More updates on Senate Bill 2 (SB2) – the first senate bill of its kind to establish a permanent funding source for affordable housing! Some of the main purposes of SB2 include accelerating housing production; streamlining the approval of housing development affordable to owner and renter households at all income levels; facilitating housing affordability for lower- and moderate-income households; and promoting projects and programs to meet the local government’s unmet share of regional housing needs allocation.
California requires all local governments effectively plan to meet the housing needs of everyone in the community. This fact coupled with some of the more distressing numbers that have come out on the number of affordable housing units needed in California counties, helps emphasize the value in SB2 funding. Year 1 and Year 2 funding could prove to be very helpful in helping to close the gap on the current housing numbers and the number needed in your jurisdiction.
With the deadline to apply for the Year 1 Planning Grants rapidly approaching, here are a few key dates and aspects you need to know:
Key Dates – During September 2019, HCD is anticipating releasing the NOFA for Year 2, Permanent Local Housing Allocation for entitlement jurisdictions. With this, local governments that received an entitlement allocation per the 2017 Federal Community Development Block Grant (CDBG) formula will be able to see what the eligible award amount will be for their jurisdiction and apply for funding. November 30, 2019 is the application deadline for Year 1, Planning & Technical Grants.
No income restrictions – More often than not, a lot of programs set income thresholds and aim to provide funding for housing needs addressing lower income households below 80% of the AMI. SB2 Year 2 funding provides funding for both lower and moderate income (80% to 120% AMI) households.
Plan ahead – Part of the application process for Year 2, Permanent Local Housing Allocation, requires that jurisdictions submit a plan detailing how the funds will be used for eligible activities. Applicants should keep this requirement in mind when planning to apply for funding.
To help local jurisdictions understand and navigate SB2, RSG has created a summary table to help identify key elements jurisdictions will need to keep in mind when deciding to apply for Year 1, Year 2 or both year’s funding programs. And as always, we’re here to help! If you have any questions regarding SB2 and how it might help your jurisdiction, please feel free to reach out to Irlanda Martinez, Analyst, at email@example.com.