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Agenda Report
March 23, 2026
TO: Honorable Mayor and City Council
FROM: Housing Department
SUBJECT: PUBLIC HEARING: APPROVE SUBSTANTIAL AMENDMENT TO THE 2025 ANNUAL ACTION PLAN FOR HOME INVESTMENT
PARTNERSHIP ACT FUNDS
RECOMMENDATION:
It is recommended that the City Council:
1. Find that the recommended action is exempt from the California Environmental Quality Act ("CEQA") pursuant to State CEQA Guidelines per Section 15061 (b)(3), the "common sense" provision that CEQA only applies to projects that may have a significant effect on the environment;
2. Approve the submission to the U.S. Department of Housing and Urban Development of a Substantial Amendment to the 2025 Annual Action Plan asdescribed in the report for a grant allocation increase of $512,416 in non- committed HOME Partnership Act funds; and
3. Authorize the City Manager to execute any and all documents necessary to effectuate staff recommendation.
BACKGROUND:
The Annual Action Plan sets forth the projected uses of federal entitlement funds, including Community Development Block Grant ("CDBG"), HOME Investment Partnership Act ("HOME"), and Emergency Solutions Grant ("ESG") for the programyear. The Plan addresses the efforts made toward accomplishing the goals and objectives included in the City's Five-Year Consolidated Plan. On May 19, 2025, the City Council convened a public hearing approving the submission of the 2025 AnnualAction Plan as an application to the U.S. Department of Housing and Urban Development (HDD). The modification described below requires that the Annual Action Plan be amended in accordance with HDD regulations by a "Substantial Amendment" (as that term is used in the Citizen Participation Plan).
MEETING OF.03/23/2026AGENDA ITEM NO..14
2025 Action Plan Substantial Amendment
March 23, 2026
The Substantial Amendment to the 2025 Annual Action Plan will enable the City toincrease its allocation of HOME funds by $512,416 to support the construction of an affordable senior housing complex at 280 Ramona Street, known as the Ramona Senior Housing project. The 100-unit project, developed by National Community Renaissance(National CORE) includes 48 units of permanent supportive housing. The Substantial Amendment brings to the project a total allocation of $2,756,073 in hlOME funds to assist the development of the project, as such funding is set forth in that certain Development, Lease and Loan Agreement No. 23,765), dated November 30, 2023, between the City and National CORE.
The table below summarizes the Substantial Amendment allocation of HOME funds.
DescriptionImplementing
Agency
AmountAction
Ramona Senior Housing Project
Construction of a 100-unit affordable
senior housing apartment complex on the
southeast comer of Ramona Street and
Garfield Avenue.
National
CORE$512,146
Increase
HOME
allocation to
$2,756,073
COUNCIL POLICY CONSIDERATION:
The proposed action is consistent with the City's General Plan - Housing Element and the Five-Year Consolidated Plan. It also supports and promotes the quality of life and the local economy- a goal of the City Council's Strategic Plan.
ENVIRONMENTAL ANALYSIS:
The proposed action is exempt from the California Environmental Quality Act (CEQA), pursuant to State CEQA Guidelines Section 15061 (b)(3), the "common sense" provision of CEQA which applies to projects which may have the potential for causing asignificant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. The approval of the subject Substantial Amendment to the Annual Action Plans is a funding mechanism only and is excluded from the definition of "project" pursuant to State CEQA Guidelines Section 15378(b)(4). Furthermore, the action proposed herein will not have a significant effect on the environment and, hence, is not subject to CEQA.
2025 Action Plan Substantial Amendment
March 23, 2026
FISCAL IMPACT:
The recommended action will have no direct fiscal impact. Approval of the SubstantialAmendment by the City Council and subsequent approval by HDD will increase HOMEfunding for the Ramona Senior Housing project by $512,146 for a total hlOME allocationof $2,756,073.
Respectfully submitted,
James Wong (Mar 11, 2026 14:50:24 PDT)
JAMES WONG
Housing Director
Prepared by:
i&iM^it^Ma^-ifii-
ff
Randy Mabson
Program Coordinator
Approved by:
^RQUEZ
City Manager