2024-2025
Draft Action Plan
City of Sunnyvale
Community Development Block Grant Program
Home Investment Partnership Program
April 2024
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
1 Attachment 2
Sunnyvale Draft Annual Action Plan
2024
2 Table of Contents
AP-05 Executive Summary - 24 CFR 91.200(c), 91.220(b) ................................................................................................. 3 PR-05 Lead & Responsible Agencies – 91.200(b) .............................................................................................................. 5 AP-10 Consultation – 91.100, 91.200(b), 91.215(l) ........................................................................................................... 6 AP-12 Participation – 91.105, 91.200(c) ......................................................................................................................... 13 AP-15 Expected Resources – 91.220(c)(1,2) ................................................................................................................... 15 AP-20 Annual Goals and Objectives .................................................................................................................................. 18 AP-35 Projects – 91.220(d) ............................................................................................................................................. 21 AP-38 Project Summary ................................................................................................................................................. 23 AP-50 Geographic Distribution – 91.220(f) ..................................................................................................................... 28 AP-55 Affordable Housing – 91.220(g) ........................................................................................................................... 29 AP-60 Public Housing – 91.220(h) .................................................................................................................................. 30 AP-65 Homeless and Other Special Needs Activities – 91.220(i) ..................................................................................... 31 AP-75 Barriers to affordable housing – 91.220(j) ............................................................................................................ 33 AP-85 Other Actions – 91.220(k) .................................................................................................................................... 34 AP-90 Prog
ram Specific Requirements – 91.220(I)(1,2,4) ............................................................................................... 36 Attachment 2
Sunnyvale Draft Annual Action Plan
2024
3 AP-05 Executive Summary - 24 CFR 91.200(c), 91.220(b)
1. Introduction
AP-05 Executive Summary - 24 CFR 91.200(c), 91.220(b) Introduction
This FY 2024/25 Action Plan serves as an application for funds under two formula grant programs administered by the U.S. Department of Housing and Urban Development (HUD). These grants provide the City of Sunnyvale (City) with an average of roughly $1.1 million annually. For 2024, the City expects to receive an allocation of Community Development Block Grant (CDBG) in the amount of $1,000,000 - and a HOME Investment Partnerships (HOME) Program grant of $450,000. This Action Plan covers the fiscal year beginning July 1, 2024, and ending June 30, 2025, which is the final year of the City’s 2020- 2025 Consolidated Plan (ConPlan) period. The Action Plan describes the eligible activities that the City intends to undertake in FY 2024/25 to address the priority needs and implement the strategies identified in the Plan, using the City’s CDBG and HOME grants. The activities described in this Action Plan are intended to primarily benefit the lower-income residents of Sunnyvale, affirmatively further fair housing choice, and meet priority needs. In addition to these grants, the City has a local Housing Mitigation Fund (HMF), which is used to support local affordable housing programs, including some that are not eligible for HUD funding. This fund is derived from fees received occasionally in varying amounts, and there is no guaranteed annual funding amount, therefore less emphasis is placed on these funds as a regular funding source in this Action Plan.
2. Summarize the objectives and outcomes identified in the Plan
The City has organized its priority needs based on the structure presented in HUD regulations (24 CFR
91.215): affordable housing, alleviation of homelessness, economic development, and non-housing community development. Priority is assigned based on the level of need that is demonstrated by the data that has been collected during the preparation of the Plan, specifically in the Needs Assessment and Market Analysis; the information gathered during the consultation and citizen participation process; current City policy, federal laws and regulations related to the HUD grants, and the availability of resources to address these needs. Based on these components, housing needs are considered a high priority, as well as alleviation of homelessness, economic development, and non-housing community development needs. The City's goals and objectives are organized into four categories: A. Affordable Housing (including housing for special needs households) B. Alleviation of Homelessness C. Other Community Development Efforts (Public Services, Community Facilities and Infrastructure) D. Expanding Economic Opportunities. Table 7 on page 19 summarizes the objectives and outcomes that will be addressed in this Action Plan.
Attachment 2
4 3. Evaluation of past performance
The City is responsible for ensuring compliance with all rules and regulations associated with the CDBG and HOME entitlement grant programs. The City’s Annual Action Plans and CAPERs, posted on the City’s website, provide details about the goals, projects and programs completed by the City. The City recognizes that the evaluation of past performance is critical to ensure the City and its sub-recipients are implementing activities effectively and that those activities align with the City’s overall strategies and goals. The City evaluates the performance of subrecipients on a quarterly basis. Sub-recipients are required to submit quarterly progress reports, which include client data, performance objectives, as well as data on outcome measures. Before the start of the program year, program objectives are developed collaboratively by the sub-recipient and the City, ensuring that they are aligned with the City's overall goals and strategies. The City utilizes the quarterly reports to review progress toward annual goals. During the past year, the City successfully implemented its planned programs and projects. Some projects take several years to complete, so in some cases they may not be completed in the same year in which they were initially funded, such as the Persian Drive sidewalk project. This is not unusual for projects involving major construction work.
4. Summary of Citizen Participation Process and consultation process The City, in collaboration with other local jurisdictions and the consultant team, launched a comprehensive outreach strategy to enhance and broaden citizen participation in the preparation of the Consolidated Plan. The team informed the public that it was in the process of creating the 2020-2025 Consolidated Plan and encouraged public participation in the process by conducting a Regional Needs Survey and hosting regional forums in collaboration with other jurisdictions in the County and conducting local hearings. In addition to the extensive consultation conducted for the ConPlan several years ago, the City solicited additional input on this draft Action Plan. The City provides multiple opportunities for public review and comment on the Action Plan and on any substantial amendments to it. Public hearings on this Plan were held (or will be held) on April 16, 2024 and May 7, 2024. A notice of public hearings and an announcement of the 30-day public comment period was published in the Mercury News on April 5, 2024. An initial draft of the Action Plan was released on April 5, 2024, and comments were accepted through May 7, 2024. It is the policy of the City of Sunnyvale to encourage and engage residents to participate in planning, implementation, and evaluation of its housing and community development programs.
5. Summary of public comments
All comments were accepted. Please refer to Attachment: "Proof of Publication and Citizen Participation Comments.”
6. Summary of comments or views not accepted and the reasons for not accepting them N/A
Sunnyvale Draft Annual Action Plan
2024
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
5 PR-05 Lead & Responsible Agencies – 91.200(b)
1. Agency/entity responsible for preparing/administering the Consolidated Plan Table 1 – Responsible Agencies
Agency Role Name Department/Agency
CDBG Administrator SUNNYVALE Department of Community
Development
HOME Administrator SUNNYVALE Department of Community
Development
The City of Sunnyvale is the Lead and Responsible Agency for HUD entitlement programs in Sunnyvale.
The Housing Division (HD), a division of the City’s Community Development Department (CDD), is responsible for administering the City’s HUD entitlement grants, including the Community Development Block Grant (CDBG) and HOME Investment Partnerships Program (HOME) grant. In order to continue receiving these grants, the City must develop and submit to HUD a five-year Consolidated Plan (ConPlan) and Annual Action Plans listing priorities and strategies for the use of these federal funds. The ConPlan describes how the City plans to use its CDBG and HOME funds to meet the housing and community development needs of its residents in the next five years. To update its 2020-2025 ConPlan, the City collaborated with the County of Santa Clara (County) and other entitlement jurisdictions in the County to identify and prioritize housing and community development needs across the region, and to develop strategies to meet those needs. The 2024-25 Action Plan covers the final year of the 2020-2025 ConPlan period.
Consolidated Plan & Action Plan Public Contact Information
City of Sunnyvale Housing Division
Trudi Ryan, Director of Community Development
Jenny Carloni, Housing Officer
456 W. Olive Avenue / PO Box 3707
Sunnyvale, CA 94088
Tel: (408) 730-7250
Fax: (408) 737-4906
Email: [email protected]
Housing Division website: https://sunnyvale.ca.gov/property/housing/default.htm Attachment 2
Sunnyvale Draft Annual Action Plan
2024
6 AP-10 Consultation – 91.100, 91.200(b), 91.215(l)
1. Introduction
Consolidated Plan Development
T
he City has a long history of coordination and partnership with the local public housing provider, which is the Santa Clara County Housing Authority (SCCHA), and various assisted housing providers, such as Charities Housing, MidPen Housing Corp., First Community Housing, and others. The City also has a long history of coordinating with and/or providing funding to various local private and public health, mental health, and human services agencies, such as the County Mental Health Department, the local Valley Medical Center, and a variety of service providers that serve seniors, disabled clients, homeless clients, and other lower-income and at-risk clients.
I
n addition, in preparing the ConPlan, the City collaborated with seven other entitlement grantee jurisdictions (Entitlement Jurisdictions), including the cities of Cupertino, Gilroy, Mountain View, Palo Alto, San Jose, Santa Clara, and the County of Santa Clara (Urban County).
Provide a concise summary of the jurisdiction’s activities to enhance coordination between public and assisted housing providers and private and governmental health, mental health and service agencies (91.215(l))
Public participation played a central role in the development of the ConPlan. The Entitlement Jurisdictions launched an in-depth, collaborative regional effort to consult with community stakeholders, many of whom represented public or assisted housing providers, health and service agencies, as well as elected officials, City and County staff, and beneficiaries of entitlement programs, to inform and develop the priorities and strategies contained within the ConPlan. The City, in partnership with Michael Baker International and the other Entitlement Jurisdictions, facilitated a comprehensive outreach process to enhance coordination with these stakeholders and discuss new approaches to using the HUD entitlement grant funds for eligible activities, projects, and programs throughout the county and/or in specific cities.
Multiple community meetings took place in late 2019, and early 2020 – and included participation from a variety of stakeholders.
A
dditionally, Michael Baker International, with direction from the Entitlement Jurisdictions, conducted a Regional Needs Survey to solicit input from residents, workers, and stakeholders in the region, which consisted of all of Santa Clara County. Survey respondents were informed that the purpose of this survey was to help the Entitlement Jurisdictions determine local priorities for use of their HUD entitlement funds, and that these funds must be used to fund projects or programs that primarily serve lower income residents or neighborhoods with a higher percentage of lower-income residents. The Survey polled respondents about the level of need in their respective neighborhoods for various types of improvements, projects or programs that could possibly be funded by the HUD entitlement funds.
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
7 Action Plan Development
In addition to the extensive consultation in 2019 and 2020 noted above, the City solicited additional input for the FY2024-25 Annual Action Plan from community members at public hearings and planning meetings held on March 27, April 16, and May 7, 2024. The City and other community development organizations in the County coordinate frequently on a variety of initiatives. City Housing staff participates in a collaborative of HUD entitlement grantees within the County.
Quarterly meetings are held to discuss activities, technical assistance issues, and identify future opportunities for coordination and cooperation. The City also coordinates with other regional agencies, such as the Housing Trust of Silicon Valley, SV@Home, Joint Venture Silicon Valley, NOVA, the County- wide Fair Housing Task Force, and Valley Transportation Authority, among others, to achieve the goals described within this Action Plan.
Describe coordination with the Continuum of Care and efforts to address the needs of homeless persons (particularly chronically homeless individuals and families, families with children, veterans, and unaccompanied youth) and persons at risk of homelessness.
The City has coordinated with the Santa Clara County Continuum of Care (CoC) for many years on its efforts to end and prevent homelessness in the County. The CoC, a group of stakeholders from throughout the County, plans and implements many of these efforts. The CoC is governed by the CoC Board, which takes a systems-change approach to preventing and ending homelessness. The City’s Housing Officer participated on the CoC’s Review and Rank Panel in several recent years. This panel spends about a week reviewing and ranking local proposals for HUD funding through the federal CoC program.
Members of the CoC meet monthly to plan CoC programs, identify gaps in homeless services, establish funding priorities, and pursue a systematic approach to addressing homelessness. City staff, including the Housing Officer and Housing Analyst, as well as staff of other cities, meet and consult with the County’s CoC staff during the quarterly county-wide "CDBG Coordinators Group” meetings, and communicate more frequently via email and/or phone on joint efforts. Destination:Home (D:H), a public-private partnership committed to ending chronic homelessness, is the governing organization for the CoC and implements by-laws and operational protocols for the CoC. D:H is also responsible for ensuring that the CoC complies with the Homeless Emergency Assistance and Rapid Transition to Housing Act of 2009 (HEARTH).1
In 2019, D:H released a draft "Community Plan to End Homelessness in Santa Clara County” (Community Plan), which outlines strategies for ending homelessness in the County by 2025. These strategies were informed by those who participated in a series of community summits conducted between April and Attachment 2
Sunnyvale Draft Annual Action Plan
2024
8 December 2019, including Sunnyvale HD staff and local stakeholders, among others. The Community Plan addresses the needs of homeless people in the County, including chronically homeless people, families with children, veterans, and youth, as well as those at risk of homelessness.
T
he City’s current ConPlan and 2023-2031 Housing Element incorporate many policies and programs that are consistent with the Community Plan and "Housing First” policies in general.
Describe consultation with the Continuum(s) of Care that serves the jurisdiction's area in determining how to allocate ESG funds, develop performance standards for and evaluate outcomes of projects and activities assisted by ESG funds, and develop funding, policies and procedures for the operation and administration of HMIS The City is not an ESG entitlement jurisdiction.
T
he CoC’s HMIS is administered by the County Office of Supportive Services, using Clarity Human Services software. The project meets and exceeds HUD’s requirements for HMIS and complies with HUD HMIS Standards. The County’s HMIS is used by many service providers to record information and report outcomes.
Describe agencies, groups, organizations and others who participated in the process and describe the jurisdiction’s consultations with housing, social service agencies and other entities Attachment 2
Sunnyvale Draft Annual Action Plan
2024
9 Table 2 – Agencies, groups, organizations who participated 1 Agency/Group/Organization Abilities United
Agency/Group/Organization Type Services-Persons with Disabilities What section of the Plan was addressed by Consultation? Needs Assessment and Strategic Plan
Briefly describe how the Agency/Group/Organization was
consulted. What are the anticipated outcomes of the
consultation or areas for improved coordination?
Agency attended Community
Forum(s) on Nov. 4, 2019, and a
community meeting in October
2020.
2 Agency/Group/Organization Bill Wilson Center
Agency/Group/Organization Type Counseling, Housing for
Homeless Youth
What section of the Plan was addressed by Consultation? Needs Assessment and Strategic Plan
Briefly describe how the Agency/Group/Organization was
consulted. What are the anticipated outcomes of the
consultation or areas for improved coordination?
Agency attended Community
Forum(s) on Nov. 4, 7 and 20 –
2019.
3 Agency/Group/Organization Catholic Charities of Santa Clara County
Agency/Group/Organization Type Services-Elderly Persons What section of the Plan was addressed by Consultation? Needs Assessment and Strategic Plan
Briefly describe how the Agency/Group/Organization was
consulted. What are the anticipated outcomes of the
consultation or areas for improved coordination?
Agency attended Community
Forum(s) on Nov. 20, 2019.
4 Agency/Group/Organization City of Sunnyvale
Agency/Group/Organization Type Other government - Local What section of the Plan was addressed by Consultation? Needs Assessment and Strategic Plan
Briefly describe how the Agency/Group/Organization was
consulted. What are the anticipated outcomes of the
consultation or areas for improved coordination?
Agency attended Community
Forum (s) Nov. 20, 2019.
5 Agency/Group/Organization Live Oak Adult Day Services Agency/Group/Organization Type Services-Elderly Persons Attachment 2
Sunnyvale Draft Annual Action Plan
2024
10 What section of the Plan was addressed by Consultation? Needs Assessment and Strategic Plan
Briefly describe how the Agency/Group/Organization was
consulted. What are the anticipated outcomes of the
consultation or areas for improved coordination?
Agency attended Community
Forum(s) in Oct. 2020.
6 Agency/Group/Organization Midpen Housing Corporation
Agency/Group/Organization Type Affordable Housing Developer What section of the Plan was addressed by Consultation? Needs Assessment and Strategic Plan
Briefly describe how the Agency/Group/Organization was
consulted. What are the anticipated outcomes of the
consultation or areas for improved coordination?
Agency attended Community
Forum(s) on Nov. 19, 2019
7 Agency/Group/Organization PROJECT SENTINEL
Agency/Group/Organization Type Service-Fair Housing
and Legal Services
What section of the Plan was addressed by Consultation? Needs Assessment and Strategic Plan
Briefly describe how the Agency/Group/Organization was
consulted. What are the anticipated outcomes of the
consultation or areas for improved coordination?
Agency attended Community
Forum (s) on Nov. 20, 2019, and
October 28, 2020.
8 Agency/Group/Organization SENIOR ADULTS LEGAL
ASSISTANCE
Agency/Group/Organization Type Service-Fair Housing
and Legal Services
What section of the Plan was addressed by Consultation? Needs Assessment and Strategic Plan
Briefly describe how the Agency/Group/Organization was
consulted. What are the anticipated outcomes of the
consultation or areas for improved coordination?
Agency attended Community
Forum (s) on Nov. 4 and 20,
2019
9 Agency/Group/Organization SUNNYVALE COMMUNITY
SERVICES
Agency/Group/Organization Type Community/Family Services and Organizations
What section of the Plan was addressed by Consultation? Needs Assessment and Strategic Plan
Briefly describe how the Agency/Group/Organization was
consulted. What are the anticipated outcomes of the
consultation or areas for improved coordination?
Agency attended Community
Forum (s) on Nov. 4 and 20,
2019.
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
11 Identify any Agency Types not consulted and provide rationale for not consulting There were no agency types that were not consulted as part of the 2020-2025 Consolidated Plan process.
Other local/regional/state/federal planning efforts considered when preparing the Plan Table 3 – Other local / regional / federal planning efforts Name of Plan Lead Organization How do the goals of your Strategic Plan overlap with the goals of each plan?
Continuum of Care Destination:Home
The D:H plan provides strategies for ending
homelessness and increasing affordable housing stock
in the County. This effort aligns with the Strategic
Plan's goals to increase/support Affordable Housing
and Alleviate Homelessness.
City of Sunnyvale
General Plan,
2023-2031 Housing
City of Sunnyvale
Two of the primary goals of each of these plans are
essentially the same: Increase/Support Affordable
Housing; and Addressing Homelessness. Both plans
also have goals related to improving local housing
stock and neighborhoods and addressing priority
needs (non-housing community development needs).
About 80% of the content of the two plans are very
similar.
Comprehensive
HIV Prevention &
Care Plan
Santa Clara County HIV
Planning Council for
Prevention and Care
This plan guides the Santa Clara County HIV Planning
Council for Prevention and Care in its development of a compassionate system of HIV prevention and care for
the County. This effort aligns with the Strategic Plan's goal to address Other Community Development Needs
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
12 Name of Plan Lead Organization How do the goals of your Strategic Plan overlap with the goals of each plan?
Regional Housing
Need Plan for the
San Francisco Bay
Area
Association of Bay Area
Governments
This plan quantifies the needs of the 9-county Bay Area, which includes Sunnyvale, primarily for new housing units to address population growth projected to occur in the
next 8 years. The regional housing need is further divided into an allocation or RHNA for each county and city in the region. The plan indicates Sunnyvale needs nearly 6,700 new housing units during this period. This plan aligns
with the Strategic Plan's goals to increase/support
Affordable Housing and Alleviate Homelessness.
Sunnyvale’s Housing Element describes how the City can
accommodate the new units through its zoning and
General Plan and provide some affordable units by using its special funds for affordable housing.
The City ensures that all Action Plan projects and programs are consistent with the City's General Plan and the ConPlan. Regional planning efforts include Plan Bay Area and related statewide planning efforts.
Stakeholder Participation and Consultations with Agencies
The City consulted with various groups and organizations as part of the 2020-2025 Consolidated Plan process. Those stakeholders are listed in the Appendices of the ConPlan. A number of the same stakeholders participated in one or more hearings or funding workshops related to the development of the 2024 Action Plan.
Identify any Agency Types not consulted and provide rationale for not consulting Not applicable.
Other local/regional/state/federal planning efforts considered when preparing the Plan
Please see Table 3 provided in the Appendix of the ConPlan. The City ensures that its Action Plan projects and programs are consistent with the City’s General Plan and the ConPlan. Regional planning efforts include Plan Bay Area and related statewide planning efforts.
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
13 AP-12 Participation – 91.105, 91.200(c)
1. Summary of citizen participation process/Efforts made to broaden citizen participation Summarize citizen participation process and how it impacted goal-setting It is the policy of the City of Sunnyvale to encourage and engage residents to participate in planning, implementation, and evaluation of its housing and community development programs.
The City encourages low- and moderate-income residents, minorities, those with disabilities, and non- English-speaking residents to attend community meetings and/or provide written comments on its plans. The City provides a statement in the languages identified in its Language Access Plan on all public notices regarding HUD-funded activities, and sends public notices to organizations representing the groups listed above. In accordance wi th the Citizen Participation Plan, the City will provide translation services to any resident who requests such services in advance at such hearings and meetings. The City has translated its primary Housing Program brochures into Spanish, in accordance with the Language Access Plan.
Sunnyvale Request for Proposals
The City has a long-standing practice of issuing a request for proposals (RFP), annually for capital/housing projects and every second year for human services grants, to solicit applications for CDBG and HOME funds available to the City. This process aids in gathering community input on local needs and helps the City identify projects and programs that are eligible for and interested in HUD funding and have demonstrated capacity for successful implementation and compliance with HUD requirements. Staff issues the RFP, evaluates proposals for eligibility, scores the proposals according to criteria approved by the Housing and Human Services Commission, and provides its scores and funding recommendations to the Commission and Council for review. The Commission holds a public hearing before making its own recommendations on the proposed funding allocations, which are advisory to the Council, which approves the final funding awards as part of the annual Action Plan hearing. These programs and projects are also addressed in the ConPlan, as it is assumed that similar types of projects are likely to be implemented in additional years, depending on funding availability.
Public Notice and Availability of the Action Plan
As required by HUD, the City provides multiple opportunities for public review and comment on the Action Plan and on any substantial amendments to it. Community members had opportunities to attend public hearings on April 16, 2024 and May 7, 2024. A notice of public hearings and an announcement of the 30- day public comment period was published in the Mercury News on April 5, 2024. An initial draft of the Action Plan was released on April 5, 2024, and comments were accepted through May 7, 2024. The proposed Plan was available for review at City Hall, and on the City’s website.
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
14 Table 4 – Citizen Participation Outreach
Sort
Orde
r
Mode of
Outreach
Target of
Outreach
Summary of
response/attendance
Summary of
comments received
Summary of
comments not
accepted
1 Public
Meeting
Non-
targeted/
broad
community
The Housing and Human Services
Commission (HHSC) met on March
27, 2024, to hear presentations
from non-profit profit agencies, in
response to the Request for
Proposals for CDBG
and HOME funding for FY 2024.
The presenters answered questions
of the commissioners and urged
them to support their
project/funding request.
All comments
were
accepted
2 Public
Meeting
Non-
targeted/
broad
community
The HHSC met on Mar. 27, 2024, to
discuss funding recommendations
for FY 2024/25 CDBG/HOME
grants. The HHSC recommended
funding the HS proposals and
capital project proposal in the
amounts recommended by staff.
3 agencies representatives spoke
during this meeting. See
Attachment - "Proof of Publication
and Citizen Participation
Comments."
All comments
were
accepted
3 Newspa
per Ad
Non-
targeted/
broad
community
A display ad was published in
the Mercury News on April 5,
2024.
Attachment - "Proof of Publication
and Citizen Participation
Comments."
Not
applicable
4 website
Non-
targeted/
broad
community
Draft Action Plan posted at:
https://sunnyvale.ca.gov/property
/housing/default.htm
Attachment - "Proof of Publication
and Citizen Participation
Comments."
Not
applicable
5 Public
Meeting
Non-
targeted/b
road
community
The HHSC held a public hearing on
April 16, 2024, to recommend to
the City Council to approve the
2023 Action Plan.
Not
applicable
6 Public
Meeting
Non-
targeted/b
road
community
The City council will hold a public
hearing on May 7, 2024 to
consider the Action Plan,
consistent with the 2020-2025
Consolidated Plan.
Attachment - "Proof of Publication
and Citizen Participation
Comments."
Not
applicable
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
15 AP-15 Expected Resources – 91.220(c)(1,2)
Introduction
As shown in Table A below, the City will receive $1,000,000 in 2024 entitlement CDBG funds and $450,000 in HOME funds. In addition, the City estimates that it will also receive approximately $150,000 in CDBG program income in FY 2024/25, to be determined at end of fiscal year, and has approximately $220,000 in disencumbered funds from prior years. The City will deposit all PI into the RLF. This brings the total CDBG funding for FY 2024 to $1,370,000. This amount may increase slightly, as additional program income may be received before the end of this fiscal year. Total available HOME funding for FY 2024 will be $1,670,595 which includes the new allocation, plus estimated program income administrative reserves and unencumbered funds from the prior program year.
L
ocal (City) Resources
T
he City has a local Housing Mitigation Fund (HMF) and Below Market Rate (BMR) In-Lieu Funds for the development, rehabilitation and/or acquisition of affordable housing. In 2014, $8.1 million in HMF was provided to the development of two new affordable rental projects, Parkside Studios and Onizuka Crossing, with a total of include 117 new affordable units. In 2017, $7.43 million in HMF, plus $600,000 in Home Funds, was committed to the 66-unit Benner Plaza project, completed in December 2018. Since December 2020, the City allocated about $40 million to four developments (1178 Sonora Ct., 1171 Sonora Ct., Orchard Gardens and Block 15) through two separate competitive funding availabilities, which will increase the affordable housing stock by about 500-units. In addition, the City has funds available in its Housing Successor Agency Low-Mod Housing Fund, these funds are allocated outside of the Action Plan process, but with a similar goal of expanding and preserving the City’s affordable housing stock.
Ot
her Public Resources
Low-In
come Housing Tax Credit Program (LIHTC)
T
he LIHTC program provides federal and state tax credits for developers and investors who agree to set aside all or a percentage of their rental units for low-income households for no less than 30 years.
Most recently, MidPen Housing’s BIra D. Hall Square (1178 Sonora) was awarded tax credits for their 175 unit development in 2023.
H
omeless Emergency and Rapid Transition to Housing (HEARTH) and Emergency Shelter Grants (ESG) Sa
nta Clara County serves as lead agency for the County’s Continuum of Care (CoC), which receives Hearth Act, ESG, and similar federal grants to provide shelter, housing, and supportive services to homeless people residing anywhere in the County. The City has contributed some of its local funds to various county-wide projects and programs that often receive CoC support as well, such as shelter facilities, transitional and permanent supportive housing, tenant-based rental assistance, and supportive services.
P
rivate Resources
M
ost of the City’s housing and human services programs leverage various sources of private financing.
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
16 Table 6 - Resources – Priority Table
The City encourages the participation of local lenders in its housing and/or community development projects as needed. The City is a founding member of the Housing Trust of Santa Clara County, which raises voluntary contributions from the public and private sectors for affordable housing projects within the County. The City has contributed some of its local housing funds to the Trust, which then uses those seed funds to seek matching contributions from corporations and various other sources.
Program
Source
of Funds
Uses of Funds
Amount Available Year 5 Amount
Availabl
e
Remain
der of
ConPlan
$
Narrative
Description
Annual
Allocation:
$
Estimate
Program
Income: $
Prior Year
Resource: $
Total:
$
CDBG
public -
federal
Acquisition
Admin and
Planning
Economic
Development
Housing
Public
Improvements
Public Services
1,000,000
$150,000
$220,000
1,370,000
$0
Housing
Rehabilitation;
Public
Infrastructure
and Facilities;
Public
Services;
Economic
Development;
Alleviation of
Homelessness;
Administration
HOME
public -
federal
Acquisition
Homebuyer
assistance
Homeowner
rehab
Multifamily rental
new construction
Multifamily rental
rehab
New construction
for ownership
TBRA
450,000
$262,183
$710,000
$1,670,595
$0
Administration
and Planning
Activities
Tenant Based
Rental
Assistance
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
17 Funds Available and Activities Proposed for Funding in FY 2024/25
AVAILABLE FUNDS CDBG HOME
FY 2024-25 Entitlement Grants $ 1,000,000 $ 450,000
HOME PA (Admin Reserves) $ 0 $ 0
Projected FY 2023-24 Program Income $ 150,000 $ 262,162 Projected Disencumbered/Fund Balance $ 220,000 $ 710,000 TOTAL $ 1,370,000 $ 1,670,595
E
xplain how federal funds will leverage those additional resources (private, state and local funds), including a description of how matching requirements will be satisfied The City pursues and encourages its partner agencies to seek all available public and private funding sources in order to achieve the goals of the Consolidated Plan. Most projects and activities secure funding from a variety of sources, including public and private sector donations, grants, loans, and in-kind materials and services.
M
ost of the City’s housing and human services programs leverage various sources of private financing. The City encourages the participation of local lenders in its housing and/or community development projects as needed. Tax credit projects such as Ira D. Hall Square, Block 15, Benner Plaza, and Onizuka Crossing, required millions of dollars in private equity and financing for construction and related costs. The City requires all applicants for CDBG and HOME funds for capital projects to provide a match of at least 25% to receive funding. For CDBG public services proposals, this match may consist of some in-kind materials and services. Most applicants provide a match in excess of 25%.
M
atching funds may include other available financing sources, such as tax credits, other public sector loans or grants, private capital or donations, rent proceeds, and/or the value of in-kind services (i.e., volunteer and staff services or pro-bono professional services used to implement the capital project). The City often provides more local funds than CDBG or HOME funds to assist major affordable housing projects, since those local funds are often available in larger amounts than federal funds.
Discussion
In recent years, the City has made several publicly owned properties available for affordable housing development, which is one of the needs identified in this plan. These projects included the Fair Oaks Plaza, Onizuka Crossing, Habitat Homes, Parkside Studios, Meridian, and Ira D. Hall Square. Another City- owned site known 295 S. Mathilda of the Downtown Specific Plan is currently under Planning Entitlement Attachment 2
Sunnyvale Draft Annual Action Plan
2024
18 review for 120 units of affordable housing.
AP-20 Annual Goals and Objectives
Goals Summary Information
Tabl
e 7 – Goals Summary
Sort
Order
Goal Name Start
Year
End
Year
Category Geographic
Area
Needs
Addressed
Funding
24/25
Goal
Outcome
Indicator
1 Affordable 2024 2025 Affordable Citywide Affordable CDBG: Homeowner Housing Housing Housing $250,000 Housing
Rehabilitated
(minor repairs):
40 Affordable
Rehabilitations
CDBG:
$99,969
Homeowner
Housing
Rehabilitated
(major repairs):
2 Affordable
Rehabilitations
2 Alleviation of
Homelessness
2024 2025 Homeless Citywide Homeless or
at Imminent
Risk of
Homelessness
HOME:
$1,000,000
40 Households
for TBRA
3 Other 2024 2025 Non- Citywide Public CDBG: Public Service Community Homeless Services or $158,203 Grants
Development Special Needs Facilities
Efforts Non-Housing
Community
Development
4 Expand 2024 2025 Expand Citywide Economic CDBG: Jobs
Economic
Opportunities
Economic
Opportunities
Opportunities
for Lower
Income
People
$511,811 created/retained
15 jobs
Other: 60 Other
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
19 Goal Descriptions
1 Goal Name Affordable Housing
Goal
Description
Goal A: Affordable Housing
Needs Addressed
Assist in the creation, improvement, and preservation of affordable housing for lower-income and special needs households by supporting affordable rental housing, providing the Home Improvement Program, and promoting fair housing choice.
Geographic Area
Affordable housing assistance is provided throughout the City, in order to avoid concentration of poverty, and to ensure fair access to affordable housing, rehabilitation assistance, and homeownership opportunities in all neighborhoods.
Goal Outcome Indicator
1. Home:
• CHDO Set-aside:(statutory requirement, project site TBD)
2. CDBG:
• Home Improvement Program: 40 Units
• Fair Housing Services: 25 Households
• Major Rehabilitation Program (RLF): 2 units
2 Goal Name Alleviation of Homelessness
Goal
Description
Goal B: Alleviation of Homelessness
Needs Addressed
Help people who are currently homeless or at imminent risk of homelessness to obtain housing, employment or other sources of income, and adequate support services/networks to achieve stability.
Geographic Area
City-wide
Goal Outcome Indicator
• Assist 40 households through the Tenant Based Rental Assistance program 3 Goal Name Other Community Development Efforts
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
20 Goal
Description
Goal C: Other Community Development Efforts
Needs Addressed
1. Address the needs of very low, extremely low, and/or special needs households (seniors, disabled, unhoused, children, youth, victims of domestic violence, etc.) through services and assistance with food, counseling, and foster youth support.
Geographic Area
City-wide
Goal Outcome Indicator(s)
1. Assist about 500 Households with human services.
4 Goal Name Expand Economic Opportunities
Goal
Description
Goal D: Expand Economic Opportunities
Support economic development activities that promote employment growth and help lower-income and/or homeless people secure and maintain jobs.
Geographic Area
City-wide
Goal:
60 Households assisted annually
Job Placements: Assist 15 clients to obtain jobs.
Job skills/classes: Assist 60 homeless clients with job training/skills and classes to enable them to obtain or improve their employment and housing opportunities.
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
21 AP-35 Projects – 91.220(d)
Introduction
The activities that the City will undertake in FY 2024/25 using CDBG and HOME funds include: human services grants; rental housing rehabilitation and energy efficiency; employment development services for homeless and at-risk clients; access improvements, fair housing services, and program administration, as shown below. All of these activities are eligible for the indicated funding type based on federal regulations associated with these grants, and all of them meet one or more priority needs as identified through the City’s citizen participation process.
Projects
Table 8 - Project Information
# Project Name
1 CDBG Administration and Monitoring
2 Minor Home Improvement Grants/Loans (Home Improvement Program) 3 WorkFirst Sunnyvale CBDO Activity
4 Public Services [5 projects]
5 Fair Housing Services
6 Major Rehabilitation Program (RLF)
7 Home Administration and Monitoring
8 CHDO Set-Aside
9 TBRA
Describe the reasons for allocation priorities and any obstacles to addressing underserved needs:
Funding Priorities
T
he projects listed above were selected based on the needs identified in the Consolidated Plan, and in response to the proposals for funding received, and an evaluation of project feasibility.
E
ach year the City solicits proposals from local organizations for CDBG and HOME funding for eligible housing and community development programs or projects in Sunnyvale. The Request for Proposals sets forth the types of public services (human services) programs, capital and housing projects that are eligible for CDBG or HOME funding from the City and explains the City’s process for evaluating and scoring proposals, determining award amounts, and approving awards. The City provides human services grants for public services which address identified priority needs and principally benefit lower-income people in Sunnyvale.
A
pplications for the human services grants are solicited every other year, following hearings held by the Housing and Human Services Commission (HHSC) and Council to determine the City’s current “priority Attachment 2
Sunnyvale Draft Annual Action Plan
2024
22 human service needs.” The “Priority Needs” for the City of Sunnyvale's Community Development Block
Grant Program were determined through a series of community meetings held between April 2019 and January 2020 and were adopted as part of the 2020-2025 Consolidated Plan in accordance with regulations established by HUD.
FY 2024/25 will be the second year of a two year funding cycle for human services grantees who will have their contracts automatically renewed, adjusted for any variation of funding received.
Obstacles to Meeting Underserved Needs
In the past several years, the primary obstacle to meeting underserved local needs in the near term has been the significant delays and continued uncertainty regarding federal appropriations for the CDBG and HOME programs, and other HUD funded programs such as Section 8, as well as changes to the LIHTC created by the recent federal tax reform bill. The region also continues to struggle finding a qualified CHDO to allocate funds toward.
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
23 AP-38 Project Summary
1 Project Name CDBG Administration and Monitoring
Target Area Citywide
Goals Supported Affordable Housing
Needs Addressed N/A
Funding CDBG: $200,000
Description Program administration for CDBG Program activities.
Target Date 6/30/2025
Estimate the number
and type of families
that will benefit from
the proposed activities
N/A.
Location Description Citywide
2 Project Name Minor Home Improvement Grants/Loans (Home Improvement Program) Target Area Citywide
Goals Supported Affordable Housing
Needs Addressed Affordable Housing
Funding CDBG: $250,000
Description Minor Improvement Grants/Loans
Target Date 6/30/2025
Estimate the number
and type of families
that will benefit from
the proposed activities
Assist at least 40 households with minor home improvement grants or loans.
Location Description Citywide
Planned Activities The Home Improvement Program provides small grants and loans for minor improvements, such as: energy efficiency upgrades, exterior painting, emergency repairs and accessibility improvements. Homes must be owned and occupied by a lower-income household to be eligible for this program.
3 Project Name WorkFirst Sunnyvale CBDO Economic Development Activity Target Area Citywide
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
24 Goals Supported Expand Economic Opportunities
Needs Addressed Economic Opportunities for Lower Income People Funding CDBG: $511,811
Description Economic Development/CDBO Activity
Target Date 6/30/2025
Estimate the number
and type of families
that will benefit from
the proposed activities
Assist 60 homeless clients with job training and job-placement services, to enable them to obtain or improve their employment and housing opportunities.
Location Description Citywide
Planned Activities This program provides work-readiness training, job placement assistance, and supportive services for homeless and at- risk clients. This program is administered by a valid Community Based Development Organization, as determined by HUD.
4 Project Name Public Services
Target Area Citywide
Goals Supported Other Community Development Efforts
Needs Addressed Public Services or Facilities
Funding CDBG: $150,000
Description Human Services Grants to non-profit agencies Target Date 6/30/2025
Estimate the number
and type of families
that will benefit from
the proposed activities
Assist approximately 500 households with human services through 5 separate non-profit programs that offer food, counseling, and foster youth support.
Location Description Citywide
Planned Activities Assist clients with basic needs, such as food, shelter, transportation, health & mental health care, employment assistance/training, legal aid, etc.
5 Project Name Fair Housing Services
Target Area Citywide
Goals Supported Other Community Development Efforts
Needs Addressed Public Services or Facilities
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
25 Funding CDBG: $25,000
Description Provide fair housing services (utilizing administrative funds) to low- income residents of Sunnyvale.
Target Date 6/30/2025
Estimate the number
and type of families
that will benefit from
the proposed activities
25 low-income households of Sunnyvale will benefit from this proposed activity.
Location Description Citywide
Planned Activities Provide fair housing services to low-income households. 6 Project Name Major Rehabilitation Program (RLF)
Target Area Citywide
Goals Supported Affordable Housing
Needs Addressed Affordable Housing
Funding CDBG PI: $150,000 CDBG Entitlement: $99,986
Description This Activity is designed to support low-income homeowners, many who are seniors, who need major rehabilitation performed on their residence – both single-family and mobile homes. The PI funds will support administration of the program; the entitlement funds will support approximately 2 households with major home repairs.
Target Date 6/30/2025
Estimate the number
and type of families
that will benefit from
the proposed activities
Approximately 2 households will benefit from this program Location Description Citywide
Planned Activities To issue grants or loans to qualifying single-family or mobile-homeowners, many seniors, who need major rehabilitation performed on their home for habitability purposes; pay for city program staff who administers the Major Rehab Program.
7 Project Name Home Administration and Monitoring
Target Area Citywide
Goals Supported Affordable Housing
Needs Addressed Affordable Housing
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
26 Funding HOME: $45,000
Description Administration of HOME Activities: Planning and Monitoring (Includes authorized program income (PA)
Target Date 6/30/2025
Estimate the number
and type of families
that will benefit from
the proposed activities
N/A
Location Description Citywide
Planned Activities Funds are used for administering the HOME program, includes costs of HOME capital project management, tracking grant funds and program income, subrecipient monitoring, reporting, and compliance with federal requirements such as environmental, labor, and anti-discrimination.
Indirect costs (overhead) are also included in program administration. 8 Project Name CHDO Set-Aside
Target Area Countywide
Goals Supported Affordable Housing
Needs Addressed Affordable Housing
Funding HOME: $67,500
Description To provide funding to a qualified Sunnyvale CHDO with a project site Target Date 6/30/2025
Estimate the number
and type of families
that will benefit from
the proposed activities
N/A- No CHDO application was received for 2024 funds.
Location Description TBD
Planned Activities Identify eligible Sunnyvale CHDO with a project site. 9 Project Name Tenant Based Rental Assistance (TBRA)
Target Area Countywide
Goals Supported Affordable Housing
Needs Addressed Affordable Housing
Funding HOME: $2,000,000
Description Rental assistance for households who are unhoused or at risk of homelessness.
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
27 Target Date 06/30/2025
Estimate the number
and type of families
that will benefit from
the proposed activities
45 Location Description Santa Clara County
Planned Activities To provide rental assistance and ongoing case management and employment assistance to households who are unhoused or at risk of homelessness.
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
28 AP-50 Geographic Distribution – 91.220(f)
Description of the geographic areas of the entitlement (including areas of low-income and minority concentration) where assistance will be directed:
Investments will be allocated citywide for affordable housing services and related capital projects, homeless services, fair housing, and public services.
Geographic Distribution
Table 5 - Geographic Distribution
Target Area Percentage of Funds
Citywide 100%
Rationale for the priorities for allocating investments geographically Most of the CDBG and/or HOME-funded programs and services are provided on a city-wide basis to income-eligible and/or special needs households. Certain capital projects are assisted at a specific site, based on the location of the project, but projects may be proposed in any area of the City. Projects that qualify for CDBG funding based on the area benefit method are limited to areas with the required proportion of lower- and moderate-income residents as determined by HUD.
H
uman services are supported in a number of facilities and locations throughout the City, and in some cases just outside the City, as long as Sunnyvale residents are being served by the program. Affordable housing assistance is generally provided anywhere in the City, as opportunities arise, in order to avoid concentration of poverty, and to ensure fair access to affordable rental housing, rehabilitation assistance, and homeownership opportunities in all neighborhoods. The City does not have any blighted areas requiring major redevelopment, and private development is occurring throughout the City.
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
29 Table 6 - One Year Goals for Affordable Housing by Support Requirement Table 7 - One Year Goals for Affordable Housing by Support Type AP-55 Affordable Housing – 91.220(g)
Introduction
The City’s housing programs are intended to prevent and/or end homelessness, improve the quality, affordability, and/or accessibility of housing, and preserve, maintain, and extend the useful life of existing affordable housing. The goals below include only the new CDBG and HOME activities to be funded in FY 2024/25. Other activities funded in prior years’ Action Plans through non-HUD programs, will continue to be funded using carry-over funds, and will assist additional households.
One Year Goals for the Number of Households to be Supported Homeless 40
Non-Homeless 42
Special-Needs 0
Total 82
One Year Goals for the Number of Households Supported
Rental Assistance 40
The Production of New Units 0
Rehab of Existing Units 42
Acquisition of Existing Units 0
Total 82
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
30 AP-60 Public Housing – 91.220(h)
Actions planned during the next year to address the needs to public housing Not applicable.
Actions to encourage public housing residents to become more involved in management and participate in homeownership
Not applicable.
If the PHA is designated as troubled, describe the manner in which financial assistance will be provided or other assistance
Not applicable.
Discussion
Needs of Public Housing
T
his section is not applicable as there is currently no official public housing in Sunnyvale. The City collaborates with the SCCHA on its efforts to provide Section 8 vouchers, mortgage credit certificates, supportive services and other assistance to Sunnyvale residents. The City also supports the HACSC in its efforts to increase federal appropriations for Section 8 and other affordable housing programs in Sunnyvale and in the County.
T
he City has partnered with the Housing Authority on several efforts in recent years, including a joint TBRA program for clients on the Section 8 waiting list, and several Sunnyvale housing projects which were awarded project-based vouchers, including Block 15, the Fair Oaks Senior Housing project, two senior group homes, Parkside Studios, Onizuka Apartments, and Edwina Benner Plaza.
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
31 AP-65 Homeless and Other Special Needs Activities – 91.220(i) Introduction
This Action Plan includes a planned allocation of $511,811 for a program that helps homeless people obtain jobs (WorkFirst Sunnyvale). WorkFirst Sunnyvale is an economic development activity facilitated by a valid Community Based Development Organization (CBDO), Sunnyvale Community Services (SCS). In 2021, HUD officially confirmed that SCS is a valid CBDO. The WorkFirst Sunnyvale program specifically serves the City’s unhoused population by recruiting them to become a “team-member;” team members receive job training and job seeking support services, coupled with wrap-around case management, as a holistic approach to serving the individual. The WorkFirst Sunnyvale program provides Job Squad workshops to team members and works to partner with local employers such as Streets Team Enterprises, who hires team members who have successfully completed the job training/workshop series and provides career paths into various industries coupled with ongoing support.
WorkFirst maintains a close relationship with the local shelter and service-providers, which is another source to recruit team members and create opportunities for work. There is also a link between the WorkFirst Sunnyvale and Tenant Based Rental Assistance program, as once Team Members are connected to the Workfirst Program and case management services, they are able to access housing opportunities such as the TBRA program, which has shown to be successful tool for getting these individuals housed. All services are voluntary and person centered.
In addition to funding various public services, several of which address homelessness and basic needs, the City continues to participate in the coordinated efforts to end homelessness throughout the County.
Since December 2020, the City approved about $40 million in funds to assist the development of Meridian, 1178 and 1171 Sonora Ct., and Orchard Gardens, which will increase the City’s affordable housing supply by about 500-units.
Describe the jurisdictions one-year goals and actions for reducing and ending homelessness including:
Reaching out to homeless persons (especially unsheltered persons) and assessing their individual needs
The WorkFirst Sunnyvale program includes outreach to unsheltered homeless clients and assessment of their needs. To assess the needs of each client – Downtown Streets Team (DST) and Sunnyvale Community Services (SCS) facilitate outreach at local encampments, and areas where individuals experiencing homelessness reside and/or congregate. If an individual is open to services and support – then DST and SCS will conduct the VI-SPDAT, which is the vulnerability assessment utilized by the County, and other jurisdictions. Once a client is assessed, then the team will create a plan of action based on the need of each individual.
Addressing the emergency shelter and transitional housing needs of homeless persons
Several of the public services sub-recipients (YWCA and Bill Wilson Center), provide emergency shelter, transitional Attachment 2
Sunnyvale Draft Annual Action Plan
2024
32 housing, and services to homeless clients and victims of domestic violence. In addition, the County funds a year-round shelter program facility in Sunnyvale with up to 145 beds that takes referrals and receives supportive services from a number of the City’s CDBG sub- recipients.
Helping homeless persons (especially chronically homeless individuals and families, families with children, veterans and their families, and unaccompanied 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
Several of the funded activities help homeless clients and families transition to permanent housing, including WorkFirst Sunnyvale and Sunnyvale Community Services. The total CDBG funding planned for these activities is about $511,811 in 2025.
Helping low-income individuals and families avoid becoming homeless, especially extremely low- income individuals and families and those who are: 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); or, receiving assistance from public or private agencies that address housing, health, social services, employment, education, or youth needs.
See discussion below.
Discussion
Several of the Human Services grants will support the provision of services intended to prevent homelessness of Sunnyvale residents including the grants to Sunnyvale Community Services, YWCA, and Bill Wilson Center, as well as the fair housing services provided by Project Sentinal, who offers eviction support and advocacy, and addresses discrimination practices that can lead to homelessness. In addition to CDBG funded activities, the City also provides assistance to other programs that aim to prevent homelessness using local funds, and previous year HOME funds. These include grants to Senior Adults Legal Services, funding for tenant-landlord mediation programs, and the TBRA program.
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
33 AP-75 Barriers to affordable housing – 91.220(j)
Actions it planned 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 affecting the return on residential investment.
The City does not impose any public policies that unreasonably constrain housing development. There are no growth limitations or rent control policies, and property tax policies are largely set by the State. The City’s land use designations and zoning are supportive of development of a wide variety of housing types, including single- and multi-family housing, ownership and rental, mobile homes, manufactured/modular housing, and so on. The City follows the State building code, and its fees and charges are reasonable and consistent with prevailing prices in the region. Since 2018, 6,327 new housing units were issued building permits, with 924 of those affordable to very low, low, or moderate income households.
In 2023, the City adopted its 2023-2031 Housing Element, which includes a Constraints Analysis, as required under California Housing Element law (Government Code 65580), to analyze city policies and land use regulations to determine if they had any negative effects on development. The State determined, with its certification in March 2024, that the City does not currently implement policies that create barriers to affordable housing. As noted above, thousands of new dwelling units of various types and price points have been developed and additional units renovated in recent years, in most cases without any direct assistance from the City. This demonstrates that the City’s policies do not unduly constrain residential development. In addition, the City has successfully assisted a number of affordable housing developments in recent years, which demonstrates that City policies do not have negative effects on assisted housing production. Non- governmental barriers, primarily market factors such as high land costs, construction costs, and high prevailing market prices for housing, have been the primary challenges facing jurisdictions in the region, including Sunnyvale, in recent years, not city land use policies. These barriers are addressed, within the City’s limited ability to address them, through the housing activities listed above and through the goals and policies listed in the Housing Element.
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
34 AP-85 Other Actions – 91.220(k)
Introduction:
This section discusses the City’s efforts in addressing the underserved needs, expanding and preserving affordable housing, reducing lead-based paint hazards, and developing institutional structure for delivering housing and community development activities.
Actions planned to address obstacles to meeting underserved needs The City has addressed obstacles to meeting underserved needs by adopting programs to generate local funds for affordable housing through impact fees or new development of affordable units (inclusionary zoning). The primary obstacle to meeting unmet needs is the continued decline in federal appropriations for affordable housing and community development programs. The City has established local policies to address needs to the extent possible with local resources.
Actions planned to foster and maintain affordable housing Please see AP-35 (i.e., Affordable Housing Rehabilitation, Fair Housing Services, and Home Improvement Program).
Actions planned to reduce lead-based paint hazards
The City provides financial assistance to income-eligible homeowners to abate lead-based paint hazards through its Home Improvement Program. Paint grants and loans, as well as housing rehabilitation loans, are provided, as well as free lead-based paint testing and education services. Lead-based paint hazards in rental housing can also be addressed through housing rehabilitation loans.
Actions planned to reduce the number of poverty-level families In 2014 the City adopted a new minimum wage ordinance increasing the local minimum wage, as of 2024 it is currently $18.55/hour. It will be adjusted annually thereafter by the CPI. This action alone will help many local low-wage workers increase their household incomes to above the federal poverty levels.
The
North Valley Workforce and Investment Board (“NOVA”) helps prepare lower-income and unemployed residents of Sunnyvale for career growth and stable employment. NOVA provides employment and training services to low-income workers and dislocated professionals within Sunnyvale and the surrounding region under the federal Workforce Investment Act (WIA), with a goal of helping these clients obtain jobs and improve career prospects. In addition, many of the human services supported by the City help impoverished families meet their basic needs in the short term, or help them achieve living-wage employment.
T
he WorkFirst Sunnyvale Program is also a major anti-poverty program that helps Sunnyvale residents Attachment 2
Sunnyvale Draft Annual Action Plan
2024
35 who are currently homeless or at imminent risk of homelessness increase their incomes through job training and placement, and other employment-supportive services.
Actions planned to develop institutional structure
The institutional structure for carrying out the City’s housing and community development activities consists of the City’s cooperative relationships within its departments and other government agencies, local residents, non-profit organizations, and other institutions involved in the activities described herein.
Actions planned to enhance coordination between public and private housing and social service agencies
The City and other community development organizations in the County coordinate frequently on a variety of initiatives. The City Housing Division staff participates in a collaborative of HUD entitlement grantees within the County, which holds quarterly meetings to discuss activities, technical assistance issues, and identify future opportunities for coordination and cooperation between local governments, housing providers, social service agencies, and the Housing Authority.
The City also participates in the County’s Continuum of Care (CoC), comprised of governmental agencies, homeless service and shelter providers, homeless persons, housing advocates, affordable housing developers, and various private parties, including businesses and foundations. The CoC prepares the Countywide Homelessness Continuum of Care Plan, which seeks to create a comprehensive and coordinated system of affordable housing and supportive services for the prevention, reduction, and eventual end of homelessness. The Plan provides a common guide for the County, cities, service providers, the faith community, the business sector, philanthropy, and the broader community to follow in addressing local housing and the goals and services needs for homeless people. The actions included in this Plan to address housing needs and homelessness are consistent with the CoC’s plans and policies.
The City’s Housing Officer has served on the CoC’s “Review and Rank” panel, evaluating and scoring applications for CoC funding, for the past three years.
Sunnyvale also coordinates with other regional agencies, such as the Housing Trust of Silicon Valley, Joint Venture Silicon Valley, NOVA, the County-wide Fair Housing Task Force, and the Valley Transportation Authority, and a number of other non-profit or public agencies, to achieve the goals described within this Action Plan.
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
36 AP-90 Program Specific Requirements – 91.220(l)(1,2,4) Introduction:
Overall Benefit: FY 2024-2025
Community Development Block Grant Program (CDBG)
Reference 24 CFR 91.220(l)(1)
Projects planned with all CDBG funds expected to be available during the year are identified in the Projects Table. The following identifies program income that is available for use that is included in projects to be carried out.
1. The total ESTIMATED amount of program income that will have been received before the start of the next program year and that has not yet been reprogrammed 150,000
2. The amount of proceeds from section 108 loan guarantees that will be used during the year to address the priority needs and specific objectives identified in the grantee's strategic plan.
0 3. The amount of surplus funds from urban renewal settlements 0
4. The amount of any grant funds returned to the line of credit for which the planned use has not been included in a prior statement or plan
0 5. The amount of income from float-funded activities 0 Total Program Income: 150,000
Other CDBG Requirements
1. The amount of urgent need activities 0
2. The estimated percentage of CDBG funds that will be used for activities that benefit persons of low and moderate income in FY 2024/25.
Overall Benefit - A consecutive period of one, two or three years may be used to determine that a minimum overall benefit of 70% of CDBG funds is used to benefit persons of low and moderate income. Specify the years covered that include this Annual Action Plan.
90.00%
H
OME Investment Partnership Program (HOME)
Reference 24 CFR 91.220(l)(2)
1. A description of other forms of investment being used beyond those identified in Section 92.205 is as follows: N/A
2. A description of the guidelines that will be used for resale or recapture of HOME funds when used for homebuyer activities as required in 92.254, is as follows:
No
t applicable: The City has not allocated any HOME funds for homebuyer program activities since 2014. The City does not plan to fund any home buyer loans with HOME funds for the foreseeable Attachment 2
Sunnyvale Draft Annual Action Plan
2024
37 future, since market-rate home prices in the City are far too high for such a program to be feasible, and the City has enough local (non-federal) Housing funds to meet demand for down payment assistance loans related to its inclusionary housing program.
For several years prior to 2014, the City allocated HOME funds for a First-Time Home Buyer (FTHB) Program, but only a very small number of HOME loans were made, and those were used to buy price- restricted affordable homes through the City’s inclusionary home buyer program. These homes are subject to a thirty-year resale restriction. Currently there are four outstanding FTHB loans made with HOME funds at that time. These four loans are subject to the “resale” restriction rather than the “recapture” provision, consistent with the City’s First Time Home Buyer Program guidelines, and the inclusionary program’s resale restrictions. These restrictions are also included in the HOME loan documents and affordability covenants recorded against the home. The FTHB Program Guidelines, available online, and the provisions of the City’s HOME Promissory Note and Loan Agreement comply with the resale provisions and requirements set forth in 24 CFR 92.254, and were approved by HUD in 2011. For the four participants who purchased inclusionary homes, the “resale option” was used to meet HOME program requirements. Although the market-rate home purchase option was made available for the several years during which the HOME FTHB program operated, and during that time the City had loan documents and guidelines available to impose the “recapture” provisions, the City never made any HOME loans to assist with purchase of market-rate homes, as none ever progressed to an escrow closing. The City does not plan to allocate HOME funds to home buyer activities in the future because the unpredictability of such transactions occurring in any given year does not mesh well with the expenditure deadlines imposed by the HOME regulations, and because there is no inventory of market-rate homes affordable to lower-income buyers.
3. A description of the guidelines for resale or recapture that ensures the affordability of units acquired with HOME funds? See 24 CFR 92.254(a)(4) are as follows:
Please s ee above. The City’s FTHB program has not been funded with HOME funds since 2014 and the City does not intend to fund such activities in the future. The four outstanding HOME-funded FTHB loans made before 2014 used the resale method, which is a 30-year price restriction imposed through the City’s inclusionary housing program (a.k.a. Below Market Rate Home Ownership Program, Sunnyvale Municipal Code 19.67) documents and is also included in the FTHB loan documents. For more information about the FTHB guidelines and the BMR Program, please see the information on the City’s
website: h ttps://sun nyvale.ca.gov/civicax/filebank/blobdload.aspx?BlobID=22887 [note that Guidelines still reference HOME funds as a possible funding source, although the City is no longer Attachment 2
Sunnyvale Draft Annual Action Plan
2024
38 allocating HOME funds to this program.
Chapter 19.67 of Sunnyvale Municipal Code:
http://qcode.us/codes/sunnyvale/view.php?topic=19-5-19_67-19_67_070&frames=off
4. Plans for using HOME funds to refinance existing debt secured by multifamily housing that is rehabilitated with HOME funds along with a description of the refinancing guidelines required that will be used under 24 CFR 92.206(b), are as follows:
Not Applicable. The City has not and does not plan to use HOME funds to refinance existing debt o n multi-family housing.
The City does not use any of the methods addressed in Questions 1-4 above in administering its HOME programs.
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
39 Attachments
Attachment 2
Sunnyvale Draft Annual Action Plan
2024
40 Proof of Publication and Citizen Participation Comment Attachment 2
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Railroad
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HOMESTEAD
Schools
Schools
Park Facilities
Park Facilities
Type
City Facility
Income_Eligible_Areas
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!( Rental
■ Affordable Housing Projects
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FREMONT
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SUNNYVALE SARATOGA
WOLFE
LAWRENCE
BOWERS
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Attachment 2