2010-2015 Consolidated Plan and 2010-2011 Annual Plan for federally-funded community development programs operated by the State of California:

2010-2015 Consolidated Plan and 2010-2011 Annual Plan for federally-funded community development programs operated by the State of California:

http://www.hcd.ca.gov/housing-policy-development/housing-resource-center/reports/fed/2010-2015_conplan_final.pdf



Homeless and Other Special Needs Activities An important part of promoting suitable living conditions for those with special needs is the provision of appropriate supportive services. As described in this ConPlan, California has an extensive system of social service organizations that provide institutional care, clientbased community or residential services, and housing-based supportive services, including significant mainstream programs and services to prevent homelessness. HCD Programs: EHAP-CD, FESG and HPRP The Department’s Emergency Housing Assistance Capital Development Program (EHAPCD), funded through the passage of Proposition 46 and Proposition 1C, is the State’s leading source of funds for capital development activities for homeless shelters. To date, EHAP-CD has provided more than $211 million to 340 local governments and non-profit organizations to preserve or create a total of 13,509 shelter spaces. The Department, through HUD formula grants under McKinney-Vento administers the Emergency Shelter Grant (ESG) program by providing “operating grants” to nonentitlement cities and counties and non-profit organizations serving the homeless and those at risk of becoming homeless. Commencing with federal fiscal year 2011 (2011- 2012), the ESG program will evolve into a combination of ESG and HPRP-type activities under the new HEARTH ACT of 2009, currently awaiting the drafting of HUD regulations. ESG will become the Emergency Solutions Grant program with a greater emphasis on homeless prevention. As a result of ARRA, the Department began administration of HPRP. HPRP is a threeyear grant program scheduled for completion by September 10, 2012. HPRP provides funding to units of local government and non-profits serving the homeless and those at risk of becoming homeless, through case management, short-term and medium-term rental assistance, utility deposits, security deposits, legal assistance regarding eviction proceedings, and moving costs. Additionally, the State provides funding for homeless services under various programs including, for example, public education, workforce development, temporary assistance to needy families (TANF), supplemental security income (SSI), veteran services, unemployment compensation, workers compensation, foster care, and affordable rental housing. Some programs, such as the TANF Homeless Assistance Program (HA), provide assistance to those at imminent risk of becoming homeless. TANF HA also provides non-recurring cash assistance to families who are already homeless. HCD continues to assist homeless persons by funding activities of service and housing providers to promote self-sufficiency and provide transitional and permanent housing, and through its collaborative efforts with other State agencies and departments. 2010-2015 Consolidated Plan Page 70 PATH The State also receives formula grants under the McKinney Projects for Assistance in Transition from Homelessness (PATH) Program, administered by the Department of Mental Health (DMH), and provides funding for housing and supportive services in residential settings. HCD continues to work with DMH to develop policy and program guidelines to promote collaborative efforts in the area of supportive housing, including participation on the Supportive Services Council and Mental Health Planning Council. The Department and DMH jointly manage the California Statewide Supportive Housing Initiative Act (SHIA), created in 1998 to develop affordable housing linked to supportive services in mental health, substance addiction, employment training, and other topics. The intent of this act is to provide incentives and leverage to local governments and the nonprofit and private sectors to invest resources that expand and strengthen supportive housing opportunities. Governor’s Homeless Initiative (GHI) On August 31, 2005, Governor Schwarzenegger announced an initiative to end long-term homelessness in California by providing integrated permanent housing and services to the long-term homeless in partnership with local governments and the private sector by leveraging State funds for mental health services and housing available through Propositions 46, 1C and 63. The Governor directed the Department, CalHFA, and DMH to develop an integrated joint funding package to finance permanent supportive housing for chronically homeless persons with severe mental illness. Residents of this housing receive supportive services from county mental health departments, using Mental Health Services Act (MHSA) funds. A NOFA for the Governor’s Homeless Initiative (GHI) was issued on November 15, 2005 offering funding of approximately $40 million in permanent supportive housing development financing through the Department’s Multifamily Housing Program (MHP), CalHFA construction, bridge and permanent financing, and approximately $2 million in DMH State-share MHSA funds for rent subsidies. Applications for funding are no longer being accepted as the funds will be exhausted when HCD gets approval to take the remaining applications forward to the Loan and Grant Committee. To date, MHP has awarded funds to eight recipients, and five more will be recommended for funding when allowed. The Department has received a total of 14 applications requesting funds. If all are approved, the Department will have committed 100 percent of the program’s funds. 2010-2015 Consolidated Plan Page 71 Governor’s Interagency Council on Homelessness The Department also participates in the Governor’s Inter-Agency Council on Homelessness comprised of public, private and non-profit entities committed to ending long-term homelessness, ensuring coordination of efforts, and maximizing the use of resources. The Council brings together State and federal agencies and departments, local social service, health, law enforcement and other local agencies, local elected officials, nongovernmental providers of services to the homeless, homeless advocates and the philanthropic community, to build and operate housing that is accompanied by services for residents. HIV/AIDS and HOPWA CDPH-Office of AIDS (OA) is the State’s clearinghouse agency for statewide programs and activities that pertain to HIV/AIDS. The OA emphasizes the integration of representatives of HIV/AIDS service agencies, other State departments (such as Corrections, Housing, Rehabilitation, Mental Health, Developmental Services and Alcohol and Drug Programs), local health departments, University-wide AIDS Research Program (University of California San Francisco), and others in information gathering, research and decision-making processes. The ad hoc Interagency AIDS Coordinating Council includes numerous State departments in the review of AIDS service delivery and prevention/education efforts. The HOPWA Program is based within the CDPH-OA to ensure that all HIV/AIDS service programs, including housing assistance, are coordinated at the State and local levels. Changes to State housing element law (Chapter 633, Statutes 2007) clarify and strengthen this law to promote certainty in zoning and approvals for emergency shelters and transitional and supportive housing. The law takes a fundamental and necessary step toward addressing the critical needs of homeless populations and persons with special needs throughout all communities in California. Generally, Chapter 633 amends housing element law in terms of planning (Government Code Section 65583) and approval (Government Code Section 65589.5) for emergency shelters and transitional and supportive housing as follows: • At least one zone shall be identified to permit emergency shelters without a conditional use permit or other discretionary action. • Sufficient capacity must be identified to accommodate the needs for emergency shelters and at least one year-round emergency shelter. • Existing or proposed permit procedures and development and management standards must be objective and encourage and facilitate the development of or conversion to emergency shelters. • Emergency shelters shall only be subject to development and management standards that apply to residential or commercial within the same zone. 2010-2015 Consolidated Plan Page 72 • Written and objective standards may be applied as specified in statute, including maximum number of beds, provision of onsite management, length of stay and security. • Transitional and supportive housing shall be considered a residential use and only subject to those restrictions that apply to other residential uses of the same type in the same zone. • Limits denial of emergency shelters, transitional housing or supportive housing by requiring specific findings. • Some findings shall not be utilized if new planning requirements of Chapter 633 are not met such as identifying a zone without a conditional use permit. Other Actions California has the nation’s second highest foreclosure rate, with one foreclosure filing for every 173 households, according to the January, 2009 market report from RealtyTrac. In that report, California accounted for 28 percent of the 274,399 foreclosure filings reported nationwide. Merced County had the state’s highest foreclosure rate at one filing for every 59 households, Riverside County was second, and Stanislaus County came in third. A half million Californians have sub-prime loans that will jump to higher rates within the next two years. To address the growing foreclosure problem, Governor Schwarzenegger launched a public awareness campaign to educate homeowners about options that can help them avoid losing their homes to foreclosure. The $1.2 million campaign, funded through existing consumer education efforts within the Business, Transportation and Housing Agency and the State and Consumer Services Agency, will: • inform borrowers about their options; • urge borrowers to work with lenders before foreclosure; • encourage the use of nonprofit housing counselors; and • partner with local leaders and trusted organizations, like churches and community groups, to further the goals of the campaign. As part of the Governor’s efforts, the following resources are also available to homeowners: • The "HOPE Hotline" (1-888-995-HOPE or http://www.995hope.org), provides free mortgage counseling 24 hours a day, seven days a week. • A website with helpful information for prospective homebuyers, as well as homeowners who are experiencing difficulty in keeping payments current: http://www.yourhome.ca.gov/ and the Spanish language version: http://www.sucasa.ca.gov/. Additionally, more than 136,000 mortgage modifications were completed in 2008 under Governor Schwarzenegger’s agreement with ten major loan servicers to modify subprime mortgages. The lenders committed to principles that will help preserve homeownership for tens of thousands of homeowners who are at risk of default due to hybrid adjustable 2010-2015 Consolidated Plan Page 73 rate mortgages (ARM) and sub-prime mortgages resetting to higher interest rates. The agreement consists of three basic principles directing mortgage lenders to: • reach out proactively to borrowers well before their loans reset; • streamline the processes by which they determine whether borrowers may reasonably be expected to be able to make the reset payment; and • maintain the starter rate for a sustainable period of time for the homeowner who is current on payments, where a lender has determined the borrower’s resources are insufficient to make the reset payment. In addition, the Department will continue to participate in meetings with other State departments, professional associations, including the Council of State Community Agencies, the California Rural Housing Coalition, the National Association of Housing and Redevelopment Officials, the Association of California Redevelopment Agencies, the California Association for Micro-Enterprise Opportunity, the California Association for Local Economic Development and a host of other organizations that have an interest in the State’s implementation of HUD-funded programs. These efforts promote program commonalities, maximize resources, integrate eligibility requirements where possible, share “best practices” and promote collaboration efforts at the local level.