Reso 2022-087 HUD Annual Action Plan FY 22 23

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Explain how federal funds will leverage those additional resources (private, state and local funds), including a description of how matching requirements will be satisfied CDBG funds will be leveraged with other funding available within the City of San Leandro, the region and the State of California. Local resources include San Leandro's Affordable Housing Trust Fund, the Low/Mod Housing Asset Fund (repayments or income generated by former Redevelopment Agency Assets), General Fund commitments and other non -financial resources. One non -financial resource for affordable housing includes the City's Inclusionary Zoning that requires new residential development to provide a percentage of its residential units be affordable to lower income households. The City's Affordable Housing Trust Fund mainly receives deposits of in -lieu fees when a developer chooses to pay instead of providing inclusionary affordable housing units. Other regional funding includes Alameda County Measure A-1 bond funds. In the Fall of 2016 Alameda County 73% of the voters approved measure Al, a $580 million general obligation bond measure designated to support regional efforts to address the lack of affordable housing. The City of San Leandro has a base allocation of these funds in the amount of over $10 million that is earmarked for affordable rental housing development in San Leandro. There are significant efforts both regionally and at the State level to address decreased funding for affordable housing and community development. The 2017-18 Regular Session of the California State Legislature passed two bills (of many other housing -related legislation) seeking to generate funds for new affordable housing production. The Building Homes and Jobs Act (SB 2: Atkins) will establish a permanent source of funding for affordable housing through a $75 fee on real estate document filings. The Affordable Housing Bond Act (SB 3: Beall) allowed the State of California to place a $4 billion statewide general obligation bond for affordable housing on the November 2018 ballot. Proposition 1: Housing Programs and Veterans' Loan Bond was approved. All of these programs have funded critical and successful affordable housing programs operated by State agencies. Additionally, the statewide Greenhouse Gas Reduction Fund's Affordable Housing and Sustainable Communities program is a competitive funding program that encourages collaboration between affordable housing developers, jurisdictions, and transit agencies to fund affordable housing development and transportation infrastructure and amenities. City staff will continue encouraging affordable housing developers and area transit agencies to collaborate in an application to AHSC for funding when a viable and competitive housing and transportation development is ready to move forward. Low -Income Housing Tax Credits (LIHTC): The federal 4% and 9% LIHTC is the principal source of funding that can be leveraged for the construction and rehabilitation of affordable rental housing. They are a dollar -for -dollar credit against an investor's federal tax liability. City staff continue to monitor developments in these regional and state funding initiatives and will work to position affordable housing and community development projects in the City to be competitive in securing those funding resources. Annual Action Plan 2022 15 OMB Control No: 2506-0117 (exp. 09/30/2021)