TO: LINDA REICH, CITY MANAGER
FROM: WARREN MORELION, AICP, DIRECTOR OF DEVELOPMENT SERVICES
SUBJECT
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Acceptance of Permanent Local Housing Allocation (PLHA) Standard Agreement.
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RECOMMENDATION
1) Accept the State of California PLHA funding Standard Agreement; 2) establish a new Fund titled Acceptance of Permanent Local Housing Allocation (PLHA); 3) appropriate grant funds in the amount of $804,163; and 4) authorize the City Manager to execute all necessary documents on behalf of the City.
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FISCAL IMPACT
Requires the establishment of a PLHA Fund with corresponding grant expenditure and revenue project accounts including: 1) rental assistance in the amount of $321,665; 2) case management salaries in the amount of $160,833; 3) ownership down payment assistance in the amount of $321,665, for a total allocation in the amount of $804,163.
CITY OF CHINO MISSION / VISION / VALUES / STRATEGIC ISSUES
The recommendation detailed above furthers the City’s values and strategic issues that serve as key pillars on which identified priorities, goals, and action plans are built, by fostering:
• Financial Stability
• Public Service Excellence through Internal and External Partnerships
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BACKGROUND
On February 18, 2025, the City Council held a public hearing to receive input regarding the City’s Five-Year PLHA Plan and adopt Resolution No. 2025-004, authorizing the submittal of an application for funding under the State of California PLHA program. Upon adoption of the resolution, staff submitted the PLHA application for State review and consideration.
Following the State’s review and subsequent request for a minor revision to the adopted resolution, a letter of conditional award was received on July 1, 2025, and returned to California Department of Housing and Community Development (HCD) to initiate the creation of a standard agreement. On September 11, 2025, PLHA Standard Agreement # 24-PLHA-18630 was received by the City for acceptance of the PLHA funds.
ISSUES/ANALYSIS
Upon execution of the PLHA Standard Agreement, staff will begin implementing the programs outlined in the City’s Five-Year PLHA Plan, which revolve around two priorities. The first priority is to assist families with children enrolled in the Chino Valley Unified School District (CVUSD) that have been identified under the McKinney-Vento Homeless Assistance Act as families that are homeless or at-risk of becoming homeless. Assistance will consist of long-term rental assistance (6 months or more) and/or associated housing placement costs, coupled with comprehensive case management services aimed at preparing the families for unsubsidized housing. These support services will be provided by Community Services, Parks and Recreation Department case management staff in partnership with CVUSD support staff, and local non-profit organizations and public service agencies. An amount not to exceed $482,498 (60% of available funds) will be allocated to this priority.
The second priority, for which no less than $321,665 (40% of available funds) will be allocated as required by PLHA program requirements, is to provide 2-3 low-income homebuyers with affordable homeownership opportunities through down payment loan assistance programs. These opportunities will be provided through the development of affordable single-family homes on undeveloped and/or under-developed infill lots within the City in partnership with for-profit and/or non-profit affordable housing developers.
Both programs outlined above target those populations most in need in our community and are sustainable in the long-term through continued PLHA funding as well as City affordable housing funds should a gap in funding occur. These programs will enhance existing local housing and community services programs by expanding rental assistance and case management services, as well as offering homeownership opportunities that are not currently available. Attached is the PLHA Standard Agreement that outlines in detail to provisions of the agreement.
Attachment: PLHA Standard Agreement