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Time Set # 20.
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| Board of Supervisors |
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| Subject |
| Hold public hearing and adopt resolution approving updates to the Community Development Block Grant Housing Rehabilitation Program Guidelines. (No general fund impact) (Nunes) |
| Recommended Action |
| Hold public hearing and adopt resolution approving updates to the Community Development Block Grant Housing Rehabilitation Program Guidelines which are a required component of the funding from the California Department of Housing and Community Development. |
| Strategic Plan Goal(s) |
| Thriving Residents |
| Reason for Recommended Action/Background |
The County has received past awards through the California Department of Housing and Community Development (HCD) Community Development Block Grant (CDBG) Program to expand the supply of decent, safe, sanitary, and affordable housing, correct health and safety hazards in deteriorated housing, and extend the useful life of existing housing units.
Through this program, loans and grants are available to achieve cost-effective repairs for low-income owner-occupied homes or for units occupied by low income tenants of owner-investors within the unincorporated area of Yolo County. The County Administrator’s Office (CAO) manages the awards and program income (received through paid loans) from the state and acts as a lender to qualified households.
HCD requires counties to update their Housing Rehabilitation Program Guidelines as necessary, as rules and regulations change. Program guidelines are a required component of funding from HCD. HCD also requires a resolution from the local governing board adopting the updated program guidelines.
The County’s Housing Program Guidelines were last updated in August 2017. The updated guidelines reflected needs and flexibility in the program regarding terms, interest rates, and rules from grants. In addition, a currently awarded project (Westucky Water & Sewer Improvement and Connection Project) is required to adhere to the County’s Housing Program Guidelines in order to remain qualified to use grant funds for water and sewer connections to the residential properties and to complete the project work as planned. Through the course of receiving construction bids and City connections fee schedules for this project, it has become clear that the 2017 Guidelines do not reflect the rehabilitation costs of the current construction market. This proposed amendment also updates the requirements for income qualifications and maximum rent rates to current federal Department of Housing and Urban Development (HUD) guidelines, which are used in this program. Some paragraphs were moved to different sections of the Guidelines for better consistency.
Staff is recommending amending the grant amounts for qualifying factors from $15,000 to $20,000 and for emergency health and safety grants from $35,000 to $40,000 to reflect current market costs. No recommendations are being made for loans at this time, as it currently states “90% of the property after-rehabilitated value”. Recommendations are based on bids received in the Westucky development, as well as on actual costs being paid Yolo County Housing for similar work within their existing portfolio for individual building components.
The updated guidelines are included in Attachment A (a redline version is attachment B for ease of reviewing recommended changes). A resolution for approving the updated Guidelines is included in Attachment C. |
| Collaborations (including Board advisory groups and external partner agencies) |
| Yolo County Housing, California Department of Housing and Community Development |
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