REPORT TO THE CITY COUNCIL
FROM: JENNIFER CLARK, Director
Planning & Development Department
PHIL SKEI, Assistant Director
Planning & Development Department
BY: MAYRA MERINO, Senior Management Analyst
Planning & Development Department
SUBJECT
Title
***RESOLUTION - Amending Resolution Number 2021-201 to Update the Local Housing Trust Fund Program Guidelines (Subject to Mayor’s Veto)
Body
RECOMMENDATION
Staff recommends that the City Council adopt the Amendment of Resolution Number 2021-201 to delete Program Guidelines 02 and replace it with “Revised Program Guidelines 02”. The revisions incorporate community feedback, updated policy objectives, and recent Council direction regarding the Eviction Protection Program (EPP) for the City’s Local Housing Trust Fund (LHTF).
EXECUTIVE SUMMARY
On July 29, 2021, the City Council adopted Resolution No. 2021-201 establishing the Local Housing Trust Fund (LHTF) to support affordable housing initiatives citywide. That Resolution included two program guidelines to govern the effective use of funds.
Program Guidelines 02, which applies to locally generated funds such as the City’s Real Estate Transfer Tax, have now been reviewed and updated to better reflect current housing needs and community priorities. In 2025, the City conducted a robust outreach process including community meetings, surveys, and local pop-up events. Feedback from this process emphasized the need for clearer eligibility criteria and refined activity types to ensure funding is directed toward the most pressing housing challenges.
Based on this input, staff have prepared Revised Program Guidelines 02. The updated guidelines now include clearly defined eligible activity types, updated income targeting to support households earning no more than 80% of Area Median Income (AMI), and refined eligibility criteria to ensure transparency and alignment with community priorities. Additionally, in response to urgent community needs, the Council adopted Resolution No. 2025-263 on September 11, 2025, directing the removal of income restrictions and income verification requirements for LHTF funds when utilized to support the Eviction Protection Program (EPP), effective July 1, 2025. This directive is incorporated into the Revised Program Guidelines 02 and was adopted without additional community outreach due to the urgency of maintaining uninterrupted EPP services.
Adoption of this amendment will formally replace the original guidelines with the revised version and ensure that the LHTF continues to operate in alignment with community-supported housing goals.
BACKGROUND
Resolution No. 2021-201 established the LHTF and adopted Program Guidelines 01 and 02. While Program Guidelines 01 governs State LHTF funds, Program Guidelines 02 governs the use of locally generated funds, including the City’s Real Estate Transfer Tax.
To ensure the program continues to reflect current housing needs, the City undertook extensive community engagement in 2025. Activities included two community meetings hosted in Districts 2 and 3, a booth at the Why Not Wednesday market event, and distributions of online and in-person surveys at all events as well as at the San Joaquin Valley Housing Collaborative Summer Movie Night event. Feedback highlighted the need for clearer definitions of eligible activities, stronger alignment with community priorities, and refinement of program objectives. The attached Revised Program Guidelines 02 incorporate this feedback and replaces the previously adopted Program Guidelines 02.
In addition to community-informed updates, the Revised Program Guidelines 02 also reflect Council action taken on September 11, 2025, via Resolution No. 2025-263, which directed the removal of income restrictions and income verification requirements when LHTF funds are utilized to support EPP. This action was taken to ensure public benefit and is effective July 1, 2025.
ENVIRONMENTAL FINDINGS
The proposed action is not a project pursuant to the definition in the California Environmental Quality Act (CEQA) Guidelines section 15378.
LOCAL PREFERENCE
Local preference does not apply, as this action does not involve the award of contracts for construction or services.
FISCAL IMPACT
This action has no impact on the City’s General Fund.
Attachment:
Amendment to Resolution Number 2021-201