To: Board of Supervisors
From: John Kopchik, Director, Conservation and Development
Report Title: Amended HOME-ARP Allocation Plan - Amendment to the County's FY 2021/22 Action Plan
?Recommendation of the County Administrator ? Recommendation of Board Committee
RECOMMENDATIONS:
1. APPROVE amending the HOME Investment Partnership - American Rescue Plan (HOME-ARP) Allocation Plan as a Non-Substantial Amendment to the FY 2021/22 Annual Action Plan to add $18,115 in HOME-ARP funds for a new revised HOME-ARP Award of $12,108,330.
2. APPROVE an additional allocation of $18,115 in HOME-ARP funds to the Riveter-Supportive Housing project located at 100 38th Street in Richmond.
FISCAL IMPACT:
There is no general fund impact. All funds are provided to Contra Costa County on a formula basis through the U.S. Department of Housing and Urban Development. CFDA: 14.239 (HOME-ARP).
BACKGROUND:
The American Rescue Plan Act of 2021 appropriated $5 billion to assist individuals or households who are homeless, at risk of homelessness, and other vulnerable populations, by providing rental housing, rental assistance, supportive services, and non-congregate shelter, to reduce homelessness and increase housing stability. The funds were allocated by HUD on a formula basis to jurisdictions that qualified for funding through the HOME Investment Partnership Program (HOME Program). HOME-ARP is a special one-time funding program.
In September 2021, HUD awarded the Contra Costa County HOME Consortium (which consists of Contra Costa County and the Cities of Antioch, Concord, Pittsburg, and Walnut Creek) $12,090,215 in HOME-ARP funds. As required by HUD, the Board of Supervisors approved the HOME-ARP Allocation Plan on October 11, 2022, allowing the County to utilize the HOME-ARP funds to acquire, develop, rehabilitate, or preserve affordable rental housing and/or permanent supportive rental housing units to serve HOME-ARP Qualifying Populations.
HOME-ARP funds must primarily benefit individuals and households in one of the following Qualifying Populations:
* Experiencing homelessness (as defined in 24 CFR 91.5 "Homeless" (1), (2), or (3))
* At risk of homelessness (as defined in 24 CFR 91.5 "At Risk of Homelessness")
* Fleeing domestic violence, dating violence, sexual assault, stalking, or human trafficking (as defined in 24 CFR 5.2003)
* Other populations with a high risk of housing instability (including highly cost-burdened low-income households, households who had moved two or more times in the last 60 days, and households living in a hotel/motel)
Reason for Amendment to HOME-ARP Allocation Plan
On April 30, 2025, HUD notified the County they had discovered an administrative error in the allocation of the HOME-ARP funds. This error resulted in the County inadvertently being allocated less HOME-ARP funds than it was legally entitled to receive.
Original HOME-ARP Award
Additional Allocation Amount
Revised HOME-ARP Award
$12,090,215.00
$18,115.00
$12,108,330.00
As approved by the Board on October 11, 2022, the HOME-ARP funds are to be used to acquire, develop, rehabilitate, or preserve affordable rental housing and/or permanent supportive housing units to serve HOME-ARP Qualifying Populations and for the administration of the program. With the additional HOME-ARP funds, the Department of Conservation and Development (DCD) recommends the following amendments to the use of HOME-ARP funding:
HOME-ARP Activity
Original Allocation
Amended Allocation
Development of Affordable Rental Housing
$10,276,683
$10,294,798
Administration and Planning
$1,813,532
$1,813,532
Total HOME-ARP Allocation
$12,090,215
$12,108,330
The Riveter - Supportive, Richmond
On June 24, 2025, the Board approved the recapture of $2,550,000 in HOME-ARP funds from the Bella Vista Apartments project in Bay Point and approved the reallocation of $2,550,000 in HOME-ARP funds to the Riveter-Supportive project located at 100 38th Street in the City of Richmond. The Riveter-Supportive project is an adaptive reuse and acquisition project comprising of 58 affordable permanent supportive housing rental units. The project's primary objective is to house individuals at the lowest income levels who need additional supportive services not offered in traditional affordable housing developments. The project is still in the process in completing the remaining financing for the project; therefore the project has not started construction.
Revised HOME-ARP Funding Recommendations: Additional award of $18,115 to The Riveter
The HOME-ARP regulations require the HOME-ARP grant to the County be fully expended and closed out by September 30, 2030. New construction rental housing projects typically require 18 months to two years to complete construction plus an additional 3-6 months to lease up and fully occupy. The Riveter-Supportive project proposes to apply for 4 percent tax credits and tax-exempt bonds in September 2025. Of the previously-funded HOME-ARP Development projects, the Riveter-Supportive project is best suited to receive the additional allocation because it is not yet in construction but construction is anticipated to start soon. DCD staff recommends allocating the additional $18,115 in HOME-ARP funds to The Riveter-Supportive project for a revised total allocation of HOME-ARP funds of $2,568,115.
CONSEQUENCE OF NEGATIVE ACTION:
A delay in approving the Amended HOME-ARP Allocation Plan may jeopardize the County in receiving the revised award of HOME-ARP funds from HUD.