Title
a. Consider a request from the City of Soledad to use Permanent Local Housing Allocation (PLHA) funds controlled by the County.
b. Support a recommendation to the Board of Supervisors.
Presenter: Darby Marshall, Housing Program Manager
Body
RECOMMENDATION:
It is recommended that the Health, Housing, Homelessness, and Human Services Committee:
a. Consider a request from the City of Soledad to use Permanent Local Housing Allocation (PLHA) funds controlled by the County.
b. Support a recommendation to the Board of Supervisors.
SUMMARY:
In 2019, the State of California created the Permanent Local Housing Allocation (PLHA) program. PLHA provides local jurisdictions with a source of locally controlled funding to support affordable housing projects. In 2024, the cities of Carmel-by-the-Sea, Greenfield, and Soledad delegated their PLHA allocations to the County. The City of Soledad is requesting that the County allow it to use approximately $1.68 million to purchase land within the City that will be developed with homes for sale to moderate-income households.
DISCUSSION:
The PLHA program was created by the state to provide a revenue source to replace the Redevelopment Low-Moderate Housing Trust Funds. The PLHA is funded by a documentary transfer tax on certain real estate transactions. During the first 5-year PLHA planning cycle the County was expected to receive as much as $3,890,280. In 2024, as first year PLHA funds were subject to recapture, the cities of Carmel-by-the-Sea, Greenfield, and Soledad delegated their awards to the County. This increased the County’s PLHA five year estimated revenue to $5,631,969.
PLHA enabling legislation includes ten eligible activities that the funds may be used allocated to. PLHA requires that 20% of the funds statewide be used for affordable workforce housing (AOWH) projects. The County has used or allocated PLHA funding to Affordable Multifamily Rental Housing, Homeless Assistance, Homeownership Opportunities, and Ge...
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