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CA HCD Guidelines - 6 - SB 2 Planning Grants Program Year 1 <br />Section 201. Threshold Criteria <br /> <br />Applicants must meet all the following threshold requirements for participation in the Program: <br /> <br />(a) Housing element compliance: The applicant must have a housing element that has <br />been adopted by the jurisdiction’s governing body by the deadline specified in the <br />NOFA and subsequently determined to be in substantial compliance with state housing <br />element law pursuant to Gov. Code Section 65585. <br /> <br />1. The jurisdiction’s adopted housing element will be deemed to have met this <br />requirement if the adopted element is received by the Department on or prior to <br />the date specified in the NOFA and the Department subsequently determines <br />the adopted housing element to be in substantial compliance pursuant to Gov. <br />Code Section 65585 without further amendment. <br /> <br />2. However, applicants not meeting housing element requirements may be <br />considered to meet this threshold requirement at the discretion of the <br />Department and based on factors such as significant progress in meeting <br />housing element requirements (e.g., a draft found to meet statute, rezoning <br />near completion), proposing activities to meet housing element requirements <br />(e.g., rezoning to accommodate housing needs pursua nt to Gov. Code Section <br />65583(c)(1)) and adoption of a compliant element prior to the award of funds. <br /> <br />3. No documentation is necessary to meet this threshold requirement if an <br />adopted housing element has been found in substantial compliance by the <br />Department. <br /> <br />A jurisdiction’s current housing element compliance status can be obtained by <br />referencing the Department’s website at http://www.hcd.ca.gov/community- <br />development/housing-element/index.shtml or by contacting Paul McDougall at <br />paul.mcdougall@hcd.ca.gov. <br /> <br />(b) Annual Progress Report (APR) on the housing element: The applicant must submit <br />the APR to the Department as required by Gov. Code section 65400 for the current or <br />prior year by the date established in the NOFA. <br /> <br />1. Charter cities are not exempt from this specific Program requirement and must <br />submit an APR to be eligible for the Program. <br /> <br />2. Please be advised that the Department will not accept other reports in lieu of the <br />APR. Housing Authority Financial Reports, Redevelopment Reports, and other <br />similar reports will not be accepted as meeting this requirement. If uncertain of <br />the status of the report submittal for a jurisdiction, please contact the <br />Department for more information. <br /> <br />3. The proposed use of the planning grant shall be included in the locality’s funding <br />plan and annual progress reports pursuant to Gov. Code section <br />50470(b)(2)(B)(ii)(II) and (III). <br />53