In November 2006, the California voters approved Proposition 1C, the Housing and Emergency Trust Fund Act of 2006 (SB 1689, Perata), which authorized the issuance of bonds in the amount of $2.85 billion. Proceeds from the sale of the bonds will fund existing affordable and support housing programs, including the Multifamily Housing Program, the Emergency Housing Assistance Program, the Farmworker Housing Grant Program, and the Downpayment Assistance Program. In addition, Proposition 1C establishes funds totaling $1.15 billion to promote three types of housing projects that have never before received public support in such a targeted way: 1) infill development 2) transit-oriented development (TOD), and 3) brownfield development. $850 million is authorized by Prop 1C to be spent on the infill and brownfield programs, to be administered by the Department of Housing and Community Development (HCD) and the California Pollution Control Financing Authority (CPCFA) respectively, and an additional $300 million is authorized for the TOD program, to be administered by HCD. The vision behind all three programs is that they will provide direct assistance to mixed-income, mixed-use developments with the greatest potential for catalyzing community growth and revitalization across the state.
HCD intends to distribute the $285 million ($15 million is being held for HCD overhead expenses) in TOD funds over a three year period. Follow-up legislation was enacted in August of 2007 (SB 86) to provide additional guidance on the administration of the other two programs. SB 86 and subsequent emergency legislation resulted in appropriation and subsequent awarding of funds for the three programs during the 2007/2008 fiscal year at the following level:
TOD Program: $145 million
Infill Program: $340 million
Brownfield Program: $60 million
The legislature appropriated funds for the 2008/2009 fiscal year at the following level:
TOD Program: $95 million
Infill Program: $197 million
Brownfield Program
A. Funds Available Participants in the new CALReUSE cleanup program will be eligible for up to $5 million in grants and loans combined, per infill residential/mixed-use project, with a minimum award of $50,000.
B. Cleanup Program Outline
Eligible Applicants : Any public or private sector developer
Eligible Costs:
Cleanup, mitigation, & remediation
Mid-project assessment
Technical assistance
Governmental oversight
Environmental insurance (up to 20% of award)
Capitalization of operation & maintenance funds
Threshold Criteria - Grants:
At least 15% affordable units and meet Mullin densities
OR devote a substantial number of units to supportive housing
All other projects eligible for loans at 6-month LIBOR interest rate
Ranking Criteria:
Readiness
Located in Economically Distressed Community
Percentage & depth of affordability
Green building methods
No O&M
CLICK HERE to download a more detailed outline of threshold and ranking criteria.
C. Current Status
CCLR is currently working with the state in a strategic partnership capacity for this new funding program, and recently completed the first round of funding in November 2008. Additional funding is anticipated to become available by mid-2009. Applications for the second round of funding are not yet available. However, if you are considering applying in the second round, please contact Louisa Smythe at 415.398.1080 or louisa.smythe@cclr.org so that we may keep you up to date. You may also request from Louisa a copy of the last funding round's application form to provide some direction as you begin to pull your application materials together.
D. Projected Timeline
Notice of Funding and applications will be available by early spring, 2009
Award announcements will follow by early summer, 2009
E. More Information
CLICK HERE to download the complete CALReUSE program regulations. The Remediation Program regulations begin on page 25 with Subarticle 2, Section 8102.
CLICK HERE to download detailed outline of programmatic threshold and ranking criteria.
CLICK HERE for more info on the current Cal ReUSE forgivable loan program for brownfield site assessment and characterization,
technical assistance, and remedial action planning.
Infill Development Program
A. Funds Available HCD has aportioned the $197 million in the following fashion:
Approximately $98.5 million to Qualifying Infill Areas and to Large Multi-Phased Qualifying Infill Projects (over 200 units)
Approximately $98.5 million to Qualifying Infill Projects that do not qualify as Large Multi-Phased.
Maximum assistance is $50 million over the life of the program to any one project or area. The current NOFA establishes per-project grant fund ranges as follows:
$500K ($250K for rural areas) - $20 million per Qualifying Infill Project
$2 million ($1 million for rural areas) - $30 million per Qualifying Infill Area or Large Multi-Phased Qualifying Infill Project
B. Program Outline
Eligible Applicants:
For-profit and non-profit developers (for Qualifying Infill Projects only).
Cities and counties.
Public housing authorities.
Redevelopment Agencies.
Business Improvement Districts (as co-applicant only).
Eligible Costs:
Project-specific creation, development, or rehabilitation of parks or open space.
Water, sewer, utilities, or other infrastructure related to the infill development.
Roads, parking structures, and transit linkages.
Support for alternative transit modes, including walking, bicycling, and ride sharing.
Traffic mitigation.
Demolition and site preparation (including remediation).
Sidewalks and streetscapes.
Storm drains, detention basins, culverts, and similar drainage features.
Threshold Criteria:
Eligible projects are residential or mixed-use residential projects within an urbanized area on a previously developed site.
The project site must be designated for residential or mixed-use residential development in a general plan, redevelopment plan, capital improvement plan, regional blueprint, or regional transportation plan.
The project must be in a city or county that has an HCD-approved housing element.
The project or area served by the grant must include 15 percent of units that will be affordable at specified affordability levels.
The project must be developed at a density that is equal to or greater than the Mullin densities described in housing element law, namely 30 units per acre for jurisdictions in metropolitan counties, 20 units per acre in "suburban" jurisdictions, 15 units per acre in cities in non-metropolitan counties, and 10 units per acre in unincorporated areas in non-metropolitan counties.
Ranking Criteria:
Project readiness:
- Environmental review
- Land use entitlements
- Funding
- Local support
The extent to which the project exceeds the Mullin density thresholds.
Affordability.
The extent to which the project includes elements designed to achieve reductions in vehicle trips, emissions, or miles traveled based on the following criteria:
- Proximity to public transit
- Accessibility to alternative transit modes (walking, biking, or ride share)
- Consistency with a regional growth blueprint that fosters efficient land use
- Availability of pedestrian-friendly project features
C. Current Status
The first round of awards were finalized and approved by HCD's Local Assistance Loan and Grant Committee at their June, 2008 meeting.
CLICK HERE to download the Committee's June meeting agenda listing all Infill and TOD awardees.
NOFA and guidelines for the second round of funding were published early February, 2009.
Applications for Round Two are not yet available, but applications for the first round may be downloaded from the HCD website by clicking here.
D. Projected Timeline
Applications are due Wednesday, April 1, 2009. Application materials will be posted shortly on the HCD website (See below).
A. Funds Available HCD guidelines set a maximum combined award of $17 million per eligible residential or mixed-use TOD project for both infrastructure and direct construction assistance:
Grants to municipalities for infrastructure supportive of eligible TOD projects
Loans to developers for the development of rental units at eligible TOD projects
Grants to municipalities for loans to first-time homebuyers through BEGIN program for for-sale units at eligible TOD projects
B. Program Outline
Eligible Applicants :
Infrastructure grants: municipalities and public transit agencies
Rental housing developments: developers
Homeownership housing developments: developers with the locality
Eligible Costs - Infrastructure Projects:
Capital improvements either required by the city/transit agency/special district, OR that improve pedestrian/bicycle access to a transit station:
Property acquisition
Construction work
Engineering design/supervision
Environmental studies/remediation/mitigation
Relocation costs
Replacement parking required by public agency
NOT eligible: local agency project admin & planning
Eligible Costs - Housing Projects:
Costs for housing development, pursuant to MHP regulations
Land acquisition (redevelopment agencies only)
Threshold Criteria - Housing Projects:
Minimum 50 units
Located in one of 27 defined urbanized areas
Located within 1/4 mile of qualifying transit station
Located within 1/2 mile of transit station along walkable route
At least 15% affordable units
Meet minimum density thresholds
Construction has not commenced
Site control
Ranking Criteria:
Ridership
Local coordination
Affordability
Transit-supportive land uses
Walkable corridors
Parking
Readiness of housing
Leverage
Developer past performance
Community support
Project size
Adopted economic development plan
Economic stimulus funding / local support
C. Current Status
The first round of awards were finalized and approved by HCD's Local Assistance Loan and Grant Committee at their June, 2008 meeting.
CLICK HERE to download the Committee's June meeting agenda listing all Infill and TOD awardees.
NOFA and guidelines for the second round of funding were published early February, 2009.
Applications for Round Two are not yet available, but applications for the first round may be downloaded from the HCD website by clicking here.
D. Projected Timeline
Applications are due Thursday, April 2, 2009. Application materials will be posted shortly on the HCD website (See below).
