To: Board of Supervisors
From: John Kopchik, Director, Conservation and Development
Report Title: RESCIND Resolution 2025-289 and ADOPT Resolution ___, authorizing the Department of Conservation and Development Director to approve amending the 5-Year Permanent Local Housing Allocation Plan to comply with new State requirements related to affordable owner-occupied workforce housing (100% State Funds).
Recommendation: Recommendation of the County Administrator
RECOMMENDATIONS:
RESCIND Resolution 2025-289 and ADOPT a resolution authorizing the Department of Conservation and Development Director to approve amending the 5-Year Plan for the Permanent Local Housing Allocation (PLHA).
FISCAL IMPACT:
100% State funds. The PLHA funds are granted through the State of California via a formula. The County applied to receive its formula share to distribute to eligible projects or activities. Up to 5% of the PLHA grant is allowed for the County’s administrative costs.
BACKGROUND:
On September 9, 2025, the Board adopted Resolution No. 2025-289, authorizing the Department of Conservation and Development (DCD), on behalf of the County, to amend the PLHA Five-Year Plan to comply with new State requirements.
On July 13, 2026, DCD submitted the amendment to the PLHA Five-Year Plan to the State’s Housing and Community Development Department (CA HCD).
Resolution 2025-289 indicated a five-year estimated amount for the County’s PLHA funds in an amount of $13,061,028; however, CA HCD staff recently informed County DCD staff that $13,021,068 is the correct amount. CA HCD indicated to DCD staff that a new resolution would be necessary to indicate the correct amount. Therefore, this new Board resolution, replacing Resolution 2025-289, indicates the correct 5-year PLHA amount for the County.
CONSEQUENCE OF NEGATIVE ACTION:
Failure to adopt this resolution would prevent the acceptance of the amended Five-Year PLHA Plan, which could subsequently result in the loss of millions of dollars in State funding that would otherwise support the development of affordable housing for low-income households in the County.
THE BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY, CALIFORNIA
and for Special Districts, Agencies and Authorities Governed by the Board
body
IN THE MATTER OF AUTHORIZING THE APPLICATION AND AMENDING THE PLHA PLAN FOR THE PERMANENT LOCAL HOUSING ALLOCATION PROGRAM
A. WHEREAS, the State of California (the “State”), Department of Housing and Community Development (“Department”) is authorized to provide up to $296 million under SB2 Permanent Local Housing Allocation Program Formula Component from the Building Homes and Jobs Trust Fund for assistance to Cities and Counties (as described in Health and Safety Code Section 50470 et seq., Chapter 364, Statutes of 2017 (SB2)).
B. WHEREAS, the Department issued a Notice of Funding Availability (“NOFA”) dated 10/15/2024 under the Permanent Local Housing Allocation (PLHA) Program;
C. WHEREAS, Contra Costa County is an eligible Local government that has applied for program funds to administer one or more eligible activities.
D. WHEREAS, the Department may approve funding allocations for the PLHA Program, subject to the terms and conditions of the Guidelines, NOFA, Program requirements, the Standard Agreement, and other contracts between the Department and the PLHA grant recipients;
NOW, THEREFORE, BE IT RESOLVED THAT:
1. If Applicant receives a grant of PLHA funds from the Department pursuant to the above-referenced PLHA NOFA, it represents and certifies that it will use all such funds in a manner consistent and in compliance with all applicable state and federal statutes, rules, regulations, and laws, including without limitation all rules and laws regarding the PLHA program, as well as any and all contracts Applicant may have with the Department.
2. Applicant is hereby authorized and directed to receive a PLHA grant, in an amount not to exceed the five-year estimate of the PLHA formula allocations, as stated in Appendix B of the current NOFA, to be $13,021,068, in accordance with all applicable rules and laws.
3. Applicant hereby agrees to use the PLHA funds for eligible activities as approved by the Department and in accordance with all Program requirements. Guidelines, other rules, and laws, as well as in a manner consistent and in compliance with the Standard Agreement and other contracts between the Applicant and the Department.
4. Pursuant to Sections 302(c)(4) and 302 (c)(5) of the Guidelines, Applicant PLHA Plan Amendment for the 2020-2023 Allocations is attached to this resolution, and Applicant hereby adopts this PLHA Plan Amendment and certifies compliance with all public office, public comment, and public hearing requirements in accordance with the Guidelines.
5. Pursuant to Applicant’s certification in this resolution, the PLHA funds will be expended only for eligible Activities and consistent with all program requirements.
6. Applicant certifies that if funds are used for the acquisition, construction, and rehabilitation of for-sale housing projects or units within for-sale housing projects, the grantee shall record a deed restriction against the property that will ensure compliance with one of the requirements stated in Guidelines Section 302(c)(6)(A), (B), and (C).
7. Applicant certifies that if funds are used for the development of Affordable Rental Housing Development, the Local government shall make the PLHA assistance in the form of a low-interest, deferred loan to the Sponsor of each Project. Such a loan shall be evidenced through a Promissory Note secured by a Deed of Trust. A Regulatory Agreement shall restrict occupancy and rents in accordance with a Local Government-approved underwriting of the Project for a term of at least 55 years.
8. Applicant shall be subject to the terms and conditions as specified in the Standard Agreement, the PLHA Program Guidelines, and any other applicable SB2 Guidelines published by the Department.
9. Director of the Department of Conservation and Development, John Kopchik, or his designee, is/are authorized to execute the PLHA Program Application, the PLHA Standard Agreement, and any subsequent amendments or modifications thereto, as well as any other documents which are related to the Program or the PLHA grant awarded to the Applicant, as the Department may deem appropriate.
en