Administrative
Report
L.1., File # 22-5276 Meeting Date: 12/13/2022
To: MAYOR AND CITY COUNCIL
From: MICHAEL W. WEBB, CITY ATTORNEY
JOY ABAQUIN FORD, QUALITY OF LIFE PROSECUTOR
TITLE
PUBLIC HEARING TO CONSIDER AND ADOPT FIVE-YEAR PERMANENT LOCAL HOUSING ALLOCATION (PLHA) PLAN.
ADOPT BY TITLE ONLY RESOLUTION NO. CC-2212-114, A RESOLUTION OF THE CITY
COUNCIL OF THE CITY OF REDONDO BEACH, CALIFORNIA AUTHORIZING THE APPLICATION
AND ADOPTING THE FIVE-YEAR PERMANENT LOCAL HOUSING PLAN FOR THE PLHA PROGRAM.
PROCEDURES:
A. OPEN THE PUBLIC HEARING, TAKE TESTIMONY;
B. CLOSE THE PUBLIC HEARING; AND
C. ADOPT RESOLUTION NO CC-2212-114
EXECUTIVE SUMMARY
The California Department of Housing and Community Development (HCD) released the 2022 Permanent Local Housing Allocation (PLHA) program Notice of Funding Availability. The PLHA grant is available to Community Development Block Grant (CDBG) entitlement jurisdictions to implement plans to address homelessness and increase affordable housing stock. The City of Redondo Beach is authorized to receive a PLHA grant, in an amount of $784,980, which is estimated based on the PLHA formula allocations.
BACKGROUND
In September 2017, the California Legislature approved Senate Bill 2 (SB 2), known as the Building Homes and Jobs Act and the Permanent Local Housing Allocation (PLHA). The purpose of the bill is to establish a permanent source of funding for housing related issues. Revenue for this program is generated through recording fees on real estate transactions and will therefore vary from year to year depending on market activity.
Beginning 2019, the majority of the revenues collected started to flow to local jurisdictions through the PLHA funding allocation. This application period covers 2019-2023. HCD has determined that the City of Redondo Beach is entitled to approximately $784,980 over the five-year period covered by the application (2019-2023), with the totals for years 2019, 2020 and 2021 determined to be
L.1., File # 22-5276 Meeting Date: 12/13/2022
the application (2019-2023), with the totals for years 2019, 2020 and 2021 determined to be $130,830, $203,351, and $223,781 respectively. The total amount of $784,980 may change, depending on the number of recording fees on real estate transaction in 2022 and 2023.
The City must submit a PLHA program application to receive the funding allocation. The application must meet the following requirements:
- The City’s Housing Element is in substantial compliance with State Housing Element Law. - The City submitted the General Plan’s Annual Progress Report to State CHD as required. - The PLHA application requests an allocation to one or more eligible activities and the submission is authorized by the City Council.
- PLHA funds distributed to a program’s operation do not have a conflict of interest and must be accessible to the public.
- A five-year PLHA activity plan (incorporated into the application) is approved and adopted by the City Council.
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Earlier this year, the City Attorney’s Office met with the Los Angeles County Chief Executive Office Homeless Initiative and determined PHLA is available to fund the Pallet Shelter. At the time, the City had not yet applied for the funding. In October 2022, staff was advised that, in collaboration with HCD and the Southern California Association of Non-Profit Housing (SCANPH), the Southern California Association of Governments (SCAG) would offer technical assistance with PLHA grants.
Staff began working with SCAG and SCANPH to prepare the application to submit it to HCD.
The proposed plan, as outlined in the application, requests that the City fund the Pallet Shelter, which falls under the eligible activity of assisting persons who are experiencing or at-risk of homelessness.
Staff recommends that the City Council:
1. Conduct the noticed public hearing to review and consider the Five-Year PLHA Plan; and
2. Adopt the Resolution, adopting the Five Year PLHA Plan and authorizing the City Manager to execute any and all necessary documents.
COORDINATION
The City Attorney’s Office coordinated with the City Manager’s Office.
FISCAL IMPACT
If HCD accepts the City’s application, the City will receive an estimated $784,980 to fund the Pallet Shelter.
ATTACHMENTS
- Resolution
- PLHA Application