Title
Adopt a Resolution to:
a. Amend the County Administrative Office Fiscal Year 2025-26 Adopted Budget 001-1050-8598-CAO004 to increase appropriations and estimated revenues by $2,779,696 to fund interim sheltering, permanent supportive housing, and rapid rehousing programs, financed by grant revenues from the California Department of Housing and Community Development (4/5th vote required); and
b. Authorize and direct the Auditor Controller to incorporate the changes in the Fiscal Year 2025-26 County Administrative Office’s Homelessness Strategies and Initiatives Division Adopted Budget 001-1050-8598-CAO004 (4/5ths vote required).
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors Adopt a Resolution to:
a. Amend the County Administrative Office Fiscal Year 2025-26 Adopted Budget 001-1050-8598-CAO004 to increase appropriations and estimated revenues by $2,779,696 to fund interim sheltering, permanent supportive housing, and rapid rehousing programs, financed by grant revenues from the California Department of Housing and Community Development (4/5th vote required); and
b. Authorize and direct the Auditor Controller to incorporate the changes in the Fiscal Year 2025-26 County Administrative Office’s Homelessness Strategies and Initiatives Division Adopted Budget 001-1050-8598-CAO004 (4/5ths vote required).
SUMMARY/DISCUSSION:
The County of Monterey Administrative Office’s Homelessness Strategies and Initiatives Division (CAO-HSI) requests approval to increase appropriations in Fund 001 in the Fiscal Year Adopted
Budget 2025-26 in the amount of $2,779,696 to fund interim sheltering, permanent supportive housing, and rapid rehousing programs. This increase is fully funded by the Homeless Housing, Assistance and Prevention Program Round Six (HHAP-6) grant awarded to CAO-HSI on February 23, 2026.
On August 26, 2025, the Board of Supervisors approved CAO-HSI’s submission of an HHAP-6 grant application in partnership with the Coalition of Homeless Services Providers (Continuum of Care) and the County of San Benito (collectively, the Monterey and San Benito Regional Partners). The Board also approved a Memorandum of Understanding (MOU) establishing a collaborative framework for implementation of the HHAP-6 program. The MOU term extends through June 30, 2029, consistent with the grant period (Attachments A-C).
On August 29, 2025, the Regional Partners submitted a joint application totaling $7,213,890.40. The CAO-HSI HHAP-6 allocation is in the amount of $2,779,696, as confirmed in an award letter issued by the California Department of Housing and Community Development on February 23, 2026. (Attachment D).
Upon execution of the pending State grant agreement, the CAO-HSI intends to enter into agreements or amendments with local services providers to support operation subsidies for our local shelter and navigation centers, support services coordination, rapid rehousing, permanent supportive housing, and related supportive services. These programs are intended to assist individuals experiencing homelessness in our local communities and jurisdictions.
At the conclusion of the HHAP-6 grant period (June 30, 2029), the CAO-HSI will work with local service providers to identify sustainable funding sources, including potential Medi-Cal funding opportunities through California Advancing and Innovating Medi-Cal (CalAIM) to support these programs.
OTHER AGENCY INVOLVEMENT/COMMITTEE ACTIONS:
The CAO Budget Office has reviewed and concurs with these actions.
FINANCING:
This action does not impact the General Fund. The increase of appropriations by $2,779,696 to Budget Unit 001-1050-8598-CAO004 is fully financed by the HHAP-6 grant award that includes $2,585,117 for services and $194,579 in CAO-HSI Program administration fees. The HHAP-6 grant period spans FY 2025-26 through FY 2028-29 and expires on June 30, 2029.
BOARD OF SUPERVISORS STRATEGIC PLAN GOALS:
This initiative supports two of the County of Monterey’s Strategic Goals and Key Objectives by sustaining interim sheltering, permanent supportive housing, rapid rehousing, and services programs addressing homelessness.
Mark a check to the related Board of Supervisors Strategic Plan Goals:
_X_ Well-Being and Quality of Life
_X_ Sustainable Infrastructure for Present and Future
____ Safe Resilient Communities
____ Diverse and Thriving Economy
Link to the Strategic Plan:
<https://www.countyofmonterey.gov/home/showdocument?id=139569>
Prepared by: Sarah Federico, County Homeless Services MAII, ext. 5341
Reviewed by: Roxanne Wilson, County Homeless Services Director, ext. 5445
Approved by: Deborah Paolinelli, Assistant County Administrative Officer, ext. 5309
Attachments:
Attachment A - Draft Resolution
Attachment B - Completed Board Order Item No. 41
Attachment C - Completed Resolution RES 25-129
Attachment D - HHAP-6 MOU between Regional Partners
Attachment E - HHAP-6 Award Letter