TITLE
Recommendation to authorize Executive Director, or designee, to release a Request for Proposals (RFP) advertising the availability of Project-Based Vouchers (PBV) and solicit participation in the program from interested property owners of affordable units; and, authorize Executive Director, or designee, to negotiate and execute agreement(s) to enter into Housing Assistance Payment contract(s) for PBV assistance in accordance with Housing and Urban Development (HUD) guidelines for qualified proposals submitted in response to this RFP and approved by HUD. (Citywide)
DISCUSSION
Chapter 17 of the Housing Authority of the City of Long Beach (HACLB) Administrative Plan regarding Project-Based Voucher Rental Assistance was established and approved by the Housing Authority Commission on October 1, 2018.
The PBV Program in Long Beach has been designed to meet affordable housing needs in opportunity areas within the city as the statute required. To date the housing authority has project based 885 units and has committed an additional 142 units within the next two years. These developments ensure that affordable housing opportunities will exist for decades to come.
This new RFP is designed to further deconcentrate poverty and expand housing economic opportunities for low-income families. This monumental task takes the collaboration of many entities to provide appropriate housing alternatives. Therefore, the HACLB is looking for property owners seeking to preserve affordability or interested in constructing new housing units, or control of site to construct affordable units as a partner with the HACLB.
The selected development(s) will have up to 250 affordable units of permanent housing. To begin construction and/or rehab of the development(s), the HACLB and the owner(s) must execute an Agreement to enter a Housing Assistance Payment Contract (AHAP). The AHAP between the HACLB and the owner(s) establishes the initial rents for the units and describes the responsibilities of the HACLB and the owner(s). Once work is completed, the HACLB and the owner(s) will execute a Contract (HAP) for a 20-year term. After the initial 20 years term, future contracts may be renewed subject to availability of continued HUD funding and the developers good standing with the HACLB.
This matter was reviewed by Principal Deputy City Attorney Richard F. Anthony on September 21, 2022 and by Budget Analysis Officer Greg Sorensen on September 22, 2022.
TIMING CONSIDERATIONS
Housing Authority Commission action is requested on October 11,2022 meeting, to allow staff to move forward with the release of an RFP.
FISCAL IMPACT
HUD approval of the selected PBV development(s) would provide for additional grant funding for 20 years for up to 250 rental units, including administrative funding to administer the contract. Sufficient appropriations are currently budgeted in the Housing Authority Fund Group in the Health and Human Services Department, offset by HUD grant revenues. Existing staff will administer the program and no additional staffing will be required. This recommendation has no staffing impact beyond the normal budgeted scope of duties and is consistent with existing City Council priorities. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
KELLY COLOPY
ASSISTANT EXECUTIVE DIRECTOR
APPROVED:
THOMAS B. MODICA
EXECUTIVE DIRECTOR