Title
Sacramento Housing and Redevelopment Agency (SHRA) Local Housing Trust Fund (LHTF) Allocation - Adoption of Updated Resolution
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FileID
File ID: 2026-00715
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Location
Location: Citywide
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Recommendation
Recommendation: Adopt a City Council Resolution authorizing: 1) the Sacramento Housing and Redevelopment (SHRA) Executive Director, Acting Executive Director, Interim Executive Director, or designee, to execute the Local Housing Trust Fund (LHTF) Program Application, the LHTF Standard Agreement and any subsequent amendments or modifications thereto, as well as any other documents which are related to the Program or the LHTF Award to Applicant, as the State of California Department of Housing and Community Development (HCD) may deem appropriate for LHTF applications and awards made in 2023; and 2) making related findings.
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Contact
Contact: Christine Weichert, Director, (916) 440-1353, cweichert@shra.org, Sacramento Housing and Redevelopment Agency
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Presenter
Presenter: None
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Attachments
Attachments:
1-Description/Analysis
2-City Council Resolution
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Description/Analysis
IssueDetail
Issue Detail: In 2023, HCD announced a Notice of Funding Availability (NOFA) for the LHTF Program. HCD awards LHTF funds to eligible applicants to enhance local affordable housing development programs by providing a dollar-for-dollar match to local funds. The City has two trust funds created by in-lieu fees, one on new residential development (Mixed Income Housing Ordinance) and one on commercial development (Housing Trust Fund) that are used for the creation of affordable housing which are administered by SHRA. LHTF-funded units are required to be restricted to households earning 60 percent or less of area median income (AMI), with a minimum of 30 percent of the LHTF funds being used for households earning 30 percent or less of AMI. LHTF funds are administered using the City Council approved SHRA Multifamily Housing and Mortgage Revenue Bond Policies (Policies) in addition to HCD’s LHTF Guidelines.
The City of Sacramento approved a resolution (Resolution No. 2023-0114) authorizing SHRA to apply for LHTF funds on behalf of the City and subsequently in 2023, SHRA was awarded $5 million in LHTF funds. In 2024, $3.7 million of these funds were committed to the Central Sacramento Studios Phase 2 project, which will produce over 65 new affordable housing units. The remaining funds will be allocated to a project in the next few months.
HCD recently contacted SHRA to request an updated resolution to replace the one originally approved by the City for the LHTF program. The attached resolution updates the authorized signer to the generic terms of Executive Director, Acting Executive Director, Interim Executive Director or designee to allow for those designated to sign future agreements and requests for funds. There are no other changes recommended. HCD announced in 2024 that it would no longer be issuing NOFA’s for the LHTF program but the updated resolution is required to draw down the remaining funds allocated.
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PolicyConsiderations
Policy Considerations: Not applicable.
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EconomicImpacts
Economic Impacts: None.
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EnvironmentalConsiderations
Environmental Considerations:
California Environmental Quality Act (CEQA): Pursuant to Cal. Code Regs., tit. 14., section 15378 subds. (b)(2) and (5), the recommended action is not considered a “project,” as it constitutes an administrative activity that will not result in direct or indirect physical changes to the environment. Alternatively, if a determination is made that the action does constitute a project subject to CEQA, the recommended action is exempt pursuant to Cal. Code Regs., tit. 14, section 15061(b)(3), as it does not have the potential to have a significant effect on the environment.
National Environmental Policy Act (NEPA): NEPA does not apply as no federal funding is involved in this action.
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Sustainability
Sustainability: Not applicable.
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Commission/Committee Action
Commission/Committee Action: Not applicable.
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RationaleforRecommendation
Rationale for Recommendation: Staff will be unable to draw the remaining LHTF funds without approval of the updated resolution.
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FinancialConsiderations
Financial Considerations: Not applicable.
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LocalBusinessEnterprise
Local Business Enterprise (LBE): Not applicable.
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