Cities Index.
Attach 1 - FY 2022-23 Draft CAPER

City Council/Public Financing Authority
September 19, 2023

Document
Attach 1 - FY 2022-23 Draft CAPER
Meeting
September 19, 2023
Body
City Council/Public Financing Authority
Original file
955 KB
Text extracted from the city's file for reading and search. Open the original on huntingtonbeach.legistar1.com. That file is the official record.

Action Plan

CITY OF HUNTINGTON BEACH

CONSOLIDATED ANNUAL PERFORMANCE &

EVALUATION REPORT (CAPER)

JULY 1, 2022 – JUNE 30, 2023

PUBLIC REVIEW DRAFT
September 1 – September 19, 2023

CITY OF HUNTINGTON BEACH

OFFICE OF BUSINESS DEVELOPMENT
2000 MAIN STREET
HUNTINGTON BEACH, CA 92648

CITY OF HUNTINGTON BEACH
2022/23 CAPER

TABLE OF CONTENTS

SECTION PAGE
Introduction ............................................................................................................................ 1 CR-05: Goals and Outcomes ................................................................................................... 4 CR-10: Racial and Ethnic Composition of Families Assisted .................................................. 11 CR-15: Resources and Investments …………….……. …..…… .......................................... 12 CR-20: Affordable Housing .................................................................................................... 19 CR-25: Homeless and Other Special Needs ........................................................................... 22 CR-30: Public Housing ............................................................................................................ 27 CR-35: Other Actions ............................................................................................................. 28 CR-40: Monitoring ................................................................................................................. 38 CR-45: CDBG .......................................................................................................................... 40 CR-50: HOME .......................................................................................................................... 41 CR-53: Section 3 ..................................................................................................................... 44

2022/23 CAPER 1
OMB Control No: 2506-0117 (exp. 09/30/2021)
Introduction

The City of Huntington Beach (City) has prepared the 2022/23 Consolidated Annual Performance and Evaluation Report (CAPER) as required by the U.S. Department of Housing and Urban Development (HUD) which describes the use of federal Community Development Block Grant (CDBG) and HOME Investmen t Partnership (HOME) funds during the third program year of the 2020/21 – 2024/25 Consolidated Plan period, covering July 1, 2020 to June 30, 2025.

The City receives CDBG and HOME funds from HUD on a formula basis each year, and in turn, implements projects and also awards grants to nonprofit, for‐profit, or public organizations for projects in furtherance of the adopted Consolidated Plan. The CDBG and HOME programs generally provide for a range of eligible activities for the benefit of low‐ and moderate‐income Huntington Beach residents. The CAPER discusses affordable housing outcomes, homelessness and special needs activities, non -housing community development activities, and other actions in furtherance of the City’s Annual Action Plan projects and pr ograms for Fiscal Year (FY) 2022/23 (July 1, 2022 to June 30, 2023).

For the 2022/23 fiscal year, the City received $1,179,193 of CDBG funds from HUD, which were combined in the Action Plan with $173,198 of unexpended CDBG funds from prior years , and $28,858 in program income receipts for a to tal investment of $1, 381,249. In HOME funding, the City was awarded $676,539, coupled with $661,607 in prior year unspent funds, and new program income received in the amount of $147,185, made $1,485,331 available for the fiscal year. This investment of CDBG and HOME funds was a catalyst for positive change in the community. Together with other federal, state and local investments, HUD resources allowed the City and its partners to:

• Provide fair housing services to 405 residents.
• Provide homelessness prevention and assistance services to 456 residents. • Provide special needs services such as senior services to 370 residents. • Provide public services to 253 children.
• Provide tenant-based rental assistance and housing operation services to 56 eligible households.
• Provide 10 homeowners with assistance in the form of grants and loans to make significant housing repairs and improvements.

In 2020, the City received a special allocation of Coronavirus Aid, Relief, and Economic Security Act (CARES Act) funding in the amount of $ 2,159,775 to be used on activities that prevent,

2022/23 CAPER 2
OMB Control No: 2506-0117 (exp. 09/30/2021)
prepare for, or respond to the impacts of COVID-19. The City Council allocated the majority of those funds, $2,028,847, to the Navigation Center with only $130,928 allocated to program administration. To date, the Navigation Center has provided overnight shelter and wraparound services to 893 homeless persons.

Finally, in 2021, HUD allocated $ 2,240,675 in another special allocation of funding to the City of Huntington Beach . The HOME -American Rescue Plan Program (HOME -ARP) provides funding to reduce homelessness and increase housing stability. Thus far, the City of Huntington Beach has received HUD approval on the HOME -ARP Allocation Plan that proposes to allocate $2,190,675 for supportive services at the Navigation Center and the City’s Project Homekey development, HB Oasis Project. Only $50,000 of the grant will be used for program administration.

The figure below highlights the City’s priority needs and the strategies the City has and will continue to undertake to address the priority needs defined in the City’s Five -Year Consolidated Plan.

2022/23 CAPER 3
OMB Control No: 2506-0117 (exp. 09/30/2021)
Priority Need 5-Year Implementing Goals and Projects/Programs Households with Housing Problems ➢ Sustain and Strengthen Neighborhoods • Owner-Occupied Single Family, Condo, and Mobile Home
Rehabilitation Grant Program (40 housing units)
• Owner-Occupied Single-Family Rehabilitation Loan
Program (10 housing units)
• Housing Rehabilitation Loan Administration (50 housing units)
• Special Code Enforcement Program (3000 housing units) ➢ Preserve Existing and Create New Affordable Housing
• Acquisition/Rehabilitation/New Construction (20 housing units)
• Tenant-Based Rental Assistance (100 households)
Homelessness ➢ Support Efforts to Address Homelessness
• Homeless Outreach Program (2,000 persons)
• StandUp for Kids Street Outreach Program (560 persons) • Robyne’s Nest Housing for Homeless High Schoolers (45 persons)
• Navigation Center Operations Program (100 persons)
Special Needs Populations ➢ Support Agencies that Assist Special Needs Populations • Senior Services Care Management Program (825 persons) • Oakview Family Literacy Program (950 persons)
Priority Community Services ➢ Increase Access to Community Services for Low- and Moderate-Income Persons
• Children’s Bureau (2,000 persons)
Priority Community and Public
Facilities
➢ Preserve Existing and Create New Community and Public Services
• Various Community and Public Facility Projects (5,000 persons)
Priority Infrastructure
Improvements
➢ Provide Needed Infrastructure Improvements
• Various Public Infrastructure Improvement Projects
(2,000 persons)
Other Housing and Community
Development Needs
➢ Planning for Housing and Community Development
• CDBG Program Administration
• HOME Program Administration
• Fair Housing Foundation

2022/23 CAPER 4
OMB Control No: 2506-0117 (exp. 09/30/2021)
CR -0 5 – G oa ls a nd O u tc om es

Progress the jurisdiction has made in carrying out its strategic plan and its action plan.

Table 1 below illustrates the City’s FY 2022/23 Annual Action Plan outcomes (based on defined units of measure) as it compares to the five -year Consolidated Plan aggregate ( 2020/21 – 2024/25).

2022/23 CAPER 5
OMB Control No: 2506-0117 (exp. 09/30/2021)
Goal Category
Strategic
Plan
Source /
Amount Indicator
Unit of
Measure
5-Year Strategic Plan 2022/23 Annual Action Plan
Expected Actual
Percent
Complete Expected Actual
Percent
Complete
Preserve
Existing and
Create New
Affordable
Housing
Affordable
Housing
HOME:
$4,175,718
Rental units
constructed
Household
Housing
Unit
20 Housing
Units
(TBD Acq/
Rehab/ New
Construction
Projects)
0 Housing
Units
(HB Senior
Housing
Project:

Underway)

0.00% 0 Housing
Units
(No housing
projects
funded in FY
2022/23)
0 Housing
Units
(No housing
projects
funded in FY
2022/23)

0.00%
Preserve
Existing and
Create New
Affordable
Housing
Affordable
Housing
HOME:
$1,625,000
Tenant-based
rental
assistance /
Rapid
Rehousing
Households
Assisted
100 Households
(Various Service
Providers: 100
households)
146
Households
(Families
Forward TBRA:
51 households;
Interval House
TBRA: 21
households;
Mercy House
TBRA: 51
households;
Mobile Home
TBRA
Program: 23
households)
146.00% 67
Households
60 Housing
Units
(Families
Forward
TBRA: 15
households;
Mercy House
TBRA: 22
households;
Mobile Home
TBRA
Program: 30
households;
Housing
Services for
TBRA: 60
housing
units)
56 Households
56 Housing
Units
(Families
Forward
TBRA: 18
households;
Mercy House
TBRA: 15
households;
Mobile Home
TBRA
Program: 23
households;
Housing
Services for
TBRA: 56
housing
units)

83.58%
2022/23 CAPER 6
OMB Control No: 2506-0117 (exp. 09/30/2021)
Sustain and
Strengthen
Neighborhoods
Affordable
Housing
CDBG:
$1,315,000
Homeowner
Housing
Rehabilitated
Household
Housing Unit
100 Housing
Units
(Owner
Occupied
Rehab Grant
Program: 40
housing
units; Owner
Occupied
Rehab Loan
Program: 10
housing
units;
Housing
Rehab
Admin.: 50
housing
units)
41 Housing
Units
(Owner
Occupied
Rehab Grant
Program: 18
housing
units; Owner
Occupied
Rehab Loan
Program: 1
housing unit;
Housing
Rehab
Admin.: 12
housing
units; Owner
Occupied
Rehab Grant
and Loan
Program: 10
housing
units)
8 Housing
Units
(Owner
Occupied
Rehab Grant
and Loan
Program: 8
housing
units)
10 Housing
Units
(Owner
Occupied
Rehab Grant
and Loan
Program: 10
housing units)
125.00%
Sustain and
Strengthen
Neighborhoods
Affordable
Housing
CDBG:
$1,000,000
Housing Code
Enforcement/Fo
reclosed
Property Care
Household
Housing Unit
3,000
Housing
Units
(Special Code
Enforcement:
3,000
housing
units)
3,517
Housing
Units
(Special Code
Enforcement:
3,517
housing
units)
117.24% 600 Housing
Units
(Special Code
Enforcement:
600 housing
units)
1,304 Housing
Units
(Special Code
Enforcement:
1,304 housing
units)
217.34%

2022/23 CAPER 7
OMB Control No: 2506-0117 (exp. 09/30/2021)
Support Efforts
to Address
Homelessness
Homeless CDBG:
$1,216,193

Public service
activities other
than
Low/Moderate
Income
Housing
Benefit
Persons
Assisted
2,705 Persons
(Homeless
Outreach: 2,000
persons;
StandUp for Kids
Street Outreach:
560 persons;
Robyne’s Nest
Housing for
Homeless: 45
persons;
Navigation
Center: 100
persons)
1,513 Persons
(Homeless
Outreach: 827
persons;
StandUp for
Kids Street
Outreach: 64
persons;
Robyne’s Nest
Housing for
Homeless: 7
persons;
Navigation
Center: 187
persons; CV-
Navigation
Center: 428
persons)

55.93% 31
Persons
(StandUp for
Kids Street
Outreach: 21
persons;
Navigation
Center: 10
persons)
458
Persons
(StandUp for
Kids Street
Outreach: 18
persons;
Navigation
Center: 10
persons; CV-
Navigation
Center: 428
persons)
1470.97%
Support
Agencies that
Assist Special
Needs
Populations
Non-Homeless
Special Needs
CDBG:
$262,208
Public service
activities other
than
Low/Moderate
Income
Housing
Benefit
Persons
Assisted
1,775
Persons
(Senior Services
Care
Management:
825 persons;
Oakview Family
Literacy
Program: 950
persons)
1,448
Persons
(Senior
Services Care
Management:
1,224 persons;
Oakview
Family Literacy
Program: 264
persons)

83.83% 140
Persons
(Senior
Services Care
Management:
140 persons)
370
Persons
(Senior
Services Care
Management:
370 persons)
264.29%
Increase Access
to Community
Services to
Low- and
Moderate-
Income Persons
Non-Homeless
Special Needs
CDBG:
$280,000
Public service
activities other
than
Low/Moderate
Income
Housing
Benefit
Persons
Assisted
2,000 Persons
(Children’s
Bureau: 2,000
persons)
500 Persons
(Children’s
Bureau: 500
persons)

25.00% 200 Persons
(Children’s
Bureau: 200
persons)
253 Persons
(Children’s
Bureau: 253
persons)
126.50%

2022/23 CAPER 8
OMB Control No: 2506-0117 (exp. 09/30/2021)
Preserve
Existing &
Create New
Community &
Public Facilities
Homeless
Non-Housing
Community
Development
CDBG:
$1,461,662
Public Facility
or
Infrastructure
Activities
other than
Low/Moderate
Income
Housing
Benefit
Persons
Assisted
5,000 Persons
(Various Public
Improvement
Projects)
0 Persons
(No public
facility
projects
funded in FY
2020/21,
2021/22, or
2022/23)
0% 0 Persons
(No public
facility
projects
funded in FY
2022/23)
0 Persons
(No public
facility
projects
funded in FY
2022/23)
0%
Provide Needed
Infrastructure
Improvements
Non-Housing
Community
Development
CDBG:
$1,569,394
Public Facility
or
Infrastructure
Activities
other than
Low/Moderate
Income
Housing
Benefit
Persons
Assisted
2,000 Persons
(Various
Infrastructure
Improvement
Projects)
4,057 Persons
(ADA Curb
Cuts in
Maintenance
Zone 3: 1,939
persons; ADA
Curb Cuts in
Maintenance
Zone 5: 2,118
persons)
202.85% 0
Persons
(No projects
funded in FY
2022/23)
0 Persons
(No projects
funded in FY
2022/23)
0%
Planning for
Housing and
Community
Development
Administration CDBG:
$1,437,224

HOME:
$432,790
Not
applicable.

Not
applicable.

Not
applicable.

Not
applicable.

Not
applicable.

Not
applicable.

Not
applicable.

Not
applicable.

Table 1 - Accomplishments – Program Year & Strategic Plan to Date

2022/23 CAPER 9
OMB Control No: 2506-0117 (exp. 09/30/2021)
Assess how the jurisdiction’s use of funds, particularly CDBG, addresses the priorities and specific objectives identified in the plan, giving special attention to the highest priority activities identified.

Consistent with the City’s Priority Needs outlined in the Consolidated Plan, the City allocate d majority of its CDBG funding to non -housing community development activities ( code enforcement and public services), preceded by the community’s housing needs and program administration funded by both CDBG and HOME. The City’s Priority Needs are a product of the Needs Assessment, Housing Market Analysis, public input, and community needs survey – all conducted during the development of the Consolidated Plan . The Consolidated Plan’s five-year priorities for assistance with CDBG and HOME funds also takes into consideration several factors such as: 1) those households most in need of housing and community development assistance, as determined through the Consolidated Plan needs assessment, consultation, and public participation process; 2) which activities will best meet the needs of those identified households; and 3) the extent of other non -federal resources that can be utilized to leverage/match CDBG and HOME funds to address these needs.

Overall, the approved projects and programs in the FY 2022/23 Annual Action Plan assisted as many participants as possible with limited resources available. In the area of affordable housing, the City funded homeowner rehabilitation and tenant based rental assistance. In FY 2022/23, the City’s goal was to fund and complete a total of eight rehabilitation projects over the course of the year and the City exceeded this goal by completing ten. The City also funded three tenant based rental assistance programs including one for mobile home occupants that need assistance with space rents. Collectively, the City had a goal of assisting 67 households, however, only 84% of the goal was met. The programs have continued into FY 2023/24 , in which it is anticipated that approximately 40 additional households will be served usin g FY 2022/23 HOME funds for tenant based rental assistance.

The City did not have any new goals for the development of affordable housing in FY 2022/23.

During FY 2020/21 , the City awarded $2.8 million to the Huntington Beach Senior Housing Project that is currently underway. The City, in partnership with Jamboree Housing Corporation, will develop the site at 18431 Beach Boulevard with 42 one -bedroom/one-bath units and one two-bedroom/one-bath managers’ unit, ground-level and subterranean parking, conference/office rooms and lounge areas for residents, and outdoor amenities such as a courtyard and a dog park. When complete, the project will offer nine units with HOME - restricted rents, along with 21 units restricted to Mental Health Services Act (MHSA) el igible individuals experiencing homelessness, and 12 to non -MHSA senior households experiencing homelessness.
2022/23 CAPER 10
OMB Control No: 2506-0117 (exp. 09/30/2021)
Public service allocations amounted to the maximum allowable under CDBG regulations (15 percent of the annual allocation). The City allocated $85,000 to the Children’s Bureau after school program; $14,652 to StandUp for Kids Street Outreach; $35,519 to Senior Services Care Management; and $41,708 to the Navigation Center Operations Program.

In the Support Agencies that Assist Special Needs Populations goal, the City proposed to assist 140 persons, but exceeded that goal by 264 percent (370 persons). Success in this area can be attributed to the Senior Services Care Management Program that continues to provide meals and other services to many of Huntington Beach’s elderly community . In its goal to Support Efforts to Address Homelessness, the City assisted 28 of the 33 persons proposed. This was through the Navigation Center Operations an d the StandUp for Kids Street Outreach Programs, but this goal did not account for the ongoing CDBG-CV funding the City is giving to the Navigation Center for operational support.

With this investment in homeless services, an
additional 428 homeless persons were assisted last fiscal year. Finally, under the goal, Increase Access to Community Services to Low- and Moderate-Income Persons, the Children’s Bureau exceeded their goal of 200 by assisting 253 children with free after school childcare in the Oak View neighborhood.

Lastly, the City also exceeded its code enforcement goal of inspecting 600 housing units for local health and safety compliance by over 200 percent.

As a reminder, results will vary from year to year depending on when they are funded and when they are completed. Generally, affordable housing, public facility, and public infrastructure projects span multiple years. The accomplishments for projects and programs that have been funded in FY 2022/23 or sooner and are currently underway will be included in the CAPER once the national objective has been met at project completion.

2022/23 CAPER 11
OMB Control No: 2506-0117 (exp. 09/30/2021)
CR -10 - R a c ia l a nd E t h ni c C o mp o si t i on of Fa m i lie s As si st ed

Describe the families assisted (including the racial and ethnic status of families assisted).

CDBG HOME TOTAL
White 1,001 45 1,046
Black or African American 32 5 37
Asian 43 4 47
American Indian or American Native 25 0 25
Native Hawaiian or Other Pacific Islander 7 0 7
Other Multi Racial 37 2 39
TOTAL 1,145 56 1,201
Hispanic 388 27 415
Not Hispanic 757 29 786
Table 2 – Table of assistance to racial and ethnic populations by source of funds

Narrative

For program year 2022/23, the majority of the CDBG allocation was invested in community development and housing activities, such as public services, code enforcement, administration, and affordable housing. HOME funds were invested in tenant -based rental assistance for homeless p ersons, victims of domestic violence, veterans, and owners of mobile homes. Majority of beneficiaries of the TBRA programs were White at 80% and 48% were of Hispanic ethnicity . Those identifying as Black or African American made up 9% of HOME program recip ients, and Asians made up 7%. Similarly, CDBG -funded activities benefitted 87% persons who identified as White, nearly 4% were Asian, and nearly 34 % of persons identified as having a Hispanic ethnicity regardless of race.

2022/23 CAPER 12
OMB Control No: 2506-0117 (exp. 09/30/2021)
CR -1 5 - R es o urc es a nd I nv es t ment s

Identify the resources made available

Source of Funds Source
Resources Made
Available
Amount Expended
During Program Year
CDBG public - federal $1,381,249 $1,067,133
HOME public - federal $1,485,331 $3,084,150
CDBG-CV Public - federal $0 $1,628,957
HOME-ARP Public-Federal $2,240,675 $0
Table 3 - Resources Made Available

Narrative

During FY 2022/23, the City had over $5,107,255 million in new Federal CDBG, HOME, and American Rescue Act HOME (HOME-ARP) Funds to address the goals and objectives of the FY 2022/23 Annual Action Plan. Specifically, the CDBG entitlement amount for FY 2022/23 was $1,179,193. Prior year unspent funds were $ 173,198 (includes both entitlement and program income), new program income receipts totaled $ 28,858, resulting in a total of $ 1,381,249 in CDBG. HOME funding for FY 2022/23 was $676,539 in entitlement funds, $147,185 in receipted program income, and $661,607 in uncommitted prior year funds. No new CARES Act funding was made available in FY 2022/23; all funds awarded to the City to help the prevent, prepare, and respond to the Novel Coronavirus , were awarded and committed in 2020/21. Lastly, the City received its HOME-ARP allocation of $2,240,675 in FY 2022/23. HOME-ARP funds are used prevent homelessness and reduce housing instability.

Expenditures during the 2022/23 program year totaled $5,780,240 from federal resources and program income which addressed the needs of extremely, low, and moderate -income persons. CDBG expenditures of $1,067,133 included projects and programs approved in FY 2022/23 and earlier which included public services , code enforcement, homeowner rehabilitation, housing services, fair housing activities, and program administration .

Additionally, a total of $3,084,150 in HOME expenditures was disbursed. The majority of these funds were spent on prior year project commitments, such as the Huntington Beach Senior Housing Project ($2,830,598), HOME Administration ($73,887), and prior year tenant based rental assistance ($92,558). Only $87,106 of all HOME disbursements were for 2022/23 activities. The City also disbursed $1,628,957 in CDBG-CV funds during the program year, which were all related to the Navigation Center. No funds were expended from HOME-ARP funding.

2022/23 CAPER 13
OMB Control No: 2506-0117 (exp. 09/30/2021)
Identify the geographic distribution and location of investments

Target Area
Planned
Percentage of
Allocation
Actual Percentage
of Allocation Narrative Description
Citywide 92 93 Citywide
Low- and Moderate-Income
Areas Low- and Moderate-
Income Areas
Special Code Enforcement
Target Area 8 7 Local Target Area
Table 4 – Identify the geographic distribution and location of investments

Narrative

Most funds expended in FY 2022/23 were for projects and pro grams available on a citywide basis, including all public services, homeowner rehabilitation, housing services, and administrative activities . Projects that fall into the Low- and Moderate -Income Areas geographical area typicall y include p ublic facility or public infrastructure activities, but in FY 2022/23, no such projects were implemented.

Approximately 7 percent of expended funds were on code enforcement which only took place in a local target area called the Special Code Enforcement Area. The target area was developed pursuant to H UD requirements. T he City conducted a visual (windshield) survey of CDBG eligible areas for properties, businesses, parkways, alleys, and structures that met the City’s definition of “deteriorated or deteriorating”. Based on the survey, the City determined that low- and moderate-income areas within the area bound by Bolsa Chica Street to the west, Bolsa Avenue to the north, Brookhurst Street to the east, and Atlanta Avenue to the south contained the most properties with deterioration. This target area was later named the “Special Code Enforcement Target Area.” Inclusive of the following census tracts, the Special Code Enforcement Target Area is comprised of 46,650 persons, 32,395, or 69.44%, of which are of low-moderate income.

Note, the ‘Actual Percentage of Allocation’ figures are based on CDBG and HOME resources only; not HOME-ARP funds.

2022/23 CAPER 14
OMB Control No: 2506-0117 (exp. 09/30/2021)

SPECIAL CODE ENFORCEMENT TARGET AREA
TOTAL POPULATION V. LOW AND MODERATE-INCOME POPULATION
2011-2015 HUD LOW MOD INCOME SUMMARY DATA
Effective April 1, 2019

Census Tract Total Persons Total LMI Persons Percentage 0992121 1,255 810 64.54%
0992123 1,495 1,030 68.90%
0992124 1,180 655 55.51%
0992144 765 425 55.56%
0992352 715 515 72.03%
0992353 2,190 1,245 56.85%
0992422 1,930 1,185 61.40%
0992442 1,645 1,145 69.60%
0992463 815 490 60.12%
0993051 1,710 1,450 84.80%
0993053 2,020 1,330 65.84%
0993055 1,080 935 86.57%
0993056 1,025 560 54.63%
0993061 1,485 760 51.18%
0993093 1,775 915 51.55%
0993103 1,170 690 58.97%
0994021 2,755 2,300 83.48%
0994022 2,720 2,235 82.17%
0994023 575 330 57.39%
0994024 3,375 3,150 93.33%
0994053 1,755 1,070 60.97%
0994103 2,605 1,935 74.28%
0994112 2,180 1,890 86.70%
0994113 1,300 855 65.77%
0994114 880 655 74.43%
0994121 1,810 980 54.14%
0994134 1,360 1,240 91.18%
0996031 3,080 1,615 52.44%
TOTAL 46,650 32,395 69.44%

2022/23 CAPER 15
OMB Control No: 2506-0117 (exp. 09/30/2021)
Leveraging
Explain how federal funds leveraged additional resources (private, state, and local funds), including a description of how matching requirements were satisfied, as well as how any publicly owned land or property located within the jurisdiction that were us ed to address the needs identified in the plan.

The City is required to provide a 25 percent match for HOME funds drawn down on all HOME activities, sans those funded with program income or administrative funds. The City leverages resources among the formula grant programs. Historically, the City has met the HOME match by layering former redevelopment tax increment with HOME -assisted affordable housing acquisition and rehabilitation. As a result of past leveraging contributions toward affordable housing activities, the City has a surplus of match credits. The match carry -over surplus from prior years was $3,753,787.

The City’s HOME match liability for FY 2022/23 was $ 525,784.21; however, as part of the flexibilities/waivers granted by the CARES Act and Meg a Waiver, Huntington Beach was not required to provide a match liability for the period of October 1, 2020, through September 30, 2022 anyway. The excess match of $3,753,787 will, therefore, be carried over to the next fiscal year.

Fiscal Year Summary – HOME Match

1. Excess match from prior Federal fiscal year $3,753,787

2. Match contributed during current Federal fiscal year $0 3 .Total match available for current Federal fiscal year (Line 1 plus Line 2) $3,753,787

4. Match liability for current Federal fiscal year $0

5. Excess match carried over to next Federal fiscal year (Line 3 minus Line 4) $3,753,787
Table 5 – Fiscal Year Summary - HOME Match Report

2022/23 CAPER 16
OMB Control No: 2506-0117 (exp. 09/30/2021)
Match Contribution for the Federal Fiscal Year
Project No. or
Other ID
Date of
Contribution
Cash
(non-Federal
sources)
Foregone
Taxes, Fees,
Charges
Appraised
Land/Real
Property
Required
Infrastructure
Site
Preparation,
Construction
Materials,
Donated
labor
Bond
Financing Total Match
$0
Table 6 – Match Contribution for the Federal Fiscal Year

HOME MBE/WBE report
Program Income – Enter the program amounts for the reporting period Balance on hand at
beginning of reporting
period
$
Amount received during
reporting period
$
Total amount expended
during reporting period
$
Amount expended for
TBRA
$
Balance on hand at end
of reporting period
$
$1,091,908.08 $147,185.28 $981,573.63 $111,247,.67 $257,519.73 Table 7 – Program Income

2022/23 CAPER 17
OMB Control No: 2506-0117 (exp. 09/30/2021)
Minority Business Enterprises and Women Business Enterprises – Indicate the number and dollar value of contracts for HOME projects completed during the reporting period

Total
Minority Business Enterprises
White Non-
Hispanic
Alaskan
Native or
American
Indian
Asian or
Pacific
Islander
Black Non-
Hispanic Hispanic
Contracts
Number 2 2
Dollar
Amount
$40,852 $40,852
Sub-Contracts
Number 0
Dollar
Amount
0 Total
Women
Business
Enterprises Male
Contracts
Number 2 2
Dollar
Amount
$40,852 $40,852
Sub-Contracts
Number 0
Dollar
Amount
0 Table 8 - Minority Business and Women Business Enterprises

Minority Owners of Rental Property – Indicate the number of HOME assisted rental property owners and the total amount of HOME funds in these rental properties assisted

Total
Minority Property Owners
White Non-
Hispanic
Alaskan
Native or
American
Indian
Asian or
Pacific
Islander
Black Non-
Hispanic Hispanic
Number 0 0 0 0 0 0
Dollar
Amount 0 0 0 0 0 0
Table 9 – Minority Owners of Rental Property

2022/23 CAPER 18
OMB Control No: 2506-0117 (exp. 09/30/2021)
Relocation and Real Property Acquisition – Indicate the number of persons displaced, the cost of relocation payments, the number of parcels acquired, and the cost of acquisition Number Cost
Parcels Acquired 0 0
Businesses Displaced 0 0
Nonprofit Organizations
Displaced 0 0
Households Temporarily
Relocated, not Displaced 0 0
Households
Displaced Total
Minority Property Enterprises
White Non-
Hispanic
Alaskan
Native or
American
Indian
Asian or
Pacific
Islander
Black Non-
Hispanic Hispanic
Number 0 0 0 0 0 0
Cost 0 0 0 0 0 0
Table 10 – Relocation and Real Property Acquisition

2022/23 CAPER 19
OMB Control No: 2506-0117 (exp. 09/30/2021)
CR -20 - A f f or da bl e H o us in g

Evaluation of the jurisdiction's progress in providing affordable housing, including the number and types of families served, the number of extremely low -income, low -income, moderate - income, and middle-income persons served.

One-Year Goal Actual
Number of Homeless households to be
provided affordable housing units 37 33
Number of Non-Homeless households to
be provided affordable housing units 0 0
Number of Special-Needs households to
be provided affordable housing units 30 23
Total 67 56
Table 11 – Number of Households

One-Year Goal Actual
Number of households supported through
Rental Assistance 67 56
Number of households supported through
The Production of New Units 0 0
Number of households supported through
Rehab of Existing Units 0 0
Number of households supported through
Acquisition of Existing Units 0 0
Total 67 56
Table 12 – Number of Households Supported

Discuss the difference between goals and outcomes and problems encountered in meeting these goals.

The City allocated almost $1 million in HOME funds for the operation of three tenant based rental assistance programs. The first program was operated by Mercy House who offered the program to homeless and those at risk of homelessness. Mercy House had a goal to assist 22 households, but enrolled 15 households into the program. The program will continue in FY 2023/24.

2022/23 CAPER 20
OMB Control No: 2506-0117 (exp. 09/30/2021)
The second TBRA program was administered by Families First. Households must have a child to be eligible for assistance. During FY 2022/23, 18 households enrolled in the program, which was three more than the proposed goal of three. The program will continue in FY 2023/24.

Finally, at the end of the fiscal year, the City added a third TBRA program to the city’s housing program. The Mobile Home Tenant-Based Rental Assistance Program was allocated $391,654 in HOME funds and is offered to owners of mobile homes for help with ri sing space rents. In one quarter (April – June 2023), the City enrolled 23 households for 24 months of space rent assistance. This was 7 households shy of the goal of 30.

While not included in the goals for 2022/23, the City is still underway on a 43-unit senior affordable housing project at 18431 Beach Boulevard called the Huntington Beach Senior Housing Apartments. The project was awarded $2.8 million in HOME funds in FY 2020/21. The newly constructed project targeting households with incomes between 30-50 percent of Area Median Income (AMI) will be partially subsidized with approximately $10 million from Orange County Housing Authority Project Based Vouchers (PBV). Of the 33 PBV units, 21 will be restricted to Mental Health Services Act (MHSA) eligible individuals experiencing homelessness earning at or below 30 percent AMI. Twelve PBV units will be used for non - MHSA senior households experiencing homelessness earning at or below 30 percent AMI. The remaining nine units will be HOME -restricted to households with income s at or below 50 percent AMI. The completed Project will consist of a 4-story building constructed above a one level subterranean parking garage. The Project unit mix consists of 42 one-bedroom units and one additional two-bedroom unit designated for on-site management.

Discuss how these outcomes will impact future annual action plans.

The Huntington Beach 2020/21 -2024/25 Consolidated Plan forecasts that 20 h ousing units could be developed by way of acquisition, rehabilitation, or new construction by the expiration of the Plan. The Huntington Beach Senior Housing Project, when complete, will satisfy nearly half of the 5 -year goal. With this in mind, the City w ill continue to pursue additional affordable housing development opportunities to create eleven additional units by the end of 2024/25.

Include the number of extremely low -income, low -income, and moderate -income persons served by each activity where info rmation on income by family size is required to determine the eligibility of the activity.

2022/23 CAPER 21
OMB Control No: 2506-0117 (exp. 09/30/2021)
Number of Households Served CDBG Actual HOME Actual TOTAL Extremely Low-income 37 34 71
Low-income 24 21 45
Moderate-income 5 1 6
Total 66 56 122
Table 13 – Number of Households Served

Narrative Information

During the program year, Huntington Beach had the following housing accomplishments where information on income by family size was required to determine eligibility of the activities:
• 10 single-family residential rehabilitation grant and loan projects were completed. • The City provided 56 households with housing services in connection with the HOME- funded tenant based rental assistance program.
• The City provided 56 households with tenant based rental assistance during the year.

2022/23 CAPER 22
OMB Control No: 2506-0117 (exp. 09/30/2021)
CR -2 5 - H om el ess a nd O th er Sp ec ia l N eed s

Evaluate the jurisdiction’s progress in meeting its specific objectives for reducing and ending homelessness through:

Reaching out to homeless persons (especially unsheltered persons) and assessing their individual needs

Throughout the country and the Los Angeles and Orange County region, homelessness has become an increasing challenge. Factors contributing to the rise in homelessness include a lack of housing affordable to low - and moderate-income persons, increases in people living below poverty levels, reductions in subsidies to the poor, drug/alcohol abuse, de - institutionalization of the mentally ill , and an increase of persons making homelessness a lifestyle choice. At the county level, Orange County undertakes an effort to enume rate all of the sheltered and unsheltered homeless people within the County in a given twenty‐four-hour period. This effort, known as the Homeless Point‐in‐Time (PIT) Count, is congressionally mandated for all communities that receive HUD funding for homel ess programs and takes place once every two years. The most recent complete PIT in Orange County was held on a single night in February 2022 with the assistance of many homeless service providers. The PIT Count enumerated 5,718 homeless individuals in Oran ge County, reflecting a decrease of almost 17% from the 2019 tally of 6,860 homeless people. In Huntington Beach specifically, there were 330 total persons counted, with 188 unsheltered, and 142 that were sheltered.

In an effort to reach out to Huntington Beach’s homeless community, the Police Department heads a Homeless Task Force comprised of case managers and homeless liaison officers that make proactive contacts, even when no crime was committed and no call for services was generated. This endeavor wa s meant to foster a positive dialogue with the homeless population and allow for conversations that would hopefully lead to the acceptance of resources, benefitting the homeless individual and aid in the goal of reducing the homeless population in Huntington Beach. In FY 2022/23, the Task Force offered the following services:
case management, shelter, reunification with family members, mental and physical health services, addiction services, social services, and government benefits. The Homeless Task Force has historically been funded with CDBG and was allocated $ 50,000 in CDBG public service funds in FY 2021/22; however, funding was shifted to the General Fund during the year and the program was canceled from the City’s Annual Action Plan.

2022/23 CAPER 23
OMB Control No: 2506-0117 (exp. 09/30/2021)
The City’s Community Development Department also made diligent efforts to reach out to and assess the needs of homeless people. In particular, CDBG funding was awarded to the Navigation Center for operational support and to StandUp for Kids Street Outreach Program.

The Navigation Center opened its doors in December 2020 and is located at 17642 Beach Boulevard. In addition to providing 174 beds for overnight shelter, the Center provides direct access to vital services that will help individuals experienci ng homelessness on the path towards housing security. All persons seeking assistance at the Navigation Center are first assessed by the City’s Homeless Task Force. Ten homeless persons were provided support during the fiscal year with the investment of CDB G public service funds. Another 428 were also supported through the City’s CDBG-Coronavirus (CDBG-CV) funding that was awarded in prior years.

Similarly, StandUp for Kids aims to end the cycle of homelessness, specifically for Huntington Beach’s unhoused youth population. The subrecipient uses volunteer staff to scout streets searching for youth who appear to be unsheltered or unstably housed. Youth assisted by StandUp for Kids fall between the ages of 12 and 2 4, are homeless, at-risk of homelessness, aging-out of foster care, or are runaways. StandUp for Kids works to equip them with the tools they need to transition from life on the street to a life of stability and opportunity. During the program year, Stand Up for Kids assisted 18 youth with their homeless services.

Finally, using non -federal funding, the City developed a new program, Be Well Huntington Beach, a Mobile Crisis Response Team offering 24/7 community -based assessment and stabilization of individuals experiencing psychological crisis, challenges related to substance abuse, and other non -medical emergency challenges. Each team consists of two crisis counselors who deescalate a situation a nd provide a compassionate response to those experiencing a mental health crisis in their homes, on the streets, or at a public location. Since inception of the program in August 2021, Be Well HB has handled 6,007 calls for service including:
• 3,993 calls related to mental health checks
• 1,568 proactive engagements
• 312 substance use cases
• 133 public disturbances

The City is carefully gathering data to measure program outcomes and impacts on mental health issues in Huntington Beach.

Addressing the emergency shelter and transitional housing needs of homeless persons

2022/23 CAPER 24
OMB Control No: 2506-0117 (exp. 09/30/2021)

In FY 2020/21, the City partnered with Mercy House to start operations on the Navigation Center, an emergency homeless shelter, which received funding from CDBG, CDBG-CV (CARES Act funding for activities that prevent, prepare, and respond to COVID -19), and local SB2 funding. The Navigation Center opened its doors in December 202 0. The Center has the capacity to shelter up to 174 adults and couples during normal conditions. In FY 2022/23, the City awarded $41,708 in CDBG funding to the Navigation Center to be used for operations and as a result, 10 persons received emergency shelter there. An additional 428 persons also received emergency shelter last year under the nearly $3 million contract from FY 2020/21.

Also, in FY 2021/22, the City partnered with the State of California Homekey Program, County of Orange, National CORE, and American Family Housing to negotiate the acquisition and rehabilitation of the former Quality Inn & Suites motel located at 17251 Bea ch Boulevard, Huntington Beach. The project , HB Oasis , provide s interim housing for up to 62 adult individuals and households experiencing homelessness in Orange County’s Central Service Planning Area. In addition to transitional housing, HB Oasis will pr ovide property management, residential and supportive services that meet the complex needs of people experiencing homelessness. HB Oasis will provide trauma informed, and evidence -based interim operations by identifying tools and re -integrating participant s back into the community through case management and linkages to permanent housing. The City’s contribution of $1,804,704 in HOME -ARP will provide supportive services in Year 5 of the project. The City anticipates converting HB Oasis from interim housing to permanent housing (supported by project based vouchers) during FY 2023/24.

Helping low-income individuals and families avoid becoming homeless, especially extremely low-income individuals and families and those who are: likely to become homeless after being discharged from publicly funded institutions and systems of care (such as health care facilities, mental health facilities, foster care and other youth facilities, and corrections programs and institutions); and, receiving assistance from public o r private agencies that address housing, health, social services, employment, education, or youth needs

To help prevent homelessness and protect at-risk populations, Huntington Beach participated in the Orange County Continuum of Care System that provides assistance to persons at risk of becoming homeless.

Additionally, the City continued its dedication to assisting families in Huntington Beach with much needed rental assistance. In FY 202 2/23, the City awarded $ 296,642 to Mercy House , $302,755 to Families Forward, and $391,654 to the Mobile Home Tenant -Based Rental

2022/23 CAPER 25
OMB Control No: 2506-0117 (exp. 09/30/2021)
Assistance programs to income eligible households experiencing homelessness, at risk of homelessness, veterans, victims of domestic violence , and mobile homeowners . The three programs cumulatively assisted 56 households during the year.

The City does not receive Emergency Solutions Grants (ESG) or Housing Opportunities for Persons with AIDS (HOPWA) funding and therefore is not required to develop a discharge coordination policy. However, the City will continue to address a discharge coordination policy with the Orange County Housing Authority and the Continuum of Care Homeless Issues Task Force.

Helping homeless persons (especially chronically homeless individuals and families, families with children, veterans and their families, and unac companied youth) make the transition to permanent housing and independent living, including shortening the period of time that individuals and families experience homelessness, facilitating access for homeless individuals and families to affordable housing units, and preventing individuals and families who were recently homeless from becoming homeless again

In an ongoing effort to continue to address the needs of the homeless and those at risk of homelessness, the City focused on the development of sustain able and effective programming, including: 1) applying for short and long -term available funding; 2) partnering with experienced service providers capable of leveraging other funding; 3) creating or securing affordable housing; 4) performing homeless case management; and 5) engaging the homeless through a street outreach component in order to better connect them to available services.

For example, as mentioned above, the City in 2023 converted the former Quality Inn Hotel into transitional housing / non-congregate shelter with 6 2 units. The Huntington Beach Oasis provides wrap around supportive services to aid homeless persons in making the transition to permanent housing and independent living. Services will assist with mental and/or physical health issues, substance use problems, trauma or abuse, lack of employment, or contact with the criminal justice system. Supportive services that address these and many other issues are key in assisting any individual experiencing homelessness.

These services will continue to be offered at the Navigation Center, as well. With over $3 million in CDBG and CDBG-CV funding, and another $386,000 in HOME -ARP, the emergency homeless shelter will be able to provide wrap around services to help homeless individuals transition to more stable housing upon exiting the shelter.

2022/23 CAPER 26
OMB Control No: 2506-0117 (exp. 09/30/2021)
Finally, the City provided tenant-based rental assistance to qualified households in FY 2022/23.

The need for rental subsidies continues to be a priority for the City, and in November 2022, the City renewed contracts with both Mercy House and Families Forward to continue the operation of their tenant based rental assistance programs. In February, the City signed a new contract for the delivery of tenant-based rental assistance to owners of mobile homes. In FY 2022/23, 56 households received rental assistance.

2022/23 CAPER 27
OMB Control No: 2506-0117 (exp. 09/30/2021)
CR -30 - Pu bl ic Ho u si n g

Actions taken to address the needs of public housing

The City of Huntington Beach does not have any public housing developments. However, Huntington Beach is one of a number of cities that benefits from the services of the Orange County Housing Authority (OCHA), which currently manages Housing Choice Voucher s for residential units within Huntington Beach. A total of 627 Huntington Beach households receive Section 8 vouchers from the OCHA including 144 families, 102 disabled, and 381 elderly households.

Additionally, the OCHA administers 30 Continuum of Care, 17 Family Self-Sufficiency, 20 Family Unification, two Non-Elderly Disabled, 104 Portability, 81 Veterans Affairs Supportive Housing, and 30 Emergency Housing Vouchers.

The OCHA waiting list is currently closed.

Actions taken to encourage public housing residents to become more involved in management and participate in homeownership

Not applicable.

Actions taken to provide assistance to troubled PHAs

Not applicable.

2022/23 CAPER 28
OMB Control No: 2506-0117 (exp. 09/30/2021)
CR -3 5 - O t her A ct i o ns

Actions taken to remove or ameliorate the negative effects of public policies that serve as barriers to affordable housing such as land use controls, tax policies affecting land, zoning ordinances, building codes, fees and charges, growth limitations, and policies affectin g the return on residential investment.

Through the administration of the CDBG and HOME programs, every effort is made to remove barriers to affordable housing through agreements with for -profit and non-profit affordable housing dev elopers. These efforts also include working with neighborhood residents to ensure affordable housing projects are acceptable. Ongoing monitoring of both “for sale” and rental affordable units is conducted by department staff by assuring that the affordable housing covenants are recorded on title when the unit is sold. To address the decline in sources of housing funds, the City will continue to advocate for and pursue federal, state, local and private funding sources for affordable housing.

Also, City staff continued to work towards certification of its 2021-2029 Housing Element, one of the State-mandated elements of the City’s General Plan which must identify how the City will accommodate its share of the regional housing need for all economic segments of the community, commonly referred to as RHNA (Regional Housing Needs Allocation). For the 2021-2029 planning period, the City must provide zoning capacity for 13,368 dwelling units across all income levels. City staff has identified ways to accommodate t he RHNA including production of accessory dwelling units, conversion of hotels/motels to lower income housing, and implementation of Affordable Housing Overlays. The proposed Affordable Housing Overlays will allow for multi-family residential uses at densities ranging from 35 – 70 dwelling units per acre by right provided that at least 20 percent of the units are affordable to lower income households.

While still in process of development, the Draft Housing Element also addresses the City’s provisions for affordable housing, emergency shelters, transitional housing, and supportive housing. The following programs in the City's Draft 2021 -2029 Housing Element specifically address the variety of regulatory and financial tools used by the City to remove barrie rs and facilitate the provision of affordable housing:

Program 1B. Multi-family Acquisition and Rehabilitation Objective: The acquisition/rehabilitation program will continue to be a part of the City’s affordable housing program. The City intends to direct the majority of its housing funds towards new construction of affordable housing (refer to Goals 3 and 5). The City’s

2022/23 CAPER 29
OMB Control No: 2506-0117 (exp. 09/30/2021)
goal is to assist in the acquisition/rehabilitation of a minimum of 30 units across all income levels with a focus on housing available at the very low- and low-income levels over the planning period.

Program 1D. Preservation of Assisted Rental Housing
Objective: Continue to monitor at -risk rental units. Explore project owner interest to preserve affordability and opportunities for outside funding and preservation options.

If affordability cannot be extended, provide technical assistance and educat ion to affected tenants.

Program 1E. Housing Authority Rental Assistance
Objective: Seek to provide additional rental assistance for residents from the Orange County Housing Authority (OCHA), and coordinate with OCHA to identify additional apartment projects for participation in the Section 8 program. Continue to participate in meetings of the Cities Advisory to OCHA to maintain ongoing communication about the Section 8 program and other affordable housing activities.

Program 1F. Tenant-Based Rental Assistance
Objective: Continue the TBRA program with qualified service providers and seek to assist 200 households during the eight-year planning period.

Program 2A. Adequate Sites
Objective: The City will undertake the actions identified in the Program 2A narrative to implement the adequate sites program concurrently with the adoption of the Housing Element.

Additionally, the City will continually monitor candidate housing sites a nd overall development within the City to ensure the City maintains overall capacity through the Annual Progress Reporting process. If the City’s remaining inventory falls below its remaining housing needs, the City will take the appropriate actions to ide ntify additional sites to accommodate the shortfall.

Program 2B. Establish Affordable Housing Overlay Zone
Objective: The City will draft the development standards and regulations related to the Affordable Housing Overlay and adopt that zone concurrently with adoption of the Housing Element update.

Program 2 D. Actively Promote, Encourage, and Facilitate the Development of

2022/23 CAPER 30
OMB Control No: 2506-0117 (exp. 09/30/2021)
Accessory Dwelling Units
Objective: The City will support and accommodate the construction of at least 563 ADUs through the various ext ensive public outreach strategies described in the program narrative. The City will also approve permit -ready standard plans to permit new ADU construction to minimize design costs, expedite permit processing, and provide development certainty for property owners.

Program 2E. ADU Monitoring Program
Objective: The Housing Element describes the total ADU production assumptions over the eight -year period. In order to monitor affordability levels of ADUs developed within the planning period, the City of Huntington Beach will develop an ADU monitoring program consistent with the 2021-2029 ADU production goals. If ADUs are not being permitted as assumed in the Housing Element, the City will take proactive actions within 6 months of completion of the ADU review support the production of ADUs. These actions may include additional incentives for ADU development or identification of adequate sites to meet the City’s identified unaccommodated need.

Program 2F. Candidate Sites Identified in Previous Housing Elements Objective: The City will identify candidate housing sites within the sites inventory which may be subject to by right provisions if the criteria outlined in the Program 2F narrative are met and the development provides at least 20% of the proposed units affordable to lower income households.

Program 3A. Affordable Housing Program and Housing Trust Fund Objective: Continue to utilize the Affordable Housing Ordinance as a tool to integrate affordable housing within market rate developments, or alternatively, to generate fees in support of affordable housing in off-site locations.

Program 3B. Affordable Housing Development Assistance
Objective: The City can play an important role in facilitating the development of quality, affordable and mixed-income housing through the provision of regulatory incentives and direct financial assistance. The City will provide ongoing financial and technical assistance for the development of affordable and mixed -income housing as development projects are submitted and prospective developers present inquiries to the City throughout the planning period. Financial sources may include HOME, Housing Trust Fund, PLHA, former RDA housing set-aside funds, Tax Credits, and other outside sources.

2022/23 CAPER 31
OMB Control No: 2506-0117 (exp. 09/30/2021)
Program 4D. Small Lot Ordinance Amendment.

Objective: The City will review and amend the existing Small Lot Ordinance to accommodate contemporary housing and subdivision lot configurations, as well as more attainable housing products and feasible project financing.

Program 4E. Zoning Code Maintenance.

Objective: During the 6 th cycle planning period, the City will particularly focus zoning code maintenance amendments on residential sections of the code to ensure that standards are clear and objective. The City will assess residential processing procedures and other residential code provisions a nd propose amendments that will result in reduced processing times and costs.

Program 5B. Low Barrier Navigation Center
Objective: Low barrier navigation centers provide temporary living facilities for persons experiencing homelessness. To comply with Sta te law, the City will adopt policies, procedures, and regulations for processing this type of use to establish a non- discretionary local permit approval process that must be provided to accommodate supportive housing and lower barrier navigation centers per State law. In the interim, any submitted application for this use type will be processed in accordance with State law.

Program 5C. Farmworker Housing
Objective: The City of Huntington Beach will update Title 21 Chapter 210 of the Huntington Beach Zoning Code to comply with provisions for farmworker housing in compliance with the Employee Housing Act (Sections 17000 -17062.5 of the California Health and Safety Code).

Program 5D. Group Homes.

Objective: The City will review the permitting procedures , application requirements, and development standards applicable to Group Homes to ensure consistency with state and federal laws to create housing opportunities for persons with disabilities.

Program 7F. Proactively Seek and Leverage All Funding Options to Increase the Supply of Affordable Housing.

Objective: The City will proactively pursue relevant State and Federal funding sources to provide additional options for developers of lower -income housing that serve veterans, seniors, individuals, families, a nd other special populations at -risk of and currently experiencing homelessness in the City. The City will ensure that such housing

2022/23 CAPER 32
OMB Control No: 2506-0117 (exp. 09/30/2021)
options will include reasonable accommodations and supportive services for people with disabilities. Additionally, the City will continue to be a member of the Orange County Housing Finance Trust (OCHFT), a joint power authority composed of multiple Orange County cities. The OCHFT can provide additional funding options for affordable housing developers. The City will ensure tha t housing options will include reasonable accommodations and supportive services for people with disabilities.

Program 7G. Proactively Seek Funding for Hotel/Motel Conversions to Transitional and Supportive Housing.

Objective: Project Homekey continues a statewide effort to sustain and rapidly expand housing for the target population - persons experiencing homelessness or at -risk of homelessness. The Housing Element identifies three existing hotel/motel properties for conversion to transitional and suppor tive housing through Project Homekey funding. The City, in collaboration with the County of Orange and American Family Housing, has received approval for Project Homekey funding to implement the Hotel/Motel Conversion Overlay at one of the identified Home key sites and construction will begin in 2022. The City will identify development partners and coordinate with the County of Orange on joint applications for funding for the two other sites identified in the Hotel/Motel Conversion Overlay during the plann ing period.

Actions taken to address obstacles to meeting underserved needs.

The City of Huntington Beach has identified long -range strategies, activities, and funding sources to implement the goals in the areas of housing and community development services for the benefit of the residents.

• The City continued to seek other resources and funding sources to address the biggest obstacle to meeting the community's underserved needs, which is the lack of, and/or, inadequate funding.
• The City looked for innovative and creative ways to make its delivery systems more comprehensive and continued existing partnerships with both for -profit and not -for- profit organizations.
• The City used HOME and CDBG funds to concentrate on both affordable rental housing, tenant-based rental housing, and homeowner rehabilitation programs. • The City addressed certain housing needs with federal funds such as availability, condition, and fair housing practices to prevent homelessness. • The City also addressed community development needs with federal funds such as

2022/23 CAPER 33
OMB Control No: 2506-0117 (exp. 09/30/2021)
infrastructure, improving public facilities and code enforcement. • The City is working with surrounding jurisdictions on a regional approach to meeting the underserved needs.

Actions taken to reduce lead-based paint hazards.

As a means of better protecting children and families against lead poisoning, in 1999 HUD instituted revised lead-based paint regulations focused around the following five activities:

• Notification
• Lead Hazard Evaluation
• Lead Hazard Reduction
• Ongoing Maintenance
• Response to Children with Environmental Intervention Blood Lead Level

The City has implemented HUD Lead Based Paint Regulations (Title X), which requires federally funded rehabilitation projects to address lead hazards. Lead-based paint abatement is part of the City's Housing Rehabilitation Program and the Acquisition/Rehab ilitation of Affordable Rental Housing Program. Units within rental housing projects selected for rehabilitation are tested if not statutorily exempt. Elimination or encapsulation remedies are implemented if lead is detected and is paid for by either the developer of the project, or with CDBG or HOME funds, as appropriate.

To reduce lead -based paint hazards in existing housing, all housing rehabilitation projects supported with federal funds are tested for lead and asbestos. When a lead -based paint hazard is present, the City or the City’s sub -grantee contracts with a lead consultant for abatement or implementation of interim controls, based on the findings of the report.

Tenants are notified of the results of the test and the clearance report. In Section 8 programs, staff annually inspects units on the existing program and new units as they become available.

In all cases, defective paint surfaces must be repaired. In situations where a unit is occupied by a household with children under the age of six, corrective actions will include testing and abatement if necessary, or abatement without testing.

Actions taken to reduce the number of poverty-level families.

The implementation of CDBG activities meeting the goals established in th e 2020 -2024 Consolidated Plan-Strategic Plan and this Annual Action Plan helped to reduce the number of poverty-level families by:
• Supporting activities that expand the supply of housing that is affordable to low -

2022/23 CAPER 34
OMB Control No: 2506-0117 (exp. 09/30/2021)
and moderate-income households.
• Supporting a continuum of housing and public service programs to prevent and eliminate homelessness.
• Supporting housing preservation programs that ensure low -income households have a safe, decent and appropriate place to live; and
• Supporting public services through various nonprofits funded by CDBG that serve the community’s youth, seniors, families and those with special needs.

In addition to these efforts, the City’s anti -poverty strategy seeks to enhance the employability of residents through the promotion and support of programs which provide employment training and supportive services, while expanding employment opportunities through the implementation of the Downtown Business Improvement District and the Tourism Business Improvement District, and its Economic Development Strategy. The purpose of the Strategy is to identify the highest priority economic development objectives in Huntington Beach, and to set goals, policies and recommended actions that will set the framework for economic decisions. The Strategy contains a diverse range of core objectives and goals to "Enhance Economic Development" and "Improve Financial Stability." Overall, the Economic Development Strategy provides a road map to increase the overall community wealth and prosperity of the residents and businesses in the City.

Next, the City of Huntington Beach supported a variety of economic development activities that helped to create and retain jobs for low - and moderate-income households. Activities supported include access to Surf City Locator, a free property listing and demographics website that is available 24/7 and is fed directly through the largest and mos t up -to-date commercial and industrial listing service in Southern California. Each listing is connected to a world of helpful community demographic data, retail potential, heat maps, zoning information, labor market & talent pool details, and more.

The City fully complied with Section 3 of the Housing and Community Development Act, which helps foster local economic development and individual self -sufficiency. This set of regulations require that to the greatest extent feasible, the City will provide job training, employment, and contracting opportunities for low or very low -income residents in connection with housing and public construction projects.

Actions taken to develop institutional structure.

As the recipient of federal CDBG, HOME, CDBG-CV, and HOME-ARP funds, the City delegated the Community Development Department to be the lead department responsible for the

2022/23 CAPER 35
OMB Control No: 2506-0117 (exp. 09/30/2021)
overall administration of HUD grants. In that regard, the Department prepared the Consolidated Plan and the Regional Analysis of Impediments to Fair Housing Choice, drafted the Annual Action Plan , CAPER, and HOME-ARP Allocation Plan, as well as all other reports required by federal rules and regulations.

The City has worked with non -profit agencies, for-profit developers, advocacy groups, clubs, organizations, neighborhood leadership groups, City departments, the private sector, and other government entities to implement the City’s five -year strategy to address the priority needs outlined in the Consolidated Plan for Fiscal Years 2020/21 – 2024/25. Engaging the community and stakeholders in the delivery of services and programs for the benefit of low to moderate residents has been vital in overcoming gaps in service delivery. The City als o utilized public notices, Community Workshops and Meetings (as appropriate), the City’s website, and other forms of media to deliver information on carrying out the Consolidated Plan strategies.

Actions taken to enhance coordination between public and pr ivate housing and social service agencies.

In an ongoing effort to bridge the gap of various programs and activities, the City developed partnerships and collaborations with local service providers and City departments that have been instrumental in meeting the needs and demands of the homeless, low-income individuals and families, and other special needs. The array of partners includes but is not limited to the Huntington Beach Police Department, Library Services, Community Services, and Public Works Departments, American Family Housing, National CORE, Jamboree Housing Corporation, Habitat for Humanity, Interval House, Mercy House, Families Forward, Collete’ s Children’s Home, AMCAL, Community SeniorServ, Project Self Sufficiency, the Fair Housing Foundation, the Orange County Housing Authority, and 2 -1-1 Orange County and OC Community Services (Orange County Continuum of Care).

Identify actions taken to overcome the effects of any impediments identified in the jurisdictions analysis of impediments to fair housing choice.

In May 2020, Huntington Beach, along with 20 other Orange County cities, the County of Orange, and the Lawyers Committee for Civil Rights Under Law, developed the Orange County Analysis of Impediments to Fair Housing Choice. The AI outlined fair housing priorities and goals to overcome fair housing issues. In addition, the AI laid out meaningful strategies to be implemented to achieve progress towards the County’s obligation to affirmatively further fair housing. The 2020-2024 AI identified these goals:

2022/23 CAPER 36
OMB Control No: 2506-0117 (exp. 09/30/2021)

1. Increase the supply of affordable housing in high opportunity areas.

2. Prevent displacement of low - and moderate -income residents with protected characteristics, including Hispanic residents, Vietnamese residents, seniors, and people with disabilities.

3. Increase community integration for persons with disabilities.

4. Ensure equal access to housing for persons with protected characteristics, who are disproportionately likely to be lower-income and to experience homelessness.

5. Expand access to opportunity for protected classes.

In FY 2020/21, the City of Huntington Beach negotiated the terms of a 43 -unit affordable housing development for seniors located at 18431 Beach Boulevard . The project, known as Jamboree’s Huntington Beach Seniors Project, is a collaborative effort between the City and Jamboree Housing Corporation and seeks to accomplish several of the goals listed above. The project will increase the supply of affordable housing, will integrate persons with disabilities into the project, will ensure equal access to housing for persons with protected characteristics (seniors), and expands access to opportunity for protected classes. The project is currently underway.

The City also invested over $1.5 million in tenant based rental assistance using HOME funding since July 2020 and has prevented displacement of nearly 150 lower income Huntington Beach households to date.

The City also ensured equal access to housing and expanded access to opportunities for persons with protected characteristics through the work of their contractor, the Fair Housing Foundation (FHF). The FHF provided the following services to affirmatively further fair housing:

Landlord/Tenant Services
In partnership with the FHF, the City co nducted a multi -faceted fair housing program to Huntington Beach tenants, landlords, property owners, realtors, and property management companies. The program included counseling these parties on their rights and responsibilities to determine if any fair housing violations occurred. In FY 2022/23, the FHF provided 405 unduplicated households with these direct client services, 75% of which were of extremely low or low-income. Most of the calls (87%) were from in-place tenants with questions ranging from habitability, rent increases, evictions, and notices to name a few.

Additionally, FHF continued to provide investigation and response to allegations of illegal housing discrimination. Out of 53 allegations of discrimination, seven resulted in a case being

2022/23 CAPER 37
OMB Control No: 2506-0117 (exp. 09/30/2021)
opened for further investigation, and 46 were resolved. The top a llegations had to do with physical disability, mental disability, gender, and source of income.

Education and Outreach Activities
The FHF also provided a comprehensive, extensive, and viable education and outreach program. The purpose of this program was to educate managers, tenants, landlords, owners, realtors, and property management companies on fair housing laws, to promote media and consumer interest, and to secure grass roots involvement within communities. FHF specifically aimed their outreach to persons and protected classes that were most likely to encounter housing discrimination. FHF conducted regularly scheduled “All Area Activities” that directly benefited residents of Huntington Beach . In FY 2022/23, 427 individuals were assisted within city limits.

The FHF participated in many community relations events including making contact with eight agencies to discuss fair housing; manned two booths during the year; attended six community meetings; made eight agency and community presentations; held eight workshops and walk- in clinics on fair housing; and distributed 6,603 pieces of literature in Huntington Beach.

Finally, the City worked to enhance access to services and housing for residents with limited English proficiency. For the federal CDBG program, the City offered to make public notices available in English and Spanish, and ensured translators were available at public meetings, if requested.

2022/23 CAPER 38
OMB Control No: 2506-0117 (exp. 09/30/2021)
CR -40 - Mo ni t or in g

Describe the standards and procedures used to monitor activities carried out in furtherance of the plan and used to ensure long-term compliance with requirements of the programs involved, including minority business outreach and the comprehensive planning requirements

The City follows monitoring procedures for subrecipients, which includes a thorough in-house review of quarterly progress reports and expenditures, and an annual desk or on -site visit to ensure compliance with federal regulations. The monitoring system en courages uniform reporting to achieve consistent information on beneficiaries. Technical assistance is provided throughout the program year on an as -needed basis. Formal monitoring of multiple public service agreements with 2022/23 subrecipients was performed by desk review during the program year. Monitoring of FY 2022/23 subrecipients will be conducted in FY 2023/24.

The City also performs project monitoring of all rent restricted affordable units assisted with HOME, CDBG, and the former Redevelopment Ag ency Housing Set -Aside Funds, and in accordance with 24 CFR 92.504 (d):

• Annual audits for compliance with regulatory agreement affordability covenants; and • On site visits, which include property inspections of randomly selected units assisted with HOME, CDBG, and former Redevelopment Agency Housing Set- Aside Funds.

In addition, the City encouraged minority business outreach in all of its federally assisted (CDBG and HOME) construction work in excess of $2,000. As part of the Notice Inviting Bid procedures, the City requires subrecipients undertaking improvements, reconstruction, or rehabilitation of community and private facilities, infrastructure projects, and affordable housing development s to make a good faith effort to hire women or minority -based businesses and to require equal employment opportunity for all individuals and business concerns.

Citizen Participation Plan

Describe the efforts to provide citizens with reasonable notice and an opportunity to comment on performance reports.

Pursuant to 24 CFR Part 91, the City solicited public review and comment on the draft 2022/23 Consolidated Annual Performance and Evaluation Report (CAPER). A notice was published on August 31, 2023 indicating a public review period from September 1, 2023 through September 19, 2023. The 2022/23 CAPER was available in hard copy at Huntington Beach City Hall and for

2022/23 CAPER 39
OMB Control No: 2506-0117 (exp. 09/30/2021)
public review on the City’s website at:
http://www.huntingtonbeachca.gov/business/economic-development/cdbg/. Copies were also available to be emailed or delivered via U.S. mail to interested persons. A public meeting to approve the plan will be held on September 19, 2023.

2022/23 CAPER 40
OMB Control No: 2506-0117 (exp. 09/30/2021)
CR -4 5 - C D BG

Specify the nature of, and reasons for, any changes in the jurisdiction’s program objectives and indications of how the jurisdiction would change its programs as a result of its experiences.

Between the dates of July 1, 2022 and June 30, 2023, Huntington Beach submitted one substantial and one minor amendment to their FY 2022/23 Annual Action Plan.

On November 1, 2022, t he Huntington Beach City Council adopted Substantial Amendment No. 1 to the FY 2022/23 AAP which included the addition of a new Mobile Home Tenant-Based Rental Assistance Program for seniors. The program was awarded $391,654 in HOME prior year unallocated funds. The amendment also included a budget increase of $65,000 to the Rehabilitation Loans and Grants Program to fund inspections and repairs of more mobile homes. Finally, this amendment also increased the Housing Services for Tenant-Based Rental Assistance Program by $78,000 for a new total of $183,000 to accommodate the income eligibility and housing inspections required for new mobile home TBRA recipients.

The minor amendment to the FY 2022/23 Action Plan was submitted on June 27, 2023 to allow the Mercy House TBRA program another year of implementation. The two -year program is now set to terminate on June 30, 2024. With the additional year of operations, Me rcy House will enroll seven additional households to the program.

Does this Jurisdiction have any open Brownfields Economic Development Initiative (BEDI) grants?

Not applicable.

[BEDI grantees] Describe accomplishments and program outcomes during the last year.

Not applicable.

2022/23 CAPER 41
OMB Control No: 2506-0117 (exp. 09/30/2021)
CR - 50 - HO ME

Include the results of on -site inspections of affordable rental housing assisted under the program to determine compliance with housing codes and other applicable regulations

Huntington Beach monitors HOME -assisted affordable rental housing to determine compliance with HOME property standards set forth in 24 CFR 92.251 and with the Housing Quality Standards (“HQS”) found in 24 CFR 882.109. The City has partnered with several CHDOs and for -profit developers throughout the years to develop affordable housin g including Orange County Community Housing Corporation (OCCHC), Collette’s Children’s Home, Interval House, and Jamboree to name a few. In FY 20 22/23, 13 HOME affordable housing projects encompassing 319 units total were monitored and inspected. All properties were inspected between March and May 2023 , and letters of compliance were mailed out in April and May. Properties that were inspected include:

• Barton I Apartments, 7812 Barton Lane, 4 units – In Compliance • Barton II Apartments, 7802 Barton Lane, 4 units – In Compliance • Pacific Court Apartments, 2200 Delaware, 47 units – In Compliance • Oceana Apartments, 18151 Beach Boulevard, 24 units – In Compliance • Huntington Pointe Apartments, 18992 Florida Street, 104 units – In Compliance • Hermosa Vista, 15363 & 15425 Goldenwest Street, 88 units – In Compliance • Jamboree II, 17362 Koledo Lane, 5 units – In Compliance • OCCHC Keelson, 17382 Keelson Lane, 4 units – In Compliance • OCCHC Koledo II, 17291 & 17351 Koledo Lane, 8 units - In Compliance • OCCHC Koledo III, 17401 & 17431 Koledo Lane, 10 units - In Compliance • O OCCHC Koledo IV, 17411 & 17421 Koledo Lane, 10 units - In Compliance • OCCHC Koledo V, 17412 Koledo Lane, 5 units - In Compliance • Pacific Sun Apartments, 17452, 17462, and 17472 Keelson Lane, 6 units – In Compliance

Provide an assessment of the jurisdiction's affirmative marketing actions for HOME units.

For new construction and rehabilitation of rental project activities, the City requires the owner/developer to have an Affir mative Fair Housing Marketing Plan prior to any lease -up activities occurring. During FY 2022/23, the City collected and monitored 12 Affirmative Marketing and Tenant Selection Plans and all were in compliance with the affordable housing agreements and with the requirements at 24 CFR 200.620.

Refer to IDIS reports to describe the amount and use of program income for projects, including the number of projects and owner and tenant characteristics

2022/23 CAPER 42
OMB Control No: 2506-0117 (exp. 09/30/2021)

Huntington Beach had a total of $1,239,093.36 in HOME program income in FY 2022/23 ($1,091,908.08 from prior year receipts, and $ 147,185.28 in new receipts) , all of which is attributed to homeowner rehabilitation loan payoffs. Between July 1, 2022 and June 30, 2023, the City drew down $981,573.63 for the following activities:

• $817,746.83 on IDIS #685 HB Senior Housing Project (underway) • $24,141.25 on IDIS #687 2021 Mercy House Tenant -Based Rental Assistance Program (homeless, at risk of homelessness, victims of domestic violence, and veterans) • $52,579.13 on IDIS #650 2019 HOME Administration
• $35,944.00 on IDIS #693 2022 Mercy House Tenant -Based Rental Assistance Program (homeless, at risk of homelessness, victims of domestic violence, and veterans) • $51,162.40 on IDIS #692 on 2022 Families Forward Tenant -Based Rental Assistance Program (families with children who are homeless and at risk of homelessness)

Consistent with HUD regulations, the City drew down program income before requesting funds from the HOME letter of credit.

Describe other actions taken to foster and maintain affordable housing.

The City allocated $2.8 million in HOME funds for the development of a 43 -unit senior affordable housing project at 18431 Beach Boulevard in the FY 2020/21 Annual Action Plan. The Huntington Beach Senior Housing Project is being developed in partnership with Jamboree Housing Corporation. With an investment of $2.8 million, nine units will HOME-restricted to eligible Huntington Beach seniors. The project is currently under construction and when complete, the nine units added to the City’s affordable housing inventory will be recorded in the CAPER.

Next, the City worked with the County or Orange, National CORE, and American Family Housing to acquire and develop the former Quality Inn & Suites site at 17251 Beach Boulevard.

The former hotel , now titled the Huntington Beach Oasis, will be converted into a non - congregate shelter comprising 62 units for adult individ uals and households experiencing homelessness in the Orange County Central Service Planning Area. Residents at the Huntington Beach Oasis will be provided with interim housing and supportive services that meet the complex needs of those experiencing homelessness. The project was funded with a variety of local sources including $1.8 million of Huntington Beach’s special allocation of HOME funds awarded through the American Rescue Act (HOME -ARP). The project is currently underway.

2022/23 CAPER 43
OMB Control No: 2506-0117 (exp. 09/30/2021)

The City also worked with Families Forward and Mercy House to offer tenant -based rental assistance programs to 33 Huntington Beach households, as discussed throughout this report.

A third housing assistance program was added to the City’s program delivery at the end of the program year and 23 senior households were immediately enrolled confirming a critical need for space rent assistance for Huntington Beach’s senior population.

2022/23 CAPER 44
OMB Control No: 2506-0117 (exp. 09/30/2021)
CR -58 – Section 3
Identify the number of individuals assisted and the types of assistance provided Total Labor Hours CDBG HOME ESG HOPWA HTF
Total Number of Activities 0 0 0 0 0
Total Labor Hours
Total Section 3 Worker Hours
Total Targeted Section 3 Worker Hours
Table 14 – Total Labor Hours
Qualitative Efforts - Number of Activities
by Program

CDBG HOME ESG HOPWA HTF
Outreach efforts to generate job applicants
who are Public Housing Targeted Workers
Outreach efforts to generate job applicants
who are Other Funding Targeted Workers.

Direct, on-the job training (including
apprenticeships).

Indirect training such as arranging for,
contracting for, or paying tuition for, off-site
training.

Technical assistance to help Section 3
workers compete for jobs (e.g., resume
assistance, coaching).

Outreach efforts to identify and secure bids
from Section 3 business concerns.

Technical assistance to help Section 3
business concerns understand and bid on
contracts.

Division of contracts into smaller jobs to
facilitate participation by Section 3 business
concerns.

Provided or connected residents with
assistance in seeking employment including:
drafting resumes, preparing for interviews,
finding job opportunities, connecting
residents to job placement services.

Held one or more job fairs.

2022/23 CAPER 45
OMB Control No: 2506-0117 (exp. 09/30/2021)
Provided or connected residents with
supportive services that can provide direct
services or referrals.

Provided or connected residents with
supportive services that provide one or
more of the following: work readiness
health screenings, interview clothing,
uniforms, test fees, transportation.

Assisted residents with finding child care.

Assisted residents to apply for, or attend
community college or a four year
educational institution.

Assisted residents to apply for, or attend
vocational/technical training.

Assisted residents to obtain financial literacy
training and/or coaching.

Bonding assistance, guaranties, or other
efforts to support viable bids from Section 3
business concerns.

Provided or connected residents with
training on computer use or online
technologies.

Promoting the use of a business registry
designed to create opportunities for
disadvantaged and small businesses.

Outreach, engagement, or referrals with the
state one-stop system, as designed in
Section 121(e)(2) of the Workforce
Innovation and Opportunity Act.

Other.

Table 15 – Qualitative Efforts - Number of Activities by Program

← All documents from this meeting