statutes 2024) or Round 5 and 6, respectively, of the Homeless Housing Assistance Prevention (HHAP). In accordance with HSC Section 50232, subdivision (h), the administration of HHAP 5 funds is not subject to the rulemaking provisions of the Administrative Procedure Act (APA) ((Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code)). In accordance with HSC Section 50239, subdivision (h), the administration of HHAP 6 funds is not subject to the rulemaking provisions of the APA.
This STD 213, Standard Agreement (“Agreement”) is entered under the authority and in furtherance of the Program. This Agreement is the result of an Application by the Grantee, as defined below, for funding under the Program (the “Grant”). As such, this Agreement shall be executed by the Grantee. Where the Grantee comprises a Public Entity or Tribal Entity, as defined below, and one or more additional entities, all entities shall execute the Agreement.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT A
Homekey+ Program
NOFA Date: 11/26/2024; as amended 1/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
This Agreement hereby incorporates by reference the Application, as well as the project report prepared by the Department in reliance on the representations and descriptions included in that Application. This Agreement is governed by the following (collectively, the “Program Requirements”), and each of the following, as amended and in effect from time to time, is incorporated hereto as if set forth in full herein:
A. AB 140;
B. AB 531
C. AB 129 and AB 166 (HHAP Homekey+ Supplemental funds) D. The above-referenced MHP statutory scheme;
E. The NOFA;
F. The MHP Guidelines;
G. The UMRs;
H. The award letter issued by the Department to the Grantee; and I. All other applicable law.
2. Purpose
The Homekey+ Program is intended to provide housing for individuals and families who have a Behavioral Health Challenge as defined in the California Welfare and Institutions Code Section 5965.02 to include but not be limited to a serious mental illness, as described in subdivision (c) or (d) of Welfare and Institutions Code (WIC) Section 14184.402, or a substance use disorder, as described in WIC Section 5891.5.
Enrollment in Medi-Cal or in any other health plan shall not be a condition for accessing housing or continuing to be housed. The Homekey+ program must serve those with a Behavioral Health Challenge and who are homeless or who are at risk of homelessness, as defined in Part 578.3 of Title 24 of the Code of Federal Regulations.
Funds in the NOFA allocated to Veterans units must also serve a person who served in the active military, naval, or air service, and who was discharged or released under conditions other than dishonorable and who is experiencing or at risk of homelessness as defined in Title 24 CFR Part 578.3
(“Target Population”).
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT A
Homekey+ Program
NOFA Date: 11/26/2024; as amended 1/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
Grantee applied to the Department for the Grant to conduct one or more of the activities outlined in Paragraph 4 below. By entering into this Agreement and thereby accepting the award of Program Grant funds, the Grantee agrees to comply with the Program Requirements and the terms and conditions of this Agreement.
3. Definitions
Any capitalized terms that are not defined below shall have the definitions set forth in the NOFA, the MHP statutes, and the MHP Guidelines. In the event of any conflict, the definitions in this Agreement and the NOFA are controlling.
A. “Affordability Covenant” means the legally binding 55-year instrument which (a) is recorded in first position against Project real property for the benefit of the state, regional, local, or Tribal Grantee; (b) imposes use, operation, occupancy, and affordability restrictions on the real property and improvements; and (c) duly names HCD as a third-party beneficiary with the right and privilege, but not the obligation, of enforcement thereof, (d) incorporates the Homekey+ Program Requirements by reference, and (e) is otherwise in form and substance acceptable to HCD. Upon its execution, the Affordability Covenant shall be binding, effective, and enforceable against all successors, transferees, and assignees, in accordance with Section 208 of the NOFA, after a certificate of occupancy or its equivalent has been issued for the Project, or if no such certificate is issued, from the date of initial occupancy of the Project.
Affordability Covenants on Tribal trust land are addressed separately under Section 208 of the NOFA.
B. “Application” means the application for Grant funds that was submitted in response to the Homekey+ NOFA.
C. "Area Median Income" or "AMI" means the most recent applicable county area median family income published by the California Tax Credit Allocation Committee (TCAC) or HCD.
D. “Assisted Unit” means a Homekey+ funded residential dwelling unit in Permanent Supportive Housing (PSH) that is subject to rent, income, occupancy, and other restrictions in accordance with t Homekey + Program Requirements.
See also “Youth Assisted Unit.”
E. "At Risk of Homelessness" has the same meaning as defined in Title 24 Code of Federal Regulations Part 578.3.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT A
Homekey+ Program
NOFA Date: 11/26/2024; as amended 1/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
F. "Award" means the portion of program funds available for a Grantee to expend toward the Homekey+ program Eligible Uses.
G. “Behavioral Health Challenge” has the same meaning as defined in NOFA Article VII. Definitions Section (vii.).
H. “Capital Award” means the portion of the Award available for a Grantee to expend toward Project acquisition, any needed Rehabilitation, new construction, master leasing, and affordability covenant costs.
I. “Case Manager” is a social worker or other qualified person who has or is supervised by a person with a relevant master’s degree. At its sole discretion, the Department may approve Supportive Service plans where Case Managers cannot be supervised by a person with a master’s degree. A Case Manager facilitates individualized service planning, and the assessment, coordination, monitoring, referral, and advocacy of services to meet tenants’ Supportive Services needs, including, but not limited to, access to medical and mental health services, substance use disorder treatment and services, vocational training, employment, home and community-based services and crisis management and interventions. Resident service coordinators are not Case Managers. For Homekey+ tenants who are also HUD-VASH program participants, the Case Manager for services will be the applicable U.S. Department of Veterans Affairs (VA) Case Manager (or third-party provider selected by the VA), in accordance with the HUD-VASH Program.
J. “Chronically Homeless” means a person who is chronically homeless, as defined in Title 24 Code of Federal Regulations Part 578.3.
K. "City" means a City or City and County that is legally incorporated to provide local government services to its population. A City can be organized either under the general laws of this state or under a charter adopted by the local voters.
L. “Co-Applicant” means the nonprofit corporation, for-profit corporation, limited liability company (LLC), and/or limited partnership (LP) that is jointly applying for Homekey+ funds with a state, regional, or Local Public Entity, or with a Tribal Entity.
M. “Conditional Award Letter” or “Conditional Award Commitment and Acceptance of Terms and Conditions letter” means a letter specifying the portion of program funds available for a Grantee to expend toward eligible program uses once the Grantee has acknowledged and fulfilled the terms and conditions.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT A
Homekey+ Program
NOFA Date: 11/26/2024; as amended 1/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
N. "Continuum of Care" means the same as defined by Title 24 CFR Part 578.3.
O. “Coordinated Entry System” means a centralized or coordinated process developed pursuant to Section 578.7 of Title 24 of the Code of Federal Regulations, as that section read on January 10, 2019, designed to coordinate homelessness program tenant intake, assessment, and provision of referrals. To satisfy this subdivision, a centralized or coordinated assessment system shall cover the geographic area, be easily accessed by individuals and families seeking housing or services, be well advertised, and include a comprehensive and standardized assessment tool.
P. “Date of Award” means the date of the Conditional Award Commitment and Acceptance of Terms and Conditions letter issued from the Department to the Grantee.
Q. “Designated Payee” means the Co-Grantee that will serve as the payee of the Program Grant funds. If applicable, the Designated Payee is identified at Exhibit E of this Agreement.
R. “Eligible Applicant” means a City; county; a City and county; any other state, regional, and Local Public Entity, including a council of government, metropolitan planning organization, and regional transportation planning agency designated in Section 29532.1 of the Government Code; or a Tribal Entity(ies) as defined in this NOFA. For purposes of this definition, a “Local Public Entity” is further defined in accordance with HSC section 50079. As allowed or required by context, “Applicant” shall be interpreted to include any of the foregoing entities, as well as that entity’s Co- Applicant. Upon receiving an Award of Homekey+ funds, the Eligible Applicant and any Co-Applicant(s) will, both individually and collectively, be referred to as the “Grantee” for purposes of the Homekey+ NOFA.
Please see NOFA Section 200 for specific eligible applicant requirements for Homekey+ HHAP Supplemental Funds.
S. “Eligible Uses” means the activities that may be funded by the Homekey+ Program Grant. Those activities are listed at Paragraph 4 below of this Agreement, and at Health and Safety Code section 50675.1.3, subdivision (a).
T. “Expenditure Deadline for Capital Funds” means the date by which the capital Award must be fully expended, as noted in Exhibit E of this Agreement.
U. “Expenditure Deadline for Operating Funds” means the date by which the operating Award must be fully expended, as noted in Exhibit E of this agreement.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT A
Homekey+ Program
NOFA Date: 11/26/2024; as amended 1/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
V. “Foster Youth” means a child or nonminor dependent, as defined by Section 475 of Title IV-E of the Social Security Act (42 U.S.C. Sec. 675(8)) and subdivision (v) of Section 11400 of the Welfare and Institutions Code, who has been removed from the custody of their parent, legal guardian, or Indian custodian pursuant to Section 361 or 726 of the Welfare and Institutions Code, and who has been ordered into any placement described in paragraphs (2) to (9), inclusive, of subdivision (e) of Section 361.2 of, or paragraph (4) of subdivision (a) of Section 727 of, the Welfare and Institutions Code.
W. “Grantee” means the Eligible Applicant (and, if applicable, the Co- Applicant) that has been awarded funds under Homekey+, and that will be held responsible for compliance with and performance of all Homekey+ Program Requirements.
The Grantee may comprise one or more entities, so long as the Grantee structure includes an “Eligible Applicant,” as that term is defined in this NOFA. All such entities shall, in their individual and collective capacity as the “Grantee,” be bound by the Homekey+ Standard Agreement and each and every one of the Homekey+ program terms, conditions, and requirements. On the STD 213 portion of this Agreement, the Grantee is identified as the Contractor.
X. “Homekey+ Program Requirements (or “Program Requirements”)” means the following, all as amended and in effect from time to time:
1) the Homekey+ Program Notice of Funding Availability.
2) Chapter 6.7 (commencing with Section 50675) of Part 2 of Division 31 of the Health and Safety Code.
3) the Grantee’s application for Homekey+ funding.
4) the Project report prepared by HCD in reliance on the representations and descriptions included in the Grantee’s application for Homekey+ funding.
5) the Conditional Award letter issued by HCD to the Grantee.
6) the relevant STD 213, Standard Agreement for the Homekey+ funding; and,
7) all other applicable law.
Y. “Homeless” has the same meaning as defined in Title 24 CFR Part 578.3.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT A
Homekey+ Program
NOFA Date: 11/26/2024; as amended 1/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
Z. “Homeless Youth” means a child, a youth, or a current or former foster youth through the age of 25 who qualifies as “Homeless” under any of the relevant definitions set forth or identified in Title 24 Code of Federal Regulations Part 578.3.
AA. "Housing First" has the same meaning as in Welfare and Institutions Code section 8255, including all the core components listed therein.
BB. “Lead Service Provider” or “LSP” is the organization that has overall responsibility for the provisions of Supportive Services and implementation of the Supportive Services plan in the Project. The LSP may directly provide comprehensive case management services or contract with other agencies that provide services. For HUD-VASH tenants, the LSP will enable the applicable Veterans Affairs Case Manager to administer services in accordance with the HUD-VA Supportive Housing (VASH) Program.
CC. “Local Public Entity” is defined at Health and Safety Code section 50079, and means any county, city, city and county, the duly constituted governing body of an Indian reservation or rancheria, tribally designated housing entity as defined in Section 4103 of Title 25 of the United States Code and Section 50104.6.5, redevelopment agency organized pursuant to Part 1 (commencing with Section 33000) of Division 24, or housing authority organized pursuant to Part 2 (commencing with Section 34200) of Division 24, and also includes any state agency, public district, or other political subdivision of the state, and any instrumentality thereof, that is authorized to engage in or assist in the development or operation of housing for persons and families of low or moderate income. In addition, and in accord with this Health and Safety Code definition, the term “Local Public Entity” also includes two or more local public entities acting jointly.
DD. “Manager’s Unit” is a unit in which the onsite manager of the Project resides. A Manager’s Unit will not be an Assisted Unit. Manager’s Units may be included for Homekey+ funding under the development budget; however, no Manager’s Unit may be included in funding requests for a Homekey+ operating award.
Manager’s Units shall be restricted to households at or below 60% AMI.
EE. “Operating Award” means the amount awarded by HCD to pay for the recurring expenses of the Project, such as utilities; maintenance; management fees; taxes; licenses; and Supportive Services costs, which may include staffing and service coordination. Operating Expenses do not include debt service or required reserve account deposits.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT A
Homekey+ Program
NOFA Date: 11/26/2024; as amended 1/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
FF. "Operating Expenses" means the amount approved by HCD that is necessary to pay for the recurring expenses of the Project, such as utilities; maintenance; management fees; taxes; licenses; and Supportive Services costs, which may include staffing and service coordination. Operating Expenses do not include debt service or required reserve account deposits.
GG. “Performance Milestones” means the indicators and metrics of progress and performance that are identified as such at Exhibit E of this Agreement. Grantee’s failure to satisfy any one of the Performance Milestones will constitute a breach of this Agreement and will entitle the Department to exercise all available remedies, including the recapture of disbursed Grant funds and the cancellation of this Agreement.
HH. “Performing Debt” refers to non-government, long-term (or permanent) financing of a Project intended to generate a profit for a private or non-profit lender requiring ongoing mandatory debt service payments.
II. “Permanent Supportive Housing” or “PSH” means housing with no limit on length of stay, that is occupied by the Target Population, and that is linked to onsite or offsite services that assist the supportive housing resident in retaining the housing, improving their health status, and maximizing their ability to live and, when possible, work in the community, as defined at California Government Code Section 65582 (g) , except that "Permanent Supportive Housing" shall include associated facilities if used to provide services to housing residents.
JJ. “Positive Youth Development” or “PYD” is an intentional, prosocial approach that engages youth within their communities, schools, organizations, peer groups, and families in a manner that is productive and constructive; recognizes, utilizes, and enhances young people’s strengths; and promotes positive outcomes for young people by providing opportunities, fostering positive relationships, and furnishing the support needed to build on their leadership strengths.
KK. “Project” means a structure or set of structures with common financing, ownership, and management, which provides Permanent Supportive Housing for the Target Population, and which is subject to an appropriate Affordability Covenant in accordance with Section 208 of the NOFA.
LL. "Rehabilitation" means repairs and improvements to a substandard residential structure necessary to make it meet Rehabilitation standards. As used in this section, “substandard residential structure” has the same meaning as the term “substandard building,” as defined in HSC Section 17920.3. “Rehabilitation” also Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT A
Homekey+ Program
NOFA Date: 11/26/2024; as amended 1/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
includes improvements and repairs made to a residential structure acquired for the purpose of preserving its affordability and use by the Target Population.
MM. “Secondary Tenant” means 1) Veterans who are Homeless whose incomes are up to 50% AMI and are receiving income as a result of service-connected disability benefits, or 2) Veterans experiencing homelessness with an income of up to 60% AMI.
NN. “Scope of Work” or “Work” means the work to be performed by the Grantee to accomplish the Program purpose.
OO. “Sponsor” means the legal entity or combination of legal entities with continuing control of the Project. Where a Grantee is or will be organized as a limited partnership, Sponsor includes the general partner or general partners who have effective control over the operation of the partnership, or, if the general partner is controlled by another entity, the controlling entity. Sponsor does not include the seller of the property to be developed as the Project, unless the seller will retain control of the Project for the period of time necessary to ensure Project feasibility as determined by the Department.
PP. “Standard Agreement” means the STD 213, STD 215, all exhibits attached thereby and any and all amendments thereto.
QQ. “Supportive Services” means social, health, educational, income support, employment, and housing stability services and benefits; coordination of community building and educational activities; individualized needs assessment and case management; and individualized assistance with obtaining services and benefits.
RR. “Target Population” means individuals, or households with an individual, who are experiencing homelessness or who are At Risk of Homelessness as defined under part 578.3 of Title 24 of the Code of Federal Regulations and who have or are suspected of having a Behavioral Health Challenge. These individuals and households must include a person described in Welfare and Institutions Code (WIC) subdivision (c) or (d) of Section 14184.402, or a person with a substance use disorder, as described in Section 5891.5. However, enrollment in Medi-Cal or in any other health plan shall not be a condition for accessing housing or continuing to be housed. For Veteran-serving Projects the Target Population also includes Veterans.
SS. “TCAC” means the California Tax Credit Allocation Committee.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT A
Homekey+ Program
NOFA Date: 11/26/2024; as amended 1/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
TT. “Tribal Entity(ies)” means an entity that meets any of the following criteria:
1) Meets the definition of Indian tribe under section 4103(13)(B) of title 25 of the United States Code;
2) Meets the definition of Tribally Designated Housing Entity under section 4103(22) of title 25 of the United States Code;
3) Is not a federally recognized tribe, but is either:
a) Listed in the petitioner list of the Office of Federal Acknowledgment (OFA) within the Office of the Assistant Secretary – Indian Affairs of the Department of the Interior pursuant to Part 82.1 of Title 25 of the Code of Federal Regulations; or
b) Is an Indian tribe located in the State of California and identified on the contact list maintained by the Native American Heritage Commission for the purpose of consultation pursuant to Government Code section 65352.3.
UU. “Veteran” means a person who served in the active military, naval, or air service, and who was discharged or released under conditions other than dishonorable and who is experiencing or at risk of homelessness as defined in Title 24 CFR Part 578.3.
VV. “Youth Assisted Unit” means an Assisted Unit serving Homeless Youth or Youth at Risk of Homelessness. See also “Assisted Unit.”
WW. “Youth at Risk of Homelessness” means a child, a youth, or a current or former foster youth through the age of 25 who qualifies as “at risk of homelessness” or “homeless” under any of the relevant definitions set forth or identified at Part 578.3 of Title 24 of the Code of Federal Regulations.
4. Eligible Uses
Grantee shall apply the Awards to one or more of the following uses. All costs in connection with such Eligible Uses must be incurred on or after March 5, 2024, by the Expenditure Deadline for Capital Funds, and by the Expenditure Deadline for Operating Funds, respectively and as applicable. Grantee’s use of the funds and scope of work (“Scope of Work” or “Work”) are specified at Exhibit E of this Agreement.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT A
Homekey+ Program
NOFA Date: 11/26/2024; as amended 1/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
A. Acquisition or rehabilitation, or acquisition and rehabilitation, of motels, hotels, hostels, or other sites and assets, including apartments or homes, adult residential facilities, residential care facilities for the elderly, manufactured housing, commercial properties, and other buildings with existing uses that could be converted to Permanent Supportive Housing (PSH).
B. Master leasing of properties for PSH.
C. Conversion of units from nonresidential to residential PSH (i.e. adaptive reuse) D. Conversion of Interim Housing to PSH (as described in NOFA Section 502) E. New construction of dwelling units as described in NOFA Section 201 and 501.
F. Gap financing as defined in NOFA Section 502.
G. The purchase of affordability covenants and restrictions for units.
H. Relocation costs for individuals who are being displaced as a result of the Homekey+ Project.
I. Capitalized operating subsidies for PSH units purchased, converted, or altered with Homekey+ Grant funds provided pursuant to Health and Safety Code section 50675.1.3.
5. Rent Standards
A. Permanent Supportive Housing. Rent limits for initial occupancy, and for each subsequent occupancy, of an Assisted Unit shall not exceed 30 percent of that Assisted Unit’s designated income-eligibility level with exceptions as noted below for Veteran Units.
B. Veteran Units may also be subject to the Department’s Secondary Tenant policy, which determines that if units cannot be filled with Veterans at or below 30% AMI, Secondary Tenants can be housed. Rents for any redesignated units are determined by income that corresponds to the Secondary Tenant’s household income.
6. Program Deadlines
A. All Program deadlines begin 60 days after the Homekey+ Conditional Award letter date. HCD may, in its sole and absolute discretion, approve an extension of Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT A
Homekey+ Program
NOFA Date: 11/26/2024; as amended 1/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
the acquisition, Rehabilitation, construction, and/or occupancy deadlines if the Grantee demonstrates, to HCD’s satisfaction, that the relevant delay is caused by reasonably unforeseeable events, conditions, or circumstances. Construction labor shortages and supply chain issues do not constitute reasonably unforeseeable events, conditions, or circumstances for purposes of an extension request. Extension requests shall be submitted in electronic format on a form provided by HCD.
B. HCD may reimburse eligible costs incurred beginning on March 5, 2024, with the exception of operating costs.
C. Project types in NOFA Section 201 are subject to the dates in the milestones listed in Exhibit E.
7. Performance Milestones
A. Grantee shall complete each of the Performance Milestones set forth at Exhibit E of this Agreement by the date designated for such completion therein (each, a “Milestone Completion Date”). The Performance Milestones shall include, but not be limited to, any applicable Expenditure Deadline for Capital Funds, Expenditure Deadline for Operating Funds, or occupancy deadline.
B. The Department may, in its sole and absolute discretion, approve an extension of the acquisition, rehabilitation, construction, and/or occupancy deadlines if the Grantee demonstrates, to the Department’s satisfaction, that the relevant delay is caused by reasonably unforeseeable events, conditions, or circumstances.
C. In no event will the Department approve an extension request in the absence of Grantee’s demonstration of good cause for said extension, along with Grantee’s reasonable assurances that the extension will not result in Grantee’s failure to meet other Performance Milestones or any Expenditure Deadline under this Agreement. Construction labor shortages and supply chain issues do not constitute reasonably unforeseeable events, conditions, or circumstances for purposes of an extension request.
D. The Department may, in its sole and absolute discretion, grant an extension of the Expenditure Deadline for Operating Funds for a total of up to 15 years from occupancy in accordance with NOFA section 204 (vi).
8. Reporting Requirements
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT A
Homekey+ Program
NOFA Date: 11/26/2024; as amended 1/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
A. Grantee shall submit an annual Homekey+ Program Report and Homekey+ Expenditure Report, and comply with all additional reporting requirements, as set forth and specified at Section 601 of the NOFA, all in accordance with the Milestone Completion Date(s) set forth at Exhibit E of this Agreement.
B. After satisfaction of each Performance Milestone, the Grantee shall promptly report its progress, in writing, to the Department.
C. Upon the Department’s request and as specified, the Grantee shall provide progress reports in connection with the development plan and any updates to the timeline for completion of the Project. The development plan should include the Project’s completion milestones and any updates or substantial changes.
D. In addition, the Grantee shall submit to the Department such periodic reports, updates, and information as deemed necessary by the Department to monitor compliance and/or perform Program evaluation. Any requested data or information shall be submitted in electronic format on a form provided by the Department.
9. Department Contract Coordinator
The Department’s Contract Coordinator for this Agreement is the Deputy Director of the Division of State Financial Assistance, or the Deputy Director’s designee. Unless otherwise informed, Grantee shall mail any notice, report, or other communication required under this Agreement by First-Class Mail to the Department Contract Coordinator at the following address or email to [email protected]:
California Department of Housing and Community Development Attention: Homekey+ Program
Multifamily Grant Management Branch
651 Bannon St, Suite 400, 95811
P. O. Box 952050
Sacramento, CA 94252-2050
10. Grantee Contract Coordinator
The Grantee Contract Coordinator for this Agreement may coordinate with the Multifamily Grant Management Branch Manager for the Homekey+ Program. Unless otherwise informed, the Department shall mail any notice, report, or other communication required under this Agreement by First-Class Mail, or through a
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT A
Homekey+ Program
NOFA Date: 11/26/2024; as amended 1/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
commercial courier, to the Grantee Contract Coordinator at the address specified at Exhibit E of this Agreement.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT B
Homekey+ Program (Homekey+)
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX-XX-XXXX
BUDGET DETAIL AND PAYMENT PROVISIONS
1. Budget Detail
The Award set forth in this Agreement has been made available to expend toward the Homekey+ Eligible Uses per the terms set forth herein. The Department has approved the additional funding commitments leveraged against the Homekey site as named in Exhibit E, Budget Detail. Any new sources encumbered against the project site after the execution of this agreement must receive prior written approval by HCD and must, upon recordation, subordinate to the Homekey+ use restriction. Encumbrance of unapproved sources against the Homekey+ site and securing of any sources in a lien position superseding Homekey+ will constitute a breach of the Standard Agreement.
2. Conditions of Disbursement
For all project types, except New Construction Cost Containment (Section 501 of the NOFA) the Department will disburse the amount corresponding to the Grantee’s request for funds after this Agreement has been fully executed and after the Department receives the Grantee’s request for funds, with all required supporting documents appended thereto.
[HCD to delete this Paragraph if this is not a New Construction Project and if Section 501 of the NOFA does not apply]. For New Construction Cost Containment projects, the Department will disburse up to 80% of the Capital Award after Grantee has cleared all conditions of disbursement. The remaining 20% of the Award will be disbursed upon submission of the temporary certificate of occupancy (TCO).
The Grantee must open escrow prior to requesting Capital Award funds from the Department. The Department will disburse remaining award funds, including Operating Award funds, via check. The Grantee may only request Operating Award funds, if applicable, after providing confirmation that construction and/or Rehabilitation on the Project is completed, and the Project is ready to occupy. HCD reserves the right to disburse funds prior to construction completion if the Grantee sufficiently demonstrates need for Homekey+ operational funds prior to construction completion.
The Grantee shall append the following supporting documents to the request for funds, all in form and substance acceptable to the Department:
A. Wire Instructions, including the name and address of the escrow company, the name of the escrow officer, and the escrow number in a form provided by the Department.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT B
Homekey+ Program (Homekey+)
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX-XX-XXXX
B. An Affordability Covenant must be submitted to the Department for review prior to the close of escrow and approved by the Department, in its sole and reasonable discretion, for recordation at the close of escrow;
C. Payee Data Record (STD 204) or Government Agency Taxpayer ID Form, as applicable;
D. An authorizing resolution or set of authorizing resolutions that, in the Department’s reasonable determination, materially comports with the Program Requirements (if the Grantee has not already submitted same);
E. Documentary evidence of any eligible costs incurred on or after March 5, 2024 and before the execution of this Agreement;
F. Certification of compliance with California’s prevailing wage law, as well as all applicable federal prevailing wage law; or for Tribal Grantees, a Tribal Wage Determination; the Grantee cannot request funds for rehabilitation or construction until they have provided a certification of compliance with prevailing wage laws signed by the Grantee and their selected general contractor, as detailed in Section 509 of the NOFA;
G. A copy of the Department-approved relocation plan for the Project, or a copy of a Department-issued Certification Regarding Non-Application of Relocation Benefits and Indemnification Agreement which has been duly executed by the Grantee and approved by the Department;
H. Evidence of the insurance coverages required under the Program NOFA Section 606 and/or a written acknowledgment of self-insured status;
I. A current title report (dated within 15 days of the request for funds); or for tribal trust land, a title status report (“TSR”) or an attorney’s opinion regarding chain of title and current title status; if there are any items to be cleared, paid off, or subordinated, the Department will require that all findings be resolved in escrow;
J. Any forms, certifications, environmental clearances, NEPA, or documentation required pursuant to Paragraph 1. F – Additional Conditions Precedent to Disbursement listed in Exhibit E of this Agreement; and
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT B
Homekey+ Program (Homekey+)
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX-XX-XXXX
K. Any other forms, certifications, or documentation deemed necessary by the Department prior to disbursement of Grant funds.
3. Performance
A. After disbursement of the funds, the Grantee shall meet each Performance Milestone set forth at Exhibit E by the relevant Milestone Completion Date. After satisfaction of each Performance Milestone, the Grantee shall promptly report its progress, in writing, to the Department. Grantee may apply to the Department for an extension of a Milestone Completion Date as allowed by the NOFA and this Agreement.
B. FAILURE TO SATISFY ANY ONE OF THE PERFORMANCE MILESTONES
WILL CONSTITUTE A BREACH OF THIS AGREEMENT AND ENTITLES THE
DEPARTMENT TO MANDATE THE GRANTEE TO RETURN TO THE
DEPARTMENT ANY FUNDS DISBURSED; IN ANY SUCH INSTANCE, THE
DEPARTMENT MAY ALSO CANCEL THIS AGREEMENT WITHOUT OWING ANY DAMAGES OR OTHER PAYMENT TO GRANTEE.
4. Fiscal Administration
A. All Capital Award funds must be wired to an escrow company licensed to do business in the State of California and in good standing.
B. Any Capital Award funds that have not been expended by the Expenditure Deadline for Capital Funds must be returned to the Department with accrued interest. Any Operating Award funds that have not been expended by the Expenditure Deadline for Operating Funds must be returned to the Department with accrued interest. Checks shall be made payable to the Department of Housing and Community Development and shall be mailed to the Department at the address below, no later than thirty (30) calendar days after the applicable Expenditure Deadline.
Department of Housing and Community Development
Accounting Division
651 Bannon Street, Suite 400
Sacramento, California 95811
5. Supplantation of Funds
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT B
Homekey+ Program (Homekey+)
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX-XX-XXXX
Grantee may not use Homekey+ funding to supplant performing debt or existing funds that have already been funded or awarded through other permanent sources, including HCD sources. Expenses that have been or will be reimbursed under any permanent public program funds are not eligible uses of Homekey+ funding, with the exception of any Homekey+ funds Awarded for reimbursement dating back to March 5, 2024.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
HOMEKEY+ GENERAL TERMS AND CONDITIONS
1. Effective Date, Term of Agreement, Timing, and Deadlines A. This Agreement, when fully executed by the Department and the Grantee, is effective upon the date of the Department representative’s signature on the STD 213, Standard Agreement (such date, the “Effective Date").
B. This Agreement shall terminate fifteen (15) years [If gap financing, put twenty (20) years, delete these instructions] from the Effective Date, as stated in Section 2 of the STD 213, Standard Agreement (such date, the “Expiration Date”).
C. Grantee will receive the disbursement of Program funds after satisfying all conditions precedent to such disbursement, as set forth under Paragraph 2 of Exhibit B and, as necessary and applicable, under Section 4 – Additional Conditions Precedent to Disbursement of Exhibit E.
D. Any expenses incurred prior to March 5, 2024, after the Expenditure Deadline for Capital Funds, or after the Expenditure Deadline for Operating Funds, respectively and as applicable, are not eligible for payment under the Program, unless an alternate arrangement is legally permissible and has been approved by the Department in advance and in writing.
E. Grant funds that have not been expended by the applicable Expenditure Deadlines shall revert to the Department in the absence of an alternate arrangement that has been approved by the Department in advance and in writing.
2. Termination for Cause
The Department may terminate this Agreement for cause at any time by giving at least fourteen (14) calendar days’ advance written notice to the Grantee. Upon such termination, Grantee shall return any unexpended funds to the Department within thirty (30) calendar days of the date on the Department’s written notice of termination, unless the Department has approved an alternate arrangement in advance and in writing, as provided below. Such termination will not limit any other remedies that may be available to the Department under this Agreement, at law, or in equity. Cause shall consist of Grantee’s breach of, or failure to satisfy, any of the terms or conditions of this Agreement. Cause includes but is not limited to the following:
A. Grantee’s failure to satisfy the Performance Milestones, conditions precedent to disbursement, or to expend the Award, as specified.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
B. Grantee’s failure to timely satisfy each or any of the conditions set forth in these Homekey + General Terms and Conditions, the Project-Specific Provisions and Special Terms and Conditions set forth at Exhibit E of this Agreement (including any one of the Performance Milestones), or the award letter.
C. Grantee’s violation of any of the Program Requirements.
D. The Department’s determination of the following:
1) Any material fact or representation, made or furnished to the Department by the Grantee in connection with the Application or the award letter, shall have been untrue or misleading at the time that such fact or representation was made known to the Department, or subsequently becomes untrue or misleading; or
2) Grantee has concealed any material fact from the Department related to the Application or the Project.
E. The Department’s determination that the objectives and requirements of the Homekey + Program cannot be met in accordance with applicable timeframes, as memorialized by this Agreement.
In the event of this or any other breach, violation, or default by the Grantee, the Department may give written notice to the Grantee to cure the breach, violation, or default. If the breach, violation, or default is not cured to the Department’s satisfaction within a reasonable time, as determined by the Department in its sole and absolute discretion, then the Department may declare a default under this Agreement and seek any and all remedies that are available under this Agreement, at law, or in equity.
3. Cancellation
A. It is mutually understood between the parties that this Agreement may have been written for the mutual benefit of both parties before ascertaining the availability of funds appropriated by the California Legislature to avoid program and fiscal delays that would occur if this Agreement were executed after that determination was made.
B. The Department may cancel this Agreement, in whole or in part, if the California Legislature enacts any restrictions, limitations, or conditions that impact this Agreement or the funding of this Agreement; or cancellation is otherwise permitted under state contracting law.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
C. To cancel this Agreement pursuant to this paragraph, the Department shall give thirty (30) calendar days’ advance written notice to the Grantee. The Grantee shall return any unexpended portion of its Grant award to the Department within thirty (30) calendar days from the date on the Department’s written notice of cancellation, unless (i) the parties have agreed upon an alternate arrangement in advance and in writing; or (ii) an alternate arrangement is necessary for one or both parties to remain in compliance with HHAP or other applicable law.
4. Eligible Activities
Grant funds awarded to the Grantee shall be applied to the eligible uses set forth at Exhibit A and described in greater detail at Exhibit E. Payment for any cost which is not authorized by this Agreement, or which cannot be adequately documented shall be disallowed and must be reimbursed to the Department or its designee.
5. Performance Milestones
Grantee shall timely satisfy and complete all Performance Milestones, as identified at Exhibit E of this Standard Agreement.
6. Article XXXIV
Homekey + provides Permanent Supportive Housing for persons (including Veterans and Youth) who are homeless, chronically homeless, or at risk of homelessness, and who are living with a Behavioral Health Challenge. As such, Article XXXIV, section 1 of the California Constitution is not applicable to Homekey + funded development, consistent with Health and Safety Code sections 37000-37002.
7. Appraisals
Grantee shall, at the request of the Department, provide an appraisal of any real property or any interest in real property that is acquired with the Grant funds. Any such appraisal shall be prepared in a form, and by a qualified appraiser, acceptable to the Department.
8. Environmental Compliance
Grantee shall provide a Phase I Environmental Site Assessment (“ESA”) for the Project, in conformance with ASTM Standard Practice E 1527, evaluating whether the Project is affected by any recognized environmental conditions. If the Phase I ESA discloses evidence of recognized environmental conditions and Grantee desires to proceed with Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
the Project, the Grantee shall provide the Department with a Phase II report and any additional reports as required by the Department and in a form acceptable to the Department. Any remediation work shall be subject to Department approval. Grantee shall also provide an asbestos assessment and a lead-based paint report for the Department’s approval if the Project involves rehabilitation or demolition of existing improvements.
Projects, including phased Projects, that satisfy the requirements HSC 50675.1.5, shall be exempt from the California Environmental Quality Act (CEQA) Projects under this section are considered a “use by right”, which are specifically exempt from CEQA (CA Public Resources Code section 21000 et seq.). (HSC 50675.1.5(e)(2)(A)).
Moreover, HSC 50675.1.5(c) specifically exempts HCD actions taken to “provide financial assistance or insurance for the development and construction of Projects” from CEQA review. HCD encourages Eligible Applicants to fully engage with HCD’s technical assistance and to review the CEQA exemption set forth at HSC section 50675.1.5 and the provision for land use consistency and conformity set forth at HSC section 50675.1.3, subdivision (i).
Applicants should consult with their counsel for legal advice in construing application of the foregoing exemptions to their Project. It is entirely within an Applicant’s discretion to determine whether to use the statutory CEQA exemption, whether the exemption applies to the Applicant’s proposed activity, or whether some other mechanism applies and could be used to satisfy obligations under CEQA.
The exemption from CEQA pursuant to HSC 50675.1.5 does not exempt Homekey+ Projects from the National Environmental Policy Act (NEPA). Applicants must determine if NEPA applies to the Homekey+ Project and plan to receive the relevant clearances before the Project proceeds with the acquisition or physical activities, as applicable.
HCD is not responsible for determining which Projects require NEPA clearance.
Nevertheless, applicants shall provide HCD a status and timeline of any required NEPA review at the time of application.
9. Insurance
A. Grantee shall obtain the insurance coverages identified in the NOFA. Grantee shall maintain such insurance coverages for either the term of this Agreement or the term of any required restrictive covenant or regulatory agreement, whichever applicable term is longer. Grantee shall name the State of California and the Department, as well as their respective appointees, officers, agents, and employees, as additional insureds on all such policies. Such policies shall Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
provide for notice to the Department in the event of any lapse of coverage or insurance claim thereunder. Prior to disbursement of any Grant funds, Grantee shall provide evidence satisfactory to the Department of its compliance with these insurance requirements.
B. If Grantee is self-insured, in whole or in part, as to any of the required types and levels of coverage, the Grantee shall provide the Department with a written acknowledgment of its self-insured status prior to disbursement of any Grant funds. If the Grantee abandons its self-insured status at any time after execution of this Agreement, the Grantee shall immediately notify the Department, and shall promptly comply with the insurance coverage requirements under the Program.
10. Granted Funding Commitments
Grantee shall demonstrate its capacity to provide the development and operating funding commitments represented to the Department, as set forth in Exhibit E, Budget Detail. The Department reserves the right to request that Grantee provides additional documentary evidence of such capacity at any point.
11. Relocation
Grantee must comply with all applicable federal, state, and local relocation law.
Pursuant to relocation law, a Grantee must have a relocation plan approved by the Department prior to proceeding with any phase of a Project or other activity that will result in the displacement of persons, businesses, or farm operations. To ensure that displaced persons and entities do not suffer a disproportionate impact as a result of Projects which benefit the public, all notices to vacate and relocation services must be provided to them in accordance with applicable law. In addition, before the Homekey + award will be disbursed, Grantee must have either of the following:
A. Department-approved relocation plan; or
B. Department-issued Certification Regarding Non-Application of Relocation Benefits and Indemnification Agreement, which has been duly executed by the Grantee and approved by the Department.
12. One-for-One Replacement of Assisted Units
One-for-one replacement of Assisted Units is permissible if approved in advance by the Department per Section 300 of the NOFA, after the Department’s determination, in its sole and absolute discretion, that such replacement will not reduce the inventory of units Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
that are already available at affordable rents to households that are at or under 30 percent AMI.
13. Site Control
Unless and except as otherwise expressly approved in writing by the Department or provided at Exhibit E to this Agreement, the Grantee shall have control of the property at all times, and such control shall not be contingent on the approval of any other party.
The status and nature of the Grantee's title and interest in the property must be acceptable to the Department. Site control may be evidenced by one of the following:
A. Fee title.
B. A leasehold interest on the property with provisions that enable the lessee to make improvements on and encumber the property provided that the terms and conditions of any proposed lease shall permit compliance with, and satisfaction of, all Program objectives and requirements, including, without limitation, those set forth in this Agreement. If the Grantee’s interest in the property is a leasehold, and the lessee and the lessor are affiliated or related parties, then the Department may require both the lessee and the lessor to execute this Agreement.
C. An executed disposition and development agreement, or irrevocable offer of dedication to a public agency.
D. A sales contract, or other enforceable agreement for the acquisition of the property. If this form of evidence was relied upon at the time of Application, the Department may impose additional Performance Milestones (e.g., presentation of additional or supplemental evidence of eventual site control closer to any projected close of escrow).
E. A letter of intent, executed by a sufficiently authorized signatory of the Grantee, that expressly represents to the Department, without condition or reservation, that, upon successful application, the Grantee shall purchase or otherwise acquire a sufficient legal interest in the property to accomplish the purpose of the award. The letter of intent must also be duly acknowledged by the party selling or otherwise conveying an interest in the subject property to the Grantee. If this form of evidence was relied upon at the time of Application, the Department may impose additional Performance Milestones (e.g., presentation of additional or supplemental evidence of eventual site control closer to any projected close of escrow).
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
F. Other evidence of site control that gives the Department assurance (equivalent to A-E above) that the Grantee will be able to complete the Project in a timely manner and in accordance with the Program’s objectives and requirements, including, without limitation, those set forth or referenced in this Agreement.
14. Adaptability and Accessibility
The Project shall comply with all applicable federal, state and local laws regarding adaptability and accessibility, including, without limitation, the requirements set forth in the Homekey+ NOFA Section 508.
15. Title Status and Reports
Grantee shall provide a current title report for the real property on which the Project is located. If Grantee’s interest in the property is leasehold, then Grantee shall provide a current title report for the leasehold interest and the fee interest. For tribal trust land, Grantee shall provide a TSR or an attorney’s opinion regarding chain of title and current title status. As set forth and specified at Exhibit B of this Agreement, Grantee shall provide such title report or documentation of title status prior to disbursement of any Homekey+ Grant funds.
16. Title Insurance
Grantee shall provide evidence of title insurance and an ALTA As-Built Survey that are acceptable to the Department. The condition of title, the insurer, the liability amount, the form of policy, and the endorsements shall be subject to Department approval. The policy shall ensure that Grantee holds good and marketable title (fee simple or leasehold).
17. Property Management Plan
Grantee shall submit a property management plan to the Department for its review and approval. Such management plan shall be consistent with any representations made in the Application, and it shall meet the Homekey+ Program Requirements.
18. Supportive Services Plan
Grantee shall submit a Supportive Services plan to the Department for its review and approval. Such Supportive Services plan shall be consistent with any representations made in the Application, and it shall meet the Homekey+ Program Requirements (e.g., provide for delivery of housing stability services and benefits).
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
19. Nondiscrimination
Grantee shall adopt a written nondiscrimination policy requiring that no person shall, on the grounds of race, color, religion, sex, gender, gender identity, gender expression, sexual orientation, marital status, national origin, ancestry, familial status, source of income, disability, age, medical condition, genetic information, citizenship, primary language, immigration status (except where explicitly prohibited by federal law), arbitrary characteristics, and all other classes of individuals protected from discrimination under federal or state housing laws, individuals perceived to be a member of any of the preceding classes, or any individual or person associated with any of the preceding classes, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under, any program or activity funded in whole or in part with Homekey + funds.
Statutes and regulations prohibiting discrimination are applicable to this Agreement and include, without limitation, the following:
A. Grantee and any of its contractors, subcontractors, successors, transferees, and assignees shall comply with Title VI of the Civil Rights Act of 1964, which prohibits recipients of federal financial assistance from excluding from a program or activity, denying benefits of, or otherwise discriminating against a person on the basis of race, color, or national origin (42 U.S.C. § 2000d et seq.), as implemented by the U.S. Department of the Treasury’s Title VI regulations, 31 CFR Part 22, which are herein incorporated by reference and made a part of this Agreement. Title VI also includes protection to persons with “Limited English Proficiency” in any program or activity receiving federal financial assistance, 42 U.S.C. § 2000d et seq., as implemented by the U.S. Department of the Treasury’s Title VI regulations, 31 CFR Part 22, and herein incorporated by reference and made a part of this Agreement;
B. Equal Employment Opportunity. Except as otherwise provided under 41 CFR Part 60, all contracts that meet the definition of “federally assisted construction contract” in 41 CFR Part 60–1.3 must include the equal opportunity clause provided under 41 CFR 60–1.4(b), in accordance with Executive Order 11246, “Equal Employment Opportunity” (30 FR 12319, 12935, 3 CFR Part, 1964–1965 Comp., p. 339), as amended by Executive Order 11375, “Amending Executive Order 11246 Relating to Equal Employment Opportunity,” and implementing regulations at 41 CFR part 60, “Office of Federal Contract Compliance Programs, Equal Employment Opportunity, Department of Labor.”;
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
C. The Fair Housing Act, Title VIII of the Civil Rights Act of 1968 (42 U.S.C. § 3601 et seq.); Grantee shall affirmatively further fair housing, in accordance with the Civil Rights Act of 1964 (42 U.S.C §2000a, et seq.), and the Fair Housing Act (42 U.S.C. §3601, et seq.), according to 42 U.S.C. §5306, et seq. and in compliance with California statute (Gov. Code sections 65583, et seq.). Grantee shall comply with the Fair Housing Amendment Act of 1988 (Public Law 100-430). Grantee shall develop and implement an affirmative fair housing marketing plan that is satisfactory to the Department. Appropriate aspects of the initial plan shall be incorporated into the ongoing management plan to ensure positive outreach and informational efforts to those who are least likely to know about and apply for Interim Housing or Permanent Housing. Grantee is encouraged to refer to the guidelines for Affirmative Fair Housing Marketing Plans issued by the U.S.
Department of Housing and Urban Development (“HUD”). Grantee shall comply with all applicable state and federal fair housing laws; D. Section 504 of the Rehabilitation Act of 1973, as amended (29 U.S.C. § 794); prohibiting recipients of federal funds from discrimination against persons with disability; the Americans With Disabilities Act of 1990 prohibiting all public discrimination against persons with disabilities; the Age Discrimination Act of 1975 prohibiting age-based discrimination in federally funded activities; Executive Order 11063 prohibiting discrimination in disposition of properties owned or financed with federal funds, as amended by Executive Order 12259; and Executive Order 11246 regarding fair employment, as amended by Executive Orders 11375, 11478 and 12086; and HUD regulations heretofore issued or to be issued to implement these authorities relating to civil rights; E. The Age Discrimination Act of 1975, as amended (42 U.S.C. § 6101 et seq.); The Age Discrimination Act of 1975, as amended (42 U.S.C. § 6101 et seq.); prohibiting age-based discrimination in federally funded activities.
Title II of the Americans with Disabilities Act of 1990, as amended (42 U.S.C. § 12101 et seq.); Americans With Disabilities Act of 1990 prohibiting all public discrimination against persons with disabilities. The State of California nondiscrimination statutes, regulations, and standards set forth and identified in the NOFA and at Exhibit C of this Agreement.
20. Affirmative Fair Housing Marketing Plan and Fair Housing Compliance A. Grantee shall affirmatively further fair housing, in accordance with the Civil Rights Act of 1964 (42 U.S.C §2000a, et seq.), and the Fair Housing Act (42 U.S.C. §3601, et seq.), according to 42 U.S.C. §5306, et seq. and in compliance with California statute (Gov. Code sections 65583, et seq.). Grantee shall comply with Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
the Fair Housing Amendment Act of 1988 (Public Law 100-430).
B. Grantee shall develop and implement an affirmative fair housing marketing plan that is satisfactory to the Department. Appropriate aspects of the initial plan shall be incorporated into the ongoing management plan to ensure positive outreach and informational efforts to those who are least likely to know about and apply for Interim Housing or Permanent Housing. Grantee is encouraged to refer to the guidelines for Affirmative Fair Housing Marketing Plans issued by the U.S.
Department of Housing and Urban Development (“HUD”). Grantee shall comply with all applicable state and federal fair housing laws.
21. Grantee Acknowledgment of the Pet Friendly Housing Act of 2017 By executing this Agreement, Grantee acknowledges that the Pet Friendly Housing Act of 2017 (California Health & Safety Code, § 50466) requires each housing development, if it is financed on or after January 1, 2018 pursuant to Division 31 of the California Health and Safety Code, to authorize a resident of the housing development to own or otherwise maintain one or more common household pets within the resident’s dwelling unit, subject to applicable state laws and local governmental ordinances related to public health, animal control, and animal anticruelty.
22. Final Certificate of Occupancy
Grantee shall provide a final certificate of occupancy (or an equivalent form of occupancy certification or approval) issued by the local agency having jurisdiction over such certificates.
23. Occupancy
The Assisted Units shall be occupied by the Target Population, and such units shall be in decent, safe, and sanitary condition at the time of their occupancy. In addition, the Grantee shall certify, upon occupancy, that it will employ the core components of Housing First (as set forth at Welfare and Institutions Code section 8255) as part of its property management plan and Supportive Services plan.
24. Tenant Selection
Referrals to Assisted Units shall be made through the local Coordinated Entry System (“CES”), or another comparable prioritization system based on greatest need shall be Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
used. All referral protocols for Assisted Units shall be developed in collaboration with the local Continuum of Care and implemented consistently with the Program Requirements.
25. Participation in Statewide HDIS/HMIS
Grantee shall support Continuum of Care participation in the statewide Homeless Data Integration System (“HDIS”). As required by and in accordance with state and federal law (including all applicable privacy law), Grantee shall further disclose relevant data to the local Homeless Management Information System (“HMIS”) and comparable data collection systems.
26. Affordability Covenant
A. An Affordability Covenant shall be recorded against the Project real property in accordance with Section 208 of the NOFA and this Agreement.
B. The Public Entity or Tribal Entity shall prepare and cause a 55-year Affordability Covenant to be recorded against the Project real property except in the event that the Permanent Housing Project is located on tribal trust land, in which case a 50-year Affordability Covenant shall be recorded against the Project real property.
C. The Affordability Covenant shall require integration of the Target Population within all entrances, common areas, and buildings that comprise the Project.
D. The Affordability Covenant shall include occupancy and rent restrictions that maintain the Project’s accessibility to the Target Population over the full term of the Affordability Covenant.
E. All Affordability Covenants are subject to the advance written approval of the Department, and shall be acceptable to the Department in form, substance, and priority. Project-specific requirements and deadlines are set forth at Exhibit E of this Agreement.
27. Restrictions on Sales, Transfers, and Encumbrances
Grantee shall not, for the duration of this Agreement, sell, assign, transfer, or convey the Project, or any interest therein or portion thereof, without the express prior written approval of the Department.
The Grantee who garnered the experience points at the application stage must be the entity who controls the owner of the Project, through close of escrow, and into Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
management and operation of the project. Organizational documents demonstrating that the experienced Grantee has the authority to exercise control of the borrowing entity in compliance with Section 8301(s) of the Uniform Multifamily Regulations (UMR) must be submitted to the Department for review and approved by the Department prior to execution of the Standard Agreement.
28. Retention, Inspection, and Audit of Records
A. Grantee is responsible for maintaining records which fully disclose the activities funded by the Grant. Grantee shall retain all records for a period of five (5) years after the expiration of this Agreement, unless a longer retention period is stipulated. If any litigation, claim, negotiation, audit, monitoring, inspection or other action commences during this required retention period, all records must be retained until a full and final resolution of the action.
B. At any time during the term of this Agreement, the Department may perform or cause to be performed a financial audit of any and all phases of the Project. At the Department’s request, the Grantee shall provide, at its own expense, a financial audit prepared by a certified public accountant. The audit shall be performed by a qualified state, local, independent, or Department auditor. Where an independent auditor is engaged, the audit services agreement shall include a clause which permits the Department to have access to the independent auditor’s relevant papers, records, and work product.
C. If there are audit findings, the Grantee shall submit a detailed response to the Department for each audit finding. The Department will review the response. If the Department determines, in its sole and absolute discretion, that the response is satisfactory, the Department will conclude the audit process and notify the Grantee in writing. If the Department determines, in its sole and absolute discretion, that the response is not satisfactory, the Department will contact the Grantee, in writing, and explain the action required to cure any audit deficiencies.
Such action could include the repayment of ineligible costs or other remediation.
D. If so directed by the Department upon the termination or expiration of this Agreement, the Grantee shall deliver all records, accounts, documentation, and other materials that are relevant to this Agreement to the Department as depository.
29. Site Inspection
The Department reserves the right, upon reasonable notice, to inspect the Project to determine whether it meets the Program Requirements. If the Department reasonably Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
determines that the site is not acceptable for the Project in accordance with] the Program Requirements, the Department reserves the right to rescind the award and the Grant. Nothing in this paragraph is intended to create or imply any obligation of the Department to inspect the Project.
30. Compliance with State and Federal Laws, Rules, Guidelines, and Regulations A. Grantee, its agencies or instrumentalities, contractors, sub-grantees, and subrecipients shall comply with all local, state, and federal laws, statutes, and regulations, as well as policies and guidelines established by the Department for the administration of the Homekey + program.
31. Updated Information
If there is any change in the information that has been provided to the Department, Grantee shall promptly provide the Department with updated documentation (e.g., updated sources and uses). All changes shall be subject to Department approval. In addition, Grantee shall promptly notify the Department, in writing, of any changes in Grantee or Co-Grantee organization, authorization, or capacity.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
32. Survival of Obligations
The obligations of the Grantee, as set forth in this Agreement, shall survive the termination or expiration of this Agreement.
33. Litigation
Grantee shall notify the Department immediately of any claim or action undertaken by or against it which affects or may affect this Agreement or the Department and shall take such action with respect to the claim or action as is consistent with the terms of this Agreement, the Program Requirements, the interests of the Department, and the objectives of the Homekey + Program.
34. Entire Agreement; Severability
This Agreement constitutes the entire agreement between the Grantee and the Department. All prior representations, statements, negotiations, and undertakings with regard to the subject matter hereof are superseded hereby. If any term or provision of this Agreement or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the remaining terms and provisions of this Agreement, or the application of such terms or provisions to persons or circumstances other than those as to which it is held invalid or unenforceable, shall not be affected thereby, and each term and provision of this Agreement shall be valid and enforced to the fullest extent permitted by law.
35. Modification or Waiver under AB 1010
The Department reserves the right to waive or modify any requirement under this Agreement, or any Program Requirement, as authorized by and in accordance with California Assembly Bill No. 1010 (Chapter 660, Statutes of 2019) (“AB 1010”), which is codified at California Health and Safety Code section 50406, subdivision (p).
36. Waivers
No waiver of any breach, violation, or default under this Agreement shall be held to be a waiver of any other or subsequent breach or violation thereof or default thereunder. The Department’s failure, at any time, to enforce the provisions of this Agreement or to require the Grantee’s performance under this Agreement shall in no way be construed as a waiver of such provisions or performance, and it shall not affect the validity of this Agreement or the Department’s right to enforce this Agreement.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
37. Disputes
In the event of any conflict between this Agreement and any Grantee documents or side agreements, this Agreement and the Program Requirements shall prevail, are applicable, and shall be enforceable by the Department even if the Department provided review or approval of such documents and side agreements.
38. Consent
The parties agree that wherever the consent or approval of the Department or Grantee is required under this Agreement, such consent or approval shall not be unreasonably withheld, conditioned, or delayed, unless the same is specified as being in that party’s sole and absolute discretion, or other words of similar import.
39. Grantee Liability
Grantee shall remain liable to the Department for performance under this Standard Agreement and compliance with all Program Requirements regardless of any Department-approved transfer or assignment of interest, or of any designation of a third party for the undertaking of all or any part of the Scope of Work. Likewise, each Co- Grantee shall remain jointly and severally liable to the Department for performance under this Standard Agreement and compliance with all Program Requirements regardless of any Department-approved transfer or assignment of interest; any designation of a third party for the undertaking of all or any part of the Scope of Work; or the Co-Grantees’ identification of a Designated Payee.
40. Defense and Indemnification
Grantee agrees to defend, indemnify, and hold harmless the Department, and its appointees, agents, employees, and officers, from any losses, damages, liabilities, claims, actions, judgments, court costs and legal or other expenses (including attorneys’ fees), which may arise in connection with Grantee’s use of the Grant funds and performance under this Agreement. If any attorney, including the California Attorney General, is engaged by the Department to enforce, construe, or defend any provision of this paragraph, with or without the filing of any legal action or proceeding, Grantee shall, individually or jointly, pay to the Department, immediately upon demand, the amount of all attorneys’ fees and costs incurred by the Department in connection therewith.
Name(s) of Grantee(s)
25-HK+-XXXXX
EXHIBIT D
Homekey+ Program
NOFA Date: 11/26/2024; as amended 01/31/2025; 08/07/2025 Project Name:
Approved Date: 09/24/2025
Prep. Date: XX/XX/XXXX
41. Time Is of the Essence
Time is of the essence under this Agreement, and in the performance of every term, covenant, and obligation contained herein.
Homekey+ Program
NOFA Date: 11/26/2024, as amended 01/31/2025; 08/07/2025 Project Name: Vista Ridge
Approved Date: 09/24/2025
Prep. Date: 09/26/2025
City of Fairfield, Fairfield North Texas Street LP, Community Revitalization and Development Corporation, Danco Communities
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EXHIBIT E Page 1 of 15
PROJECT-SPECIFIC PROVISIONS AND SPECIAL TERMS AND CONDITIONS
1. PROJECT-SPECIFIC PROVISIONS
Project Name: Vista Ridge
Address: 3331 North Texas Street, Fairfield, CA 94533
Assessor Parcel Numbers (APNs): 0167-130-240
A. Award, Payee and Eligible Use(s)
The Department issued the Grantee a Homekey+ Program Conditional Award Letter dated September 19, 2025. The Award is a grant in the amount of $21,535,540.00. The Designated Payee of these funds is the City of Fairfield.
Grantee will use the funds to provide Permanent Supportive Housing for the Target Population and subpopulations in the Homekey+ Assisted Units as specified in the unit mix chart included herein. Specifically, the Grantee will apply these funds towards the following eligible use(s):
1) Acquisition and rehabilitation of a hotel to provide Permanent Supportive Housing for the Target Population.
B. Homekey+ Award.
The Homekey+ Award is comprised of:
Total Award $21,535,540.00
Capital Award $21,535,540.00
Acquisition $12,000,001.00
Rehabilitation $9,535,539.00
Master Leasing $00.00
New Construction $00.00
Affordability Covenants $00.00
Relocation Award $00.00
Operating Award $00.00
C. Unit Mix [see next page]
Homekey+ Program
NOFA Date: 11/26/2024, as amended 01/31/2025; 08/07/2025 Project Name: Vista Ridge
Approved Date: 09/24/2025
Prep. Date: 09/26/2025
City of Fairfield, Fairfield North Texas Street LP, Community Revitalization and Development Corporation, Danco Communities
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EXHIBIT E Page 2 of 15
Table 1: Homekey+ Unit Mix
Number of
Bedrooms
Number
of
Homekey
+
Assisted
Units
AMI% or
Manager
Unit
Homekey+
Population
Restriction to
Subset of
Homekey+
Population
0 Bedroom/
Studio
2 30% Homekey+
Population
People Experiencing
Homelessness
1 Bedroom 48 30% Homekey+
Population
People Experiencing
Homelessness
2 Bedroom 1 Manager Unit N/A N/A
Veterans Units
Total
0 Homekey+
General
Population
Total
50 Youth Units
Total
0 Manager Units
Total
1 Total Homekey+
Units
51 Non-Homekey+ Units- See Table 2
Homekey+ Program
NOFA Date: 11/26/2024, as amended 01/31/2025; 08/07/2025 Project Name: Vista Ridge
Approved Date: 09/24/2025
Prep. Date: 09/26/2025
City of Fairfield, Fairfield North Texas Street LP, Community Revitalization and Development Corporation, Danco Communities
25-HK+-18683
EXHIBIT E Page 3 of 15
Table 2: Non-Homekey+ Unit Mix: None
Referrals to Homekey+ Assisted Units shall be made through the local Coordinated Entry System (CES), or another comparable prioritization system based on greatest need for housing and services, to determine the most appropriate referral. Grantees must demonstrate efforts to coordinate with their local county behavioral health department, to ensure the referral process to the Homekey+ units is aligned with the requirements of the Homekey+ program.
Homekey+ Assisted Units should be reserved for serving the Target Population where households are more appropriately served by Permanent Supportive Housing, including referrals from persons exiting encampments. Households with lower levels of need may be better served by other housing and less intense service interventions.
2. PROJECT DETAILS
Project Narrative: The Vista Ridge project is an acquisition and rehabilitation effort that will convert an existing 3-story, 100-room hotel into approximately 50 units of permanent supportive housing, including one manager’s unit. The project is funded through Homekey+ with additional support from the City of Fairfield and Project-Based Vouchers.
The building will be renovated to provide units with kitchenettes (sink, stove, fridge, microwave, and dishwasher), private bathrooms, and furnishings.
Renovations also include reconfigured spaces for onsite services such as case management offices, a leasing office, a manager’s office, security office, laundry facilities, and a large community room. The building includes an elevator, ensuring accessible circulation throughout the three stories. The project will meet accessibility requirements by providing a minimum of 8 mobility-accessible units and 5 units with hearing/vision accessibility features, in compliance with Homekey+ and applicable state/federal standards.
Exterior improvements will include site accessibility upgrades, new paint, and outdoor recreation areas such as a dog run, smoking area, and basketball court.
The site is well located for the target population, with nearby access to critical services. Just across North Texas Street, residents will find a grocery store, pharmacy, dining, banking, and retail services. Public transit stops are also nearby, ensuring connectivity to the wider Fairfield community.
Homekey+ Program
NOFA Date: 11/26/2024, as amended 01/31/2025; 08/07/2025 Project Name: Vista Ridge
Approved Date: 09/24/2025
Prep. Date: 09/26/2025
City of Fairfield, Fairfield North Texas Street LP, Community Revitalization and Development Corporation, Danco Communities
25-HK+-18683
EXHIBIT E Page 4 of 15
3. SCOPE OF WORK
A. Acquisition and Rehabilitation Detail:
The Grantee will acquire and rehabilitate an existing three-story hotel property in Fairfield, California, converting it into 51 permanent supportive housing units, including one manager’s unit. Rehabilitation and site improvements will include:
a. Reconfiguration of first-floor rooms to create a large community space, case management offices, and a security office.
b. Interior renovation of all residential units to include kitchenettes and full bathrooms.
c. Accessibility upgrades throughout the property, including improvements to entrances, common areas, and circulation routes.
d. Replacement and/or upgrades to building systems, including HVAC, plumbing, and electrical, to ensure code compliance and energy efficiency. e. Site enhancements including repainting, landscaping, and accessibility modifications to exterior walkways and entries.
f. Creation of outdoor amenities such as a dog run, barbeque area, and recreational space (basketball court).
g. General repairs and upgrades to improve building durability, safety, and long-term maintenance.
B. Supportive Services and Staffing Detail:
Grantee shall assure that the Case Manager ratio(s) for this Project will be maintained at 20.8:1 for the Homekey+ Homelessness for 50 units. Grantee will coordinate with third-party property manager Danco Property Management.
Grantee will coordinate with a third-party service provider Caminar to act as Lead Service Provider. Services include those required in NOFA Section 302 (1-24).
Homekey+ Program
NOFA Date: 11/26/2024, as amended 01/31/2025; 08/07/2025 Project Name: Vista Ridge
Approved Date: 09/24/2025
Prep. Date: 09/26/2025
City of Fairfield, Fairfield North Texas Street LP, Community Revitalization and Development Corporation, Danco Communities
25-HK+-18683
EXHIBIT E Page 5 of 15
C. GRANTEE CONTRACT COORDINATOR(S)
Authorized Representative Name: David Gassaway
Authorized Representative Title: City Manager
Entity Name: City of Fairfield
Address: 1525 Webster Street, Suite B
Fairfield, CA 94533
Telephone No.: (707) 428-7398
E-Mail Address: [email protected]
Authorized Representative Name: Daniel J. Johnson
Authorized Representative Title: President of the Managing Member of Fairfield North Texas Street LLC
Entity Name: Fairfield North Texas Street LP
Address: 5251 Ericson Way Suite A
Arcata, CA 95521
Telephone No.: (707) 822-9000
E-Mail Address: [email protected]
Authorized Representative Name: David Rutledge
Authorized Representative Title: President
Entity Name: Community Revitalization and Development
Corporation
Address: 1918 West Street
Redding, CA 96001
Telephone No.: (530) 241-6960
E-Mail Address: [email protected]
Authorized Representative Name: Daniel J. Johnson
Authorized Representative Title: President
Entity Name: Danco Communities
Address: 5251 Ericson Way Suite A
Arcata, CA 95521
Telephone No.: (707) 822-9000
E-Mail Address: [email protected]
Homekey+ Program
NOFA Date: 11/26/2024, as amended 01/31/2025; 08/07/2025 Project Name: Vista Ridge
Approved Date: 09/24/2025
Prep. Date: 09/26/2025
City of Fairfield, Fairfield North Texas Street LP, Community Revitalization and Development Corporation, Danco Communities
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EXHIBIT E Page 6 of 15
4. ADDITIONAL CONDITIONS PRECEDENT TO DISBURSEMENT
A. Preliminary Title Report from First American Title, dated March 27, 2025, lists two active Deeds of Trust recorded against the subject property. Item #18 was recorded on April 02, 2008, and has an indebtedness of $899,495.45, which will be paid off and reconveyed at closing. Item #19 was recorded on July 03, 2018, and has an indebtedness of $4,049,000.00, which will be paid off and reconveyed at closing.
5. BUDGET DETAIL
A. Grantee represented to the Department the following commitments for the development and construction of the Homekey+ Project:
Development Sources:
1) Homekey+ Award letter dated September 19, 2025, for a funding commitment of $21,535,540.00 for acquisition and rehabilitation.
2) Citi Bank letter dated May 2, 2025, for $3,407,249.00 for permanent loan funding to rehabilitate the property for the construction period. The loan carries a fixed 7.0% interest rate for a 20-year term, with an annual required debt service amount of $316,996.00
3) City of Fairfield letter dated March 6, 2025, for $1,000,000.00 in the Fairfield Housing Trust Fund (FHTF) loan funding to support rehabilitation of the project. Loan is structured as a Residual Receipts loan, with a 3.0% interest rate and a 55-year term. 4) City of Fairfield letter dated March 6, 2025, for $535,541.00 in Prohousing Incentive Program (PIP) grant funding to support the rehabilitation of the property. This grant does not accrue interest and has no repayment term.
5) Danco Communities letter dated March 17, 2025, for $317,933.00 as a Deferred Developer Fee Commitment for the permanent period. The terms include a 15-year period, 0% interest rate, and repayment on a residual receipts basis until paid in full.
Homekey+ Program
NOFA Date: 11/26/2024, as amended 01/31/2025; 08/07/2025 Project Name: Vista Ridge
Approved Date: 09/24/2025
Prep. Date: 09/26/2025
City of Fairfield, Fairfield North Texas Street LP, Community Revitalization and Development Corporation, Danco Communities
25-HK+-18683
EXHIBIT E Page 7 of 15
B. Grantee shall maintain the ongoing affordability of the Project by leveraging the following non-Homekey+ sources for operating expenses:
Operating Sources:
1) Fairfield Housing Authority (FHA) letter dated April 14, 2025, has committed 50 Project-Based Vouchers (PBV) for the Vista Ridge Project.
The PBVs provide an estimated annual rental subsidy of $1,065,360.00 per year for a 20-year term, for a total funding commitment of $21,307,200.00.
6. PERFORMANCE MILESTONES
Performance Milestones Milestone Completion Date
Expenditure Deadline for Capital Funds.
February 18, 2027 which includes 60 days
from the date of the Award letter and
approved by the Department.
Complete construction of the
Rehabilitation Homekey+ Project
must be achieved.
November 18, 2026, which includes 60
days from the date of the Award letter and
extension approved by the Department.
Full occupancy by the Target
Population must be accomplished in
accordance with the descriptions and
representations set forth in the
Application.
February 18, 2027, which includes 60 days
from the date of the Award letter.
A complete Supportive Services Plan
must be received by HCD.
October 21, 2026
Grantee must have an approved
Supportive Services Plan by full
occupancy.
February 18, 2027
A copy of Grantee’s written
nondiscrimination policy (in
accordance with Exhibit D of this
Agreement) must be submitted to the
Department.
July 20, 2026
Homekey+ Program
NOFA Date: 11/26/2024, as amended 01/31/2025; 08/07/2025 Project Name: Vista Ridge
Approved Date: 09/24/2025
Prep. Date: 09/26/2025
City of Fairfield, Fairfield North Texas Street LP, Community Revitalization and Development Corporation, Danco Communities
25-HK+-18683
EXHIBIT E Page 8 of 15
A copy of the Notice of Exemption from
the California Environmental Quality
Act (CEQA) filed with the Office of
Planning and Research (OPR) as
applicable.
July 20, 2026, which includes 60 days from
the date of the Award letter.
A Homekey+ Program and Report must
be submitted to the Department as
specified and described in the NOFA.
March 31 – Each year for five (5) years
following the Effective Date of this
Agreement. The annual report is required
for at least five years following full
occupancy of the Project and until the
Homekey+ operating funds are fully
expended.
A Homekey+ Expenditure Report must
be submitted to the Department.
July 31 – Each year until the full
Homekey+ Award has been fully
expended.
7. TERMS AND CONDITIONS
The following Special Terms and Conditions are applicable to this Project and shall control notwithstanding anything to the contrary herein:
A. Affordability Covenant
1) The state, regional, local, or tribal Grantee shall ensure that the Project is duly encumbered with a 55-year Affordability Covenant that (a) is recorded in first position against the Project for the benefit of the state, regional, local, or tribal Grantee; (b) restricts the use, operation, occupancy, and affordability of the Project in accordance with this Homekey+ Agreement and the applicable Program Requirements in the NOFA; (c) duly names the Department as a third-party beneficiary with the right and privilege, but not the obligation, of enforcement thereof; (d) incorporates the Homekey+ Program Requirements by reference and (e) is otherwise in form and substance acceptable to the Department.
2) The Affordability Covenant must be recorded against the real property of the Project site prior to the disbursement of funds as specified in Exhibit B. The Grantee shall obtain the Department’s express written approval of the Affordability Covenant prior to the recordation of the same. After recordation, the Grantee shall promptly provide the Department with a conformed copy of the recorded Affordability Covenant and a title report to confirm lien priority.
Homekey+ Program
NOFA Date: 11/26/2024, as amended 01/31/2025; 08/07/2025 Project Name: Vista Ridge
Approved Date: 09/24/2025
Prep. Date: 09/26/2025
City of Fairfield, Fairfield North Texas Street LP, Community Revitalization and Development Corporation, Danco Communities
25-HK+-18683
EXHIBIT E Page 9 of 15
3) All Homekey+ funds must be wired to an escrow company as specified in Exhibit B. The Applicant shall identify the name and address of the escrow company, the name of the escrow officer, the escrow number, and any other information requested by HCD. The appropriate Affordability Covenant must be on file and approved by HCD to be included in the escrow transaction for recordation.
4) The Affordability Covenant must be recorded as a lien against the Project in first position, and must remain in first position, over all other Project agreements, covenants, or other matters of record on the real property for the period of affordability required by the Program.
8. Project-Specific Special Terms and Conditions
A. Application Scoring Terms and Conditions
1) Grantee application was prioritized for receiving at least 10 points per NOFA Section 305, Application Scoring Criteria, (3)(a), for sustained operating leverage evidenced by Project rental or operating subsidies.
Grantee has committed to non-Homekey+ rental or operating subsidies (including funded services) to maintain the ongoing affordability and sustainability of Project operations that are outlined in Section 6, Budget Detail. Any budget modifications must be submitted to HCD for approval and must address how the Project affordability and sustainability will be maintained.
2) Grantee has committed to a 55-year use restriction for the Project and has waived any potential accommodation by the Department to increase income limits, as per NOFA Section 305, Application Scoring Criteria, (5)(b), for 100 percent of the Assisted Units.
3) Grantee has committed to the following accessibility details for the Project, as per NOFA Section 305, Application Scoring Criteria, (5)(c), the Project will exceed the state and federal accessibility requirements set forth in the NOFA.
At least 15 percent of the Project’s Assisted Units must have features accessible to persons with mobility disabilities and at least 10 percent of the Project’s units must have features accessible to persons with hearing or vision disabilities.
Homekey+ Program
NOFA Date: 11/26/2024, as amended 01/31/2025; 08/07/2025 Project Name: Vista Ridge
Approved Date: 09/24/2025
Prep. Date: 09/26/2025
City of Fairfield, Fairfield North Texas Street LP, Community Revitalization and Development Corporation, Danco Communities
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EXHIBIT E Page 10 of 15
B. Supportive Services Plan Terms and Conditions
HCD may request necessary updates to the Supportive Services plan or related documents, including fully executed written agreements. All updates must be approved prior to occupancy as determined by the milestones listed in this Standard Agreement.
C. Site Control Terms and Conditions
HCD Grantee demonstrated site control by providing evidence of fee title at the time of Application.
9. Project Development Budget: (Please see the next page for the development sources and uses budget from the application that was approved by HCD’s Awards Committee.) Budget detail included for the purpose of showing the Homekey+ Award details, including project reserves and developer fee. Other budget sources and uses will not be monitored by HCD.
Homekey+ Program
NOFA Date: 11/26/2024, as amended 01/31/2025; 08/07/2025 Project Name: Vista Ridge
Approved Date: 09/24/2025
Prep. Date: 09/26/2025
City of Fairfield, Fairfield North Texas Street LP, Community Revitalization and Development Corporation, Danco Communities
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EXHIBIT E Page 11 of 15
Homekey Approved Development Sources & Uses Budget
Homekey+ Program
NOFA Date: 11/26/2024, as amended 01/31/2025; 08/07/2025 Project Name: Vista Ridge
Approved Date: 09/24/2025
Prep. Date: 09/26/2025
City of Fairfield, Fairfield North Texas Street LP, Community Revitalization and Development Corporation, Danco Communities
25-HK+-18683
EXHIBIT E Page 12 of 15
Homekey+ Program
NOFA Date: 11/26/2024, as amended 01/31/2025; 08/07/2025 Project Name: Vista Ridge
Approved Date: 09/24/2025
Prep. Date: 09/26/2025
City of Fairfield, Fairfield North Texas Street LP, Community Revitalization and Development Corporation, Danco Communities
25-HK+-18683
EXHIBIT E Page 13 of 15
Homekey+ Program
NOFA Date: 11/26/2024, as amended 01/31/2025; 08/07/2025 Project Name: Vista Ridge
Approved Date: 09/24/2025
Prep. Date: 09/26/2025
City of Fairfield, Fairfield North Texas Street LP, Community Revitalization and Development Corporation, Danco Communities
25-HK+-18683
EXHIBIT E Page 14 of 15
Homekey+ Program
NOFA Date: 11/26/2024, as amended 01/31/2025; 08/07/2025 Project Name: Vista Ridge
Approved Date: 09/24/2025
Prep. Date: 09/26/2025
City of Fairfield, Fairfield North Texas Street LP, Community Revitalization and Development Corporation, Danco Communities
25-HK+-18683
EXHIBIT E Page 15 of 15