HomeMy WebLinkAbout2022-PLHA-Formula-Component-NOFASTATE OF CALIFORNIA - BUSINESS, CONSUMER SERVICES AND HOUSING AGENCY GAVIN NEWSOM, Governor
DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT DIVISION OF STATE FINANCIAL ASSISTANCE
2020 W. El Camino Avenue, Suite 670 CA 95833 263-2771www.hcd.ca.gov
August 17, 2022
MEMORANDUM FOR: All Potential Applicants
FROM: Jennifer Seeger, Deputy Director
Division of State Financial Assistance
SUBJECT: 2022 Permanent Local Housing Allocation
Program Entitlement and Non-Entitlement Local Government Formula Component – Notice of Funding Availability
The California Department of Housing and Community Development (Department) is
pleased to announce the release of the 2022 Entitlement and Non-Entitlement Local government formula component Notice of Funding Availability (NOFA) for approximately $335 million in calendar year 2021 funds in addition to the $131 million in remaining calendar year 2019 and calendar year 2020 funds for the Permanent Local Housing
Allocation (PLHA) formula allocation program. Appendix A details the total funds
available to each eligible locality under this NOFA for housing-related projects and programs that assist in addressing unmet housing needs of their local communities.
First Time Applicants: This will be the last year for Applicants to apply for their 2019
calendar year allocation. Jurisdictions that have not previously applied must meet all
threshold requirements as outlined in Part II, Section F, of the attached NOFA.
Second- or Third-Year Applicants: Jurisdictions that have previously applied and received an award of 2019 and/or 2020 funds are not required to resubmit all threshold documents
but must demonstrate all threshold requirements continue to be met as noted in Part II,
Section G, of this NOFA.
*** PLEASE NOTE ***
Any 2019 calendar year funds remaining after the close of the NOFA application period will revert to the Housing Rehabilitation Loan Fund established to be used for the Multifamily Housing Program (Chapter 6.7 commencing with Section 50675) pursuant to Health and Safety Code Section 50470 (b)((2)(B)(ii)(VI) to be made available through a future Multifamily Housing Program Notice of Funding Availability.
2022 Permanent Local Housing Allocation Program
Entitlement and Non-Entitlement Local Government NOFA Page 2
The application submittal portal will be available and open for applications beginning August 17, 2022.
Personal deliveries will not be accepted. No facsimiles, incomplete applications,
application revisions, or walk-in application packages will be accepted. Applications will be accepted through October 31, 2022 and must be submitted electronically through the Department’s website. Requirements for uploading the Application Workbook and required supporting documentation, including naming conventions, are
described in the application instructions available at http://www.hcd.ca.gov/grants-
funding/active-funding/plha.shtml.
The PLHA application forms, workshop details, and Guidelines are posted on the Department’s website. To receive information on workshops and other updates, please subscribe to the PLHA listserv by clicking on “Email Sign-Up” on the Department’s
website. If you have any further questions, please contact PLHA@hcd.ca.gov.
Attachment
Permanent Local Housing Allocation Program
Entitlement and Non-Entitlement Local
Government Formula Component
2022 Notice of Funding Availability
Gavin Newsom, Governor State of California
Lourdes M. Castro Ramírez, Secretary Business, Consumer Services and Housing Agency
Gustavo Velasquez, Director
California Department of Housing and Community Development
2020 West El Camino Avenue, Suite 500, Sacramento, CA 95833
Telephone: (916) 263-2771
Website: http://www.hcd.ca.gov/grants-funding/active-funding/plha.shtml
Email: PLHA@hcd.ca.gov
August 17, 2022
Table of Contents
I. Overview ........................................................................................................................... 5
A. Notice of Funding Availability .................................................................................. 5
B. Timeline .................................................................................................................. 6
C. Authorizing Legislation and Regulations ................................................................. 6
II. Program Requirements ...................................................................................................... 6
A. Eligible Applicants ................................................................................................... 7
B. Eligible Activities ..................................................................................................... 7
C. Allocation of funding and award limits ..................................................................... 9
D. Program Administrative, Activity Delivery Costs, and Reimbursement of Costs .... 11
E. Application review ................................................................................................. 11
F. Threshold requirements for Previous Awardees .................................................... 11
G. Threshold requirements for First-Time Applicants ................................................. 13
H. Administration and reporting requirements ............................................................ 15
III. Application submission and review procedures ............................................................... 15
A. Application submission process ............................................................................ 15
B. Application Workshops .......................................................................................... 16
IV. Appeals ........................................................................................................................... 16
A. Basis of appeals .................................................................................................... 16
B. Appeal process and deadlines .............................................................................. 16
C. Decisions .............................................................................................................. 17
D. Award announcements and contracts ................................................................... 17
V. Other state requirements ................................................................................................. 17
A. Pet Friendly Housing Act of 2017 .......................................................................... 17
B. Accessibility and non-discrimination ...................................................................... 17
IV. Other terms and conditions .............................................................................................. 18
A. Right to modify or suspend .................................................................................... 18
B. Disclosure of application ....................................................................................... 18
C. Conflicts ................................................................................................................ 18
APPENDICES ............................................................................................................................ 19
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I. Overview
A. Notice of Funding Availability The California Department of Housing and Community Development (Department or HCD) is announcing the release of the 2022 Permanent Local Housing Allocation
(PLHA) Program’s Formula Component Notice of Funding Availability (NOFA) for
approximately $335 million in calendar year 2021 funds in addition to the $131 million in calendar year 2019 and calendar year 2020 funds for Entitlement and Non-Entitlement Local governments. This NOFA is funded from moneys deposited in the Building Homes and Jobs Trust Fund (Fund) in calendar year 2021 and includes
any remaining unawarded funds not requested for calendar years 2019 and 2020.
Funding for this NOFA is provided pursuant to Senate Bill 2 (SB 2) (Chapter 364,
Statutes of 2017). SB 2 established the Fund and authorizes the Department to
allocate 70 percent of moneys collected and deposited in the Fund, beginning in calendar year 2019, to Local governments for eligible housing and homelessness activities. The intent of the bill is to provide a permanent, on-going source of funding
to Local governments for housing-related projects and programs that assist in
addressing the unmet housing needs of their local communities.
In 2022, the Department will issue two separate NOFAs to award the PLHA funds:
• Formula Component NOFA for Entitlement and Non-Entitlement Local governments
• Non-Entitlement Local Government Competitive NOFA (anticipated in June 2022) This NOFA outlines threshold and application requirements for Entitlement Local
governments and Non-Entitlement Local governments as defined in Guidelines
Section 101. Entitlement Local governments are metropolitan cities and urban counties that received a Community Development Block Grant (CDBG) for fiscal year 2017 pursuant to the federal formula specified in 42 U.S. Code, Section 5306. Please note that this NOFA has two separate threshold requirements sections:
• Local governments that received an award under the 2020 or 2021 Formula Component NOFA are subject to the threshold requirements outlined in Part II, Section F
• Local governments that have not previously applied for and received a PLHA
award must meet the threshold requirements outlined in Part II, Section G
*** PLEASE NOTE ***
Any 2019 calendar year funds remaining after the close of the NOFA application period will revert to the Housing Rehabilitation Loan Fund established to be used for the Multifamily Housing Program (Chapter 6.7 commencing with Section 50675) pursuant to Health and Safety Code Section 50470 (b)((2)(B)(ii)(VI) to be made available through a future Multifamily Housing Program Notice of Funding
Availability.
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B. Timeline
C. Authorizing Legislation and Regulations
Senate Bill 2 (Chapter 364, Statutes of 2017) established the PLHA Program. The program operates under the requirements of Health and Safety Code (HSC), Part 2
of Division 31, Chapter 2.5 (commencing with Section 50470).
Section 50470 (b)(2)(B)(i) of the HSC authorizes the Department to allocate
70 percent of the moneys collected and deposited in the Fund, beginning in calendar year 2019, to Local governments.
Section 50470 (b)(2)(B)(i)(I) of the HSC requires the Department to allocate 90 percent of PLHA funds available to Local governments based on the federal CDBG formula specified in 42 U.S. Code, Section 5306, except that the portion allocated to Non-Entitlement Local governments is required to be distributed through a
competitive grant program for Non-Entitlement Local governments.
Section 50470 (b)(2)(B)(i)(II) of the HSC requires the Department to allocate the
remaining 10 percent of PLHA funds available to Local governments equitably to Non-Entitlement Local governments.
Section 50470 (d) authorizes the Department to adopt Guidelines to implement the PLHA program, not subject to the rulemaking provisions of the California Administrative Procedure Act. This NOFA governs the administration of funding from the Fund (created by Section
50470, subdivision (a)(1) and appropriated by item 2240-103-3317 in the Budget Act
of 2019) and made available under the PLHA program.
Capitalized terms not otherwise defined in this NOFA shall have the meanings set
forth in Guidelines Section 101.
II. Program Requirements
The following is provided as a summary for the allocation of the PLHA funds to
Entitlement Non-Entitlement Local governments and is not to be considered a complete representation of the eligibility, threshold, or other requirements, terms, and conditions.
NOFA Release Date August 17, 2022
Application Submittal August 17, 2022 –
Award Announcement Ongoing through February 2023
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This 2022 NOFA represents the third year of funding under the PLHA program for
the Entitlement and Non-Entitlement Local Government Formula Component as
detailed below:
A. Eligible Applicants
An Applicant must be an Entitlement Local government, a Non-Entitlement Localgovernment, or a Local or Regional Housing Trust Fund delegated by the Localgovernment pursuant to Guidelines Section 300. Appendix A of the NOFA containsthe list of eligible Applicants.
1.Delegation of Formula Allocation
An eligible Applicant may delegate their entire formula allocation to either anotherLocal government or to a Local or Regional Housing Trust Fund. A Localgovernment that delegates their formula allocation to another Local government
or to a Housing Trust Fund must enter into a legally binding agreement with the
other Local government or Housing Trust Fund. The delegate must submit thePLHA application on behalf of the recipient of the PLHA Formula Allocation andwholly administer the entire formula component of PLHA funds on behalf of thedelegator for the full term of the PLHA Plan, as set forth in Guidelines Section
300(c). Both the delegating Local government and the Applicant must meet the
housing element compliance threshold requirement as outlined in Section II, PartF of this NOFA.
Upon delegating its entire formula allocation to another Local government or to a
Local or Regional Housing Trust Fund, the Local government that delegated their
allocation is no longer involved in the PLHA application or administration of thePLHA grant for the full term of the PLHA Plan, which extends through 2023. Thedelegated Local government or Trust Fund assumes full responsibility forcompliance with statute and for meeting all the Department’s requirements,
including any penalties for non-compliance.
A partial funding delegation is not permitted under the delegation authority.
However, a Local government can subgrant a portion of its allocation to anotherentity, as permitted by Guidelines Section 302(c)(3). When a Local governmentsubgrants a portion of its allocation to another entity, the Local governmentremains fully accountable and responsible for compliance with statute and for
meeting all of the Department’s requirements, including any penalties for non-
compliance.
B.Eligible Activities
Pursuant to Guidelines Section 301(a), the PLHA funds allocated to eligible
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Applicants must be used to carry out one or more of the eligible activities listed
below. All services must be provided within the county containing the Local
government recipient. 1. The predevelopment, development, acquisition, rehabilitation, and preservation of multifamily, residential live-work, or rental housing that is Affordable to
extremely low-, very low-, low-, or Moderate-income households (up to 120
percent of Area Median Income (AMI), or 150 percent of AMI in High-cost areas, see appendix B for a list of High-cost areas, including necessary Operating subsidies). Note: Predevelopment and/or acquisition must result in the development, rehabilitation, or preservation of housing, as otherwise there is no
actual housing outcome of the predevelopment or acquisition assistance.
2. The predevelopment, development, acquisition, rehabilitation, and preservation of Affordable rental and ownership housing, including Accessory Dwelling Units (ADUs), that meets the needs of a growing workforce earning up to 120 percent
of Area Median Income (AMI), or 150 percent of AMI in High-cost areas. ADUs
shall be available for occupancy for a term of no less than 30 days. See Appendix B for a list of High-cost areas in California.
Note: Predevelopment and/or acquisition must result in the development, rehabilitation, or preservation of Affordable rental and ownership housing, as otherwise there is no actual housing outcome of the predevelopment or acquisition assistance.
3. Matching portions of funds placed into Local or Regional Housing Trust Funds.
Matching funds must be utilized as required by PLHA guidelines Section 301(a).
4. Matching portions of funds available through the Low- and Moderate-Income Housing Asset Fund pursuant to subdivision (d) of HSC Section 34176. Matching funds must be utilized as required by PLHA guidelines Section 301(a).
5. Capitalized Reserves for Services connected to the preservation and creation of new Permanent Supportive Housing (up to 30 percent of AMI). 6. Assisting persons who are experiencing or At risk of homelessness in
conformance with 24 Code of Federal Regulations (CFR Section 578.3), (up to
30 percent of AMI), including
a. Rapid rehousing in conformance with federal rules contained in 24 CFR
Section 576.104, except for legal services; b. Rental assistance with a term of at least six (6) months (rental arrears is not eligible);
c. Street outreach, and other supportive/case management services in conformance with federal rules contained in 24 CFR Section 576.101 that allow people to obtain and retain housing; d. Operating and capital costs for navigation centers and emergency shelters,
and the new construction, rehabilitation, and preservation of permanent and
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transitional housing.
This Activity may include subawards to administrative entities as defined in HSC
Section 50490(a) (1-3) that were awarded California Emergency Solutions and
Housing (CESH) Program or Homeless Emergency Aid Program (HEAP) funds for rental assistance to continue assistance to these households. Applicants must provide rapid rehousing, rental assistance, navigation centers,
emergency shelter, and transitional housing activities in a manner consistent
with the Housing First practices described in 25 CCR, Section 8409, subdivision (b)(1)-(6) and in compliance with Welfare Institutions Code (WIC) Section 8255(b)(8). An Applicant allocated funds for the new construction, rehabilitation, and preservation of Permanent supportive housing shall incorporate the core
components of Housing First, as provided in WIC Section 8255(b).
7. Accessibility modifications in Lower-income Owner- occupied housing (up to 80
percent of AMI). 8. Efforts to acquire and rehabilitate foreclosed or vacant homes and apartments (up to 120 percent of Area Median Income (AMI), or 150 percent of AMI in High-
cost areas).
9. Homeownership opportunities, including, but not limited to, down payment assistance to those earning up to 120 percent of Area Median Income (AMI), or 150 percent of AMI in High-cost areas.
10. Fiscal incentives made by a county to a city within the county to incentivize approval of one or more Affordable housing projects, or matching funds invested
by a county in an Affordable housing development project in a city within the
county, provided that the city has made an equal or greater investment in the project. The county fiscal incentives shall be in the form of a grant or low-interest loan to an Affordable housing project. Matching funds investments by both the county and the city also shall be a grant or low-interest deferred loan to the
Affordable housing project earning up to 120 percent of Area Median Income (AMI), or 150 percent of AMI in High-cost areas.
Twenty percent of the moneys in the Fund are required by statute to be expended for Affordable Owner Occupied
Workforce Housing (AOWH). If funding proposed in Local
government Plans for AOWH activities is lower than 20 percent of the moneys available in the Fund, the Department may require Local governments to use a specific percentage of their annual formula allocations in some future year for AOWH
activities as part of the annual funding process.
C. Allocation of funding and award limits Appendix A lists the dollar amount of the allocation of PLHA funds. There is a
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column indicating allocations for calendar years 2021, 2020 and 2019. If a Local
government applied for and received their 2010 or 2020 allocations, there is a blank
in those columns. If a Local government HAS NOT applied before this NOFA, there will be an amount listed in each of the 2019, 2020, and 2021 columns.
The PLHA funds allocated to each Entitlement Local government is directly proportionate to each Entitlement Local Government’s share of the total 2017 Community Development Block Grant Fund Allocation in California. The PLHA funds allocated to each Non-Entitlement Local Government is based on the sum of:
1. Fifty percent of the funding available for the Non-Entitlement formula component divided by the number of Local governments eligible for the Non-Entitlement
formula component; and
2. Fifty percent of the funding available for the Non-Entitlement formula component
allocated in proportion to each Non-Entitlement Local government’s share of the total most severe housing need in California’s Non-Entitlement Local governments, based upon the most recent U.S. Department of Housing and Urban Development (HUD) Comprehensive Housing Affordability Strategy (CHAS) data.
Two or more Local governments may expend PLHA funds on an eligible jointly
funded project, provided the project is an eligible Activity pursuant to Guidelines
Section 301(a), and will be located within the boundaries of one of the Local governments.
An Applicant eligible for an allocation of PLHA funds must comply with the Deadline and Funding Requirements set forth in Guidelines Section 304. In order to avoid amending the Department Standard Agreement each year, and to expedite the disbursement of PLHA funds, the Department Standard Agreement and the Applicant’s PLHA resolution shall include a five-year estimate of PLHA formula
allocations, as stated in Appendix C, as the maximum funding amount. The actual amounts may be lower, and the disbursements will be based on the actual allocation amounts.
Please be advised that no funding from any subsequent year will be disbursed if the Local government is not in compliance with the housing element requirement and the Housing Element Annual Progress Report (APR) requirement stated in
Guidelines Section 302(a) and (b), or in the event that the Local government has not
submitted its annual PLHA report, as required by Guidelines Section 503. Please refer to Appendix D for more information on verifying housing element and APR status. In addition, the grantee must be in compliance with commitment requirements stated in Guidelines Sections 300(e) and must not incur penalties stated in
Guidelines Section 502.
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D. Program Administrative, Activity Delivery Costs, and Reimbursement of Costs
A Local government that receives an award under this NOFA shall not use more
than 5 percent (5%) of the award for administrative costs related to the execution of
eligible activities.
Staff and overhead costs directly related to carrying out the eligible activities described in Guidelines Section 301(a) are “activity costs” and not subject to the cap on administrative costs. A Local government may share any funds available for administrative costs with entities to which it provides funding. Predevelopment expenses for construction projects funded by PLHA funds and costs to develop and prepare the PLHA application and Plan may be paid from the
PLHA funds regardless of when the costs were incurred. Reimbursement of
expenses to prepare the PLHA application and Plan are subject to the cap on administrative costs. Other costs incurred more than one year prior to commitment by the Local government may not be paid from the PLHA funds. E. Application review An Applicant must submit a complete application and other documents by the deadline stated in this NOFA. Applications submitted in response to this NOFA must meet the threshold requirements set forth in this section and in the Guidelines
Section 302.
F. Threshold requirements for Previous Awardees
Applicants that received awards from the 2021 Formula Allocation NOFA
must meet all of the following threshold requirements:
1. Housing Element Compliance: The Applicant and delegating Local government, if
applicable, must be a locality with an adopted housing element that has been found by the Department to be in substantial compliance with the requirements of Article 10.6 (commencing with section 65580) of Chapter 3 of Division 1 of Title 7 of the Government Code, pursuant to Government Code section 65585 at time of
application. If the application is submitted within 120 days of the housing element
due date, the Department may refer to the jurisdiction’s compliance from the prior cycle.
2. The Applicant must have submitted to the Department the Annual Progress
Report on the Housing Element for the 2021 calendar year reporting period by
the submittal date.
3. Applicant must have submitted to the Department the Annual PLHA Report if the
application is submitted on or after July 31, 2022, which is the deadline for the Annual Report.
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4. Applicant must have met the commitment requirements stated in PLHA
Guidelines Section 300(e). 5. The application must request an allocation pursuant to Section 200 of the PLHA Guidelines. Previous awardees have already received Department approval for
their five-year PLHA Plan, which lists the activities that the Local government
plans to provide using the five years of funding contained in the Standard Agreement. The PLHA Plan continues in force and effect unless the Local government amends the Plan to provide different activities that are eligible under PLHA statute and Guidelines. If the Plan is amended so that more than 10
percent of funds are moved to a different activity, the Plan must be formally
amended, including discussion and approval at a publicly noticed meeting of the Local government’s governing board, and the Plan must be submitted to the Department for approval. Activities must be carried out in the jurisdiction of the Applicant’s Local government. Jointly funded projects may be carried out as
described in Section 301(c).
6. Submission of the application must be authorized by the governing board of the Applicant by Resolution, and this Resolution must be submitted as part of the application. The Resolution should use the five-year estimate of funding, as
listed in Appendix C.
7. If the Local government proposes to allocate funds for any Activity to another entity, the Resolution must certify that the Local government’s selection process shall avoid conflicts of interest and shall be accessible to the public. See PLHA
Guidelines Section 302 (c)(3).
8. If the Local government proposes to use funds for the acquisition, construction, or rehabilitation of for-sale housing projects or units within for-sale housing projects, the Resolution must certify that the grantee shall record a deed
restriction against the property that will ensure compliance with one of the
requirements stated in Guidelines Section 302(c)(6)(A), (B) or (C). 9. The resolution shall certify that, if funds are used for the development of an Affordable Rental Housing Development, the Local government shall make the
PLHA assistance in the form of a low-interest, deferred loan to the Sponsor of
the Project. The loan shall be evidenced through a Promissory Note secured by a Deed of Trust, and a Regulatory Agreement shall restrict occupancy and rents in accordance with the Local government-approved underwriting of the Project for a term of at least 55 years.
10. If any activity in the five-year Plan consists of loans being made to a homebuyer, homeowner, developer, or owner of a project, a Program income reuse plan describing how repaid loans will be used for eligible activities specified in Section 301 must be included in the application. This reuse plan must also describe how
interest earned from PLHA funds deposited in a Local government interest-
bearing account will be used for eligible PLHA activities.
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G. Threshold requirements for First-Time Applicants
First-time Applicants who have not previously received an award under a prior
Formula Allocation NOFA must meet the following threshold requirements:
1. Housing Element Compliance: The Applicant and delegating Local government, if
applicable, must have a housing element that has been adopted by the jurisdiction’s governing body and subsequently determined to be in substantial compliance with state Housing Element Law pursuant to GC Section 65585 by the application date. If the application is submitted within 120 days of the housing
element due date, the Department may refer to the jurisdiction’s compliance from
the prior cycle.
2. The Applicant must have submitted to the Department the Annual Progress
Report on the housing element for the corresponding calendar year based on the allocations for which the Applicant is applying by the application submittal date as follows:
3. Application requests an allocation pursuant to Section 200 of the PLHA
Guidelines and identifies the eligible activities to be undertaken. Activities must be carried out in the jurisdiction of the Applicant’s Local government. Jointly funded projects may be carried out as described in Section 301(c). 4. Submission of the application must be authorized by the governing board of the Applicant by Resolution, and this Resolution must be submitted as part of the application. The Resolution should use the five-year estimate of funding, as listed
in Appendix C.
5. If the Local government proposes to allocate funds for any Activity to another
entity, the Resolution must certify that the Local government’s selection process shall avoid conflicts of interest and shall be accessible to the public. See PLHA Guidelines Section 302 (c)(3). 6. If the Local government proposes to use funds for the acquisition, construction, or rehabilitation of for-sale housing projects, or units within for-sale housing projects, the Resolution must certify that the grantee shall record a deed
restriction against the property that will ensure compliance with one of the requirements stated in Guidelines Section 302(c)(6)(A),(B) or (C).
7. The Resolution shall certify that, if funds are used for the development of an Affordable Rental Housing Development, the Local government shall make the
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PLHA assistance in the form of a low-interest, deferred loan to the Sponsor of the
Project. The loan shall be evidenced through a Promissory Note secured by a
Deed of Trust, and a Regulatory Agreement shall restrict occupancy and rents in accordance with the Local government-approved underwriting of the Project for a term of at least 55 years. 8. The application must include a Plan which details:
a. The manner in which the allocated funds will be used for eligible Activities.
b. A detailed description of the way the Local government will prioritize
investments that increase the supply of housing for household with incomes at or below 60 percent of the AMI.
c. A detailed description of how the Plan is consistent with the programs set forth in the Local government’s housing element.
d. Evidence that the Plan was authorized and adopted by Resolution by the
Local government and that the public had an adequate opportunity to review and comment on the Plan’s contents prior to the Plan Resolution adoption. The plan must be provided to the public for a public comment period, culminating with a public hearing at which the governing board may approve it. The draft Plan should be published for public review on the Applicant’s
website.
e. The Resolution adopting the Plan should specifically identify the activities the Local government plans to engage in. The Resolution is required to be submitted as part of the application. The Resolution must specifically state the eligible activities from the Plan application.
f. The following information is required for each proposed Activity:
i. A detailed description of each Activity, pursuant to Section 301 and the percentage of funding being allocated to it. The description must include the percentage, if any, directed to Affordable Owner-Occupied Workforce Housing (AOWH).
ii. The projected number of households to be served at each income level and a comparison to the unmet share of the Regional Housing Needs Allocation at each income level.
iii. A description of major steps/actions and a proposed schedule required for the implementation and completion of the Activity.
iv. The period of affordability for each Activity. Rental Projects are required to have an affordability period of at least 55 years.
9. The Plan shall be for a term of five years, illustrating how the allocations from 2019, 2020, 2021, 2022, and 2023 will be used. Refer to instructions in the Plan tab of the PLHA Application form.
10. If funds are used for acquisition, construction, or rehabilitation of for-sale housing projects or units within for-sale housing projects, then a deed restriction shall be recorded against the property as described in Section 302(c)(6)(A-C).
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11. If funds are proposed to be used for development of an Affordable Rental
Housing Development, a certification is required that the Local government shall make the PLHA assistance in the form of a low-interest, deferred loan to the Sponsor of the Project. The loan must be evidenced through a Promissory Note secured by a Deed of Trust, and a Regulatory Agreement is required to restrict
occupancy and rents in accordance with the Local government’s approved
underwriting of the Project for a term of at least 55 years.
12. If any activity in the five-year Plan consists of loans being made to a homebuyer, homeowner, developer or owner of a project, a Program income reuse plan describing how repaid PLHA loans will be used for eligible activities specified in Section 301 must be included in the application. This reuse plan must also describe how interest earned from PLHA funds deposited in a Local government
interest-bearing account will be used for eligible PLHA activities.
H. Administration and reporting requirements
A grantee of PLHA funds must meet the administration requirements set forth in
Guidelines Sections 500 and 501 and reporting requirements in Section 503.
III. Application submission and review procedures
Applications must be on the Department’s forms and cannot be altered or modified by
the Applicant. Excel forms must be in Excel format and 'saved as' .xls or .xlsx. Do not
'save as'.xlsm or .pdf format. Applications that do not meet the program requirements stated in this NOFA will not be eligible for funding. Application forms are available for download on the PLHA webpage. A. Application submission process Applications must be submitted electronically to the Department’s website. Requirements for uploading the Application Workbook and required supporting documentation, including naming conventions, are described in the application
instructions available at https://www.hcd.ca.gov/grants-funding/active- funding/plha.shtml. The submittal portal will be available beginning August 17, 2022.
Applicants must upload all application materials to the Department’s website. The application portal is open beginning on August 17, 2022 through 4:00 p.m. Pacific Standard Time on October 31, 2022. Please note that the on-line support and technical assistance closes at 4:00 p.m. Pacific Standard Time on October 31, 2022. Personal deliveries will not be accepted. No facsimiles, incomplete applications, application revisions, or walk-in application packages will be accepted. Applications
that do not meet the filing deadline requirements will not be eligible for funding.
It is the Applicant’s responsibility to ensure that the application is clear, complete,
and accurate. The Department may request additional clarifying information and/or
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inquire as to where in the application specific information is located. However,
missing or forgotten application information or documentation may cause the
application not to pass threshold. Those Applicants that are notified they did not pass threshold requirements will have the opportunity to submit the necessary documentation prior to the NOFA
closing date.
B. Application Workshops
Applicants are strongly encouraged to attend a PLHA webinar to gain information
critical for preparing the application, which will be discussed at the webinar. PLHA
webinar dates and times are located on the Department’s PLHA webpage.
IV. Appeals
A. Basis of appeals
1. Upon receipt of the Department’s notice that an application has been determined
to be incomplete, ineligible, or fail threshold review, Applicants may appeal such
decision(s) to the Director of the Department or their designee pursuant to this section.
2. No Applicant shall have the right to appeal a decision of the Department relating to another Applicant’s eligibility, point score, award, denial of award, or any other matter related thereto.
3. The appeal process provided herein applies solely to decisions of the Director of the Department or their designee made in this NOFA and does not apply to any
decisions made with respect to any previously issued NOFAs or decisions to be made pursuant to future NOFAs.
B. Appeal process and deadlines
1. Process. In order to file an appeal, an Applicant must submit to the Director of
the Department or their designee a written appeal, which states all relevant facts, arguments, and evidence upon which the appeal is based. Furthermore, the Applicant must provide a detailed description of how the application is complete, eligible or meets threshold requirements, as applicable, or provide
additional information to resolve the Department’s determination. Appeals are to
be submitted to the Department at PLHA@hcd.ca.gov according to the deadline set forth in Department review letters.
2. Filing deadline. Appeals must be received by the Department no later than five (5) business days from the date of the Department’s threshold review letter representing the Department’s decision made in response to the application.
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C. Decisions
Any request to appeal the Department’s decision regarding an application shall be reviewed for compliance with the Guidelines and this NOFA. All decisions rendered
shall be final, binding, and conclusive, and shall constitute the final action of the Department.
D. Award announcements and contracts
The Department will review applications as they are received and will make awards
as follows:
1. Previous Awardees: For Local governments that have previously received an award and are applying for a new allocation of calendar year 2021 funds, awards will be made within 60 days of receipt.
2. First Time Awardees: For Local governments that have not previously received an award, those applications will be reviewed, and awards made at the end of each quarter beginning in July 2022 with subsequent awards made in October 2022 and January 2023. Award recommendations will be posted on the
PLHA webpage.
V. Other state requirements
A. Pet Friendly Housing Act of 2017
Housing funded through this program is subject to the Pet Friendly Housing Act of
2017 (HSC Section 50466). Each awardee will be required to submit a signed and
dated certification that residents of the program-funded Housing development will be authorized to own or otherwise maintain one or more common household pets as required by HSC Section 50466. Pursuant to this statute, “common household pet” means a domesticated animal, such as a dog or cat, commonly kept in the home for pleasure rather than for commercial purposes.
B. Accessibility and non-discrimination
All projects or programs shall adhere to the accessibility requirements set forth in
California Building Code Chapter 11A and 11B and the Americans with Disabilities
Act (ADA), Title II. In addition, projects or programs shall adhere to either the
Uniform Federal Accessibility Standards, 24 CFR Part 8, or HUD's modified version of the 2010 ADA Standards for Accessible Design (Alternative 2010 ADAS), HUD-2014-0042-0001, 79 F.R. 29671 (5/27/14) (commonly referred to as "the Alternative Standards" or "HUD Deeming Memo"). Accessible units shall, to the maximum
extent feasible and subject to reasonable health and safety requirements, be
distributed throughout the project and be available in a sufficient range of sizes and amenities consistent with 24 CFR Section 8.26.
Recipients shall adopt a written non-discrimination policy requiring that no person shall, on the grounds of race, color, religion, sex, gender, gender identity, gender
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expression, sexual orientation, marital status, national origin, ancestry, familial
status, source of income, disability, age, medical condition, genetic information,
citizenship, primary language, immigration status (except where explicitly prohibited by federal law), arbitrary characteristics, and all other classes of individuals protected from discrimination under state or federal fair housing laws, individuals perceived to be a member of any of the preceding classes, or any individual or
person associated with any of the preceding classes be excluded from participation
in, be denied the benefits of, or be subjected to discrimination under, any program or activity funded in whole or in part with program funds made available pursuant to this NOFA. Recipients shall comply with the requirements contained in the ADA, the Fair Housing Amendments Act, the California Fair Employment and Housing Act, the Unruh Act, GC Section 11135, Section 504 of the Rehabilitation Act, and regulations
promulgated pursuant to those statutes, including 24 CFR Part 100, 24 CFR Part 8, and 28 CFR Part 35, in all of the Sponsor's activities. IV. Other terms and conditions A. Right to modify or suspend The Department reserves the right, at its sole discretion, to suspend, amend, or modify the provisions of this NOFA at any time, including, without limitation, the
amount of funds available hereunder. If such an action occurs, the Department will
notify all interested parties and will post the revisions to the Department’s website.
B. Disclosure of application
Information provided in the application will become a public record and available for
review by the public, pursuant to the California Public Records Act (GC Section
6250 et seq.). As such, any materials provided will be disclosed to any person making a request under this Act. The Department cautions Applicants to use discretion in providing information not specifically requested, including, but not limited to, bank account numbers, personal phone numbers, and home addresses.
By providing this information to the Department, the Applicant is waiving any claim
of confidentiality and consents to the disclosure of submitted material upon request.
C. Conflicts
In the event of any conflict between the terms of this NOFA and either applicable state or federal law or regulation, the terms of the applicable state or federal law or regulation shall control. Applicants are deemed to have fully read and understand all applicable state and federal laws, and regulations pertaining to PLHA, and understand and agree that the Department shall not be responsible for any errors or
omissions in the preparation of this NOFA.
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APPENDICES
Appendix A
Entitlement and Non-Entitlement Local Government Formula Allocation for Calendar years 2019, 2020, and 2021. Please refer to Section II.A. Eligible Applicants for a discussion of the definition of Entitlement and Non-Entitlement Local Governments.
Entitlement Local Government Non-Entitlement Local Government
Local Gov Funding Amount 2019
Funding Amount 2020
Funding Amount 2021 Local Gov Funding Amount 2019
Funding Amount 2020
Funding Amount 2021
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Entitlement Local Government Non-Entitlement Local Government
Local Gov Funding Amount 2019
Funding Amount 2020
Funding Amount 2021 Local Gov Funding Amount 2019
Funding Amount 2020
Funding Amount 2021
(Colonia Del Norte
(Colonia
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Entitlement Local Government Non-Entitlement Local Government
Local Gov Funding Amount 2019
Funding Amount 2020
Funding Amount 2021 Local Gov Funding Amount 2019
Funding Amount 2020
Funding Amount 2021
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Entitlement Local Government Non-Entitlement Local Government
Local Gov Funding Amount 2019
Funding Amount 2020
Funding Amount 2021 Local Gov Funding Amount 2019
Funding Amount 2020
Funding Amount 2021
Santa
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Entitlement Local Government Non-Entitlement Local Government
Local Gov Funding Amount 2019
Funding Amount 2020
Funding Amount 2021 Local Gov Funding Amount 2019
Funding Amount 2020
Funding Amount 2021
Bernardino
Buenaventur South Lake
Obispo Tehama
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Entitlement Local Government Non-Entitlement Local Government
Local Gov Funding Amount 2019
Funding Amount 2020
Funding Amount 2021 Local Gov Funding Amount 2019
Funding Amount 2020
Funding Amount 2021
Barbara Tuolumne
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Entitlement Local Government Non-Entitlement Local Government
Local Gov Funding Amount 2019
Funding Amount 2020
Funding Amount 2021 Local Gov Funding Amount 2019
Funding Amount 2020
Funding Amount 2021
West
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Appendix B
List of High-cost Areas in California
High-cost Area by County
High-cost Area pursuant to Federal Housing Finance Agency’s Maximum Loan Limits for Mortgages Acquired in Calendar Year 2020
Department of Housing and Urban Development Very Low-Income Adjustments due to High-Housing
Alameda x
Contra Costa x
El Dorado x
Imperial x
Los Angeles x
Madera x
Marin x
Merced x
Monterey x
Napa x
Orange x
Placer x
Sacramento x
San Benito x
San Diego x
San Francisco x
San Luis Obispo x
San Mateo x
Santa Barbara x
Santa Clara x
Santa Cruz x
Solano x
Sonoma x
Tulare x
Ventura x
Yolo x
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Appendix C
Estimate of Five-Year PLHA Allocation for Entitlement and
Non-Entitlement Local government
Local government Estimate 5-Year Funding Amount Local government Estimate 5-Year Funding Amount
Alameda $3,352,590 Alpine County $408,390
Alhambra $2,793,768 Alturas $475,835
Aliso Viejo $715,062 Amador City $395,168
Anaheim $12,931,710 Amador County $805,115
Antioch $2,365,410 American Canyon $704,612
Apple Valley $1,725,366 Anderson $622,622
Bakersfield $10,385,412 Angels $487,737
Baldwin Park $2,929,068 Arcata $1,056,372
Bellflower $3,081,744 Artesia $814,372
Berkeley $7,761,504 Arvin $831,563
Buena Park $2,215,452 Atwater $949,257
Burbank $2,863,092 Auburn $719,158
Camarillo $812,124 Avenal $627,912
Carlsbad $1,635,492 Benicia $848,754
Carson $2,488,380 Biggs $424,261
Cathedral City $1,699,338 Bishop $502,283
Cerritos $655,278 Blue Lake $409,715
Chico $2,342,088 Brawley $906,940
Chino $1,496,190 Butte County $2,000,572
Chino Hills $1,063,710 Calaveras County $1,238,865
Chula Vista $6,356,898 Calexico $1,222,996
Citrus Heights $1,876,554 Calimesa $532,699
Clovis City $2,193,654 Calipatria $462,611
Compton $4,618,320 Calistoga $511,540
Concord $2,932,710 Capitola $630,557
Corona $3,492,018 Carmel-by-the-Sea $491,704
Costa Mesa $3,171,486 Chowchilla $662,295
Cupertino City $993,060 Clearlake $875,203
Daly City $3,070,926 Coalinga $618,655
Davis $1,817,544 Colfax $432,196
Delano City $1,950,744 Colusa $515,507
Downey $3,121,674 Colusa County $500,961
El Cajon $3,872,292 Corcoran $683,453
El Centro $1,475,988 Corning $555,180
Elk Grove $2,638,722 Crescent City $485,092
El Monte $5,083,752 Del Norte County $844,787
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Entitlement Local government Non-Entitlement Local government
Local government Estimate 5-Year Funding Amount Local government Estimate 5-Year Funding Amount
Encinitas $936,264 Dinuba $889,749
Escondido $5,057,466 Dixon $692,710
Fairfield $2,345,460 Dorris $399,135
Fontana $5,886,732 Dos Palos $496,994
Fountain Valley $867,648 Dunsmuir $432,196
Fremont $3,846,960 El Centro $1,297,051
Fresno $20,445,618 El Dorado County $2,879,974
Fullerton $4,130,712 Etna $403,103
Gardena $1,979,262 Eureka $1,125,138
Garden Grove $5,966,058 Exeter $586,917
Gilroy City $1,465,554 Farmersville $589,562
Glendale $5,202,150 Ferndale $426,906
Glendora City $781,548 Firebaugh $572,371
Goleta $564,090 Fort Bragg $641,136
Hanford $1,772,808 Fort Jones $415,004
Hawthorne $3,676,914 Fortuna $651,715
Hayward $3,910,410 Fowler $486,414
Hemet $2,415,216 Glenn County $641,136
Hesperia $3,034,662 Grass Valley $813,049
Huntington Beach $3,290,970 Greenfield $839,497
Huntington Park $3,910,068 Gridley $555,180
Indio City $2,735,772 Grover Beach $727,093
Inglewood $4,414,656 Guadalupe $606,754
Irvine $4,547,862 Gustine $441,452
Laguna Niguel $920,484 Hidden Hills $428,228
La Habra $2,333,202 Hollister $1,081,498
Lake Forest $1,326,420 Holtville $495,671
Lake Elsinore $1,491,162 Humboldt County $2,066,693
Lakewood $1,625,082 Huron $597,497
La Mesa $1,132,854 Imperial $548,568
Lancaster $4,169,130 Imperial County $1,043,148
Livermore $1,251,240 Indian Wells $532,699
Lodi $2,017,590 Industry $393,581
Lompoc $1,362,162 Inyo County $622,622
Long Beach $17,560,704 Ione $452,032
Los Angeles $157,317,438 Jackson $524,764
Lynwood $3,788,322 King City $805,115
Madera $2,533,914 Kings County $980,995
Menifee $1,509,624 Lake County $1,450,450
Merced $3,112,314 Lakeport $475,835
Milpitas City $1,431,570 Lassen County $612,043
Mission Viejo $1,240,098 Lemoore $871,235
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Entitlement Local government Non-Entitlement Local government
Local government Estimate 5-Year Funding Amount Local government Estimate 5-Year Funding Amount
Modesto $5,818,482 Lincoln $1,219,029
Montebello $1,900,548 Lindsay $703,289
Monterey $698,514 Live Oak $537,988
Monterey Park $1,913,226 Livingston $653,038
Moreno Valley $6,178,854 Loomis $490,382
Mountain View $1,539,306 Los Banos $1,129,105
Napa City $1,909,260 Loyalton $405,747
National City $2,359,146 Madera County $1,643,522
Newport Beach $1,017,678 Mammoth Lakes $490,382
Norwalk $3,556,572 Maricopa $400,458
Oakland $22,226,850 Marina $945,290
Oceanside $3,894,906 Mariposa County $770,732
Ontario $5,520,108 Marysville $662,295
Orange $3,644,898 McFarland $676,841
Oxnard $6,950,574 Mendocino County $2,099,753
Palmdale $4,674,384 Merced County $1,865,687
Palm Desert $1,027,836 Modoc County $458,644
Palm Springs $1,153,422 Mono County $462,611
Palo Alto $1,388,976 Montague $412,359
Paradise $561,576 Mount Shasta $539,311
Paramount City $2,629,182 Napa County $859,334
Pasadena $5,616,456 Nevada City $473,190
Perris City $2,799,192 Nevada County $1,837,916
Petaluma $1,106,142 Orange Cove $608,076
Pico Rivera $2,033,838 Orland $555,180
Pittsburg $1,906,098 Oroville $822,306
Placentia $1,288,644 Pacific Grove $712,546
Pleasanton City $906,534 Palos Verdes Estates $580,305
Pomona $6,410,670 Parlier $801,148
Porterville $2,056,524 Pismo Beach $597,497
Rancho Cordova City $1,712,196 Placer County $2,730,542
Rancho Cucamonga $2,702,856 Placerville $664,940
Rancho Santa Margarita $608,376 Plumas County $727,093
Redding $2,020,884 Plymouth $404,425
Redondo Beach $784,980 Point Arena $404,425
Redwood City $2,086,314 Portola $452,032
Rialto $3,586,716 Rancho Mirage $1,032,569
Riverside $9,732,750 Red Bluff $744,284
Rocklin City $807,828 Rio Dell $474,513
Rosemead $2,059,428 Rio Vista $577,661
Roseville $1,880,196 Riverbank $732,382
Sacramento $14,142,402 San Benito County $727,093
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Entitlement Local government Non-Entitlement Local government
Local government Estimate 5-Year Funding Amount Local government Estimate 5-Year Funding Amount
Salinas $6,041,082 San Joaquin $471,868
San Bernardino $9,732,162 San Juan Bautista $455,999
San Clemente $1,134,240 San Juan Capistrano $1,418,712
San Diego $34,741,098 Sand City $402,838
San Francisco $52,308,210 Santa Cruz County $3,395,713
San Jose $26,091,876 Scotts Valley $622,622
San Leandro $2,099,760 Shasta County $1,721,544
San Marcos City $1,915,068 Shasta Lake $613,366
San Mateo $2,051,364 Sierra County $405,747
Santa Ana $16,822,236 Siskiyou County $852,722
Santa Barbara $2,718,654 Solano County $769,410
Santa Clara $2,876,946 Soledad $725,770
Santa Clarita $3,529,554 Sonora $548,568
Santa Cruz $1,588,464 South Lake Tahoe $994,219
Santa Maria $4,400,826 St. Helena $534,021
Santa Monica $3,285,096 Suisun City $928,099
Santa Rosa $4,165,950 Susanville $559,147
Santee $806,244 Sutter County $698,000
Seaside $1,158,744 Sutter Creek $471,868
Simi Valley $1,742,142 Taft $543,278
South Gate $4,327,920 Tehama $393,581
South San Francisco $1,307,880 Tehama County $1,120,113
Stockton $10,268,580 Trinidad $396,491
Sunnyvale $3,198,138 Trinity County $729,738
Temecula $1,640,358 Truckee $627,912
Thousand Oaks $1,776,240 Tulare County $3,501,506
Torrance $2,666,244 Tulelake $411,037
Tulare $1,910,598 Tuolumne County $1,453,095
Turlock $1,859,124 Ukiah $778,667
Tustin $2,313,270 Vernon $392,259
Union City $1,523,610 Wasco $813,049
Upland $1,667,022 Weed $459,966
Vacaville $1,443,000 Westmorland $436,163
Vallejo $3,032,214 Wheatland $432,196
San Buenaventura $2,144,634 Williams $485,092
Victorville $3,796,620 Willits $553,857
Visalia $3,784,890 Willows $561,792
Vista $2,453,292 Winters $532,699
Walnut Creek $830,694 Woodlake $539,311
Watsonville $2,175,090 Yolo County $819,661
West Covina $2,332,578 Yountville $486,414
Westminster $3,063,462 Yreka $612,043
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Entitlement Local government Non-Entitlement Local government
Local government Estimate 5-Year Funding Amount Local government Estimate 5-Year Funding Amount
West Sacramento $1,420,074 Yuba County $1,634,265
Whittier $2,299,140
Woodland $1,493,934
Yorba Linda $639,174
Yuba City $1,866,840
Alameda County $5,603,190
Contra Costa County $13,021,068
Fresno County $9,860,088
Kern County $12,962,064
Los Angeles County $66,150,756
Marin County $4,353,426
Monterey County $3,890,280
Orange County $7,632,984
Riverside County $23,977,026
Sacramento County $16,324,956
San Bernardino County $20,754,846
San Diego County $11,879,796
San Joaquin County $7,861,158
San Luis Obispo County $5,235,012
San Mateo County $7,257,300
Santa Barbara County $3,418,722
Santa Clara County $4,420,398
Sonoma County $5,396,358
Stanislaus County $6,929,892
Ventura County $5,158,494
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Appendix D Housing Element and Annual Progress Report (APR) Submittal Status Requirement stated in Guidelines Section 302(a) and (b)
To be eligible to apply, jurisdictions are required to have a housing element that has been adopted
by the jurisdiction’s governing body and subsequently determined to be in substantial compliance with state Housing Element Law pursuant to GC Section 65585 by the application date. If the application is submitted within 120 days of the housing element due date, the Department may refer to the jurisdiction’s compliance from the prior cycle.
To verify current status and eligibility for PLHA funds, please consult the following resources: Housing Element Compliance: Housing Element Review and Compliance Report | California Department of Housing and Community Development Annual Progress Report Submittal: Annual Progress Reports - Data Dashboard and Downloads | California Department of Housing and Community Development Please note that PLHA is an over-the-counter program, allowing Applicants to apply at any point during the OTC application window of August 17 to October 31. If a jurisdiction is currently out of compliance, that jurisdiction, once it reaches compliance with the housing element and APR requirements, will be eligible for these funds.
For questions about Housing Element Compliance, please email housingelements@hcd.ca.gov. For inquiries on status of APR submittal, please email APR@hcd.ca.gov.