Newsom Administration Announces Homekey, Housing Affordability Awards
The Newsom Administration recently announced a series of actions related to homelessness and housing. Below, we highlight these actions:
Homekey Awards Issued to More Jurisdictions
Governor Gavin Newsom this month announced additional awards for new Homekey projects to provide housing units to people exiting homelessness. Homekey, launched in 2020, seeks to provide more permanent housing in California by acquiring and renovating apartment buildings, hotels, and other similar buildings.
The most recent awards include funding to the County of Marin ($15.5 million), the County of San Mateo ($16 million), the City of Los Angeles ($21 million), and the City of Sacramento ($24 million). According to the Newsom Administration, Homekey has awarded more than $350 million to 16 projects, creating more than 1,300 housing units for residents most in need. The Administration has also recently launched an awards dashboard.
Additional Homekey awards will be announced in the coming weeks. Applications from local jurisdictions are being accepted on a rolling basis until funds are exhausted or May 2, 2022, whichever comes first.
Housing Accelerator Program Issues Over $900M in Awards
The Newsom Administration also recently announced it has provided more than $923 million in awards for affordable housing projects as part of the state’s California Housing Accelerator, a $1.75 billion investment to provide bridge funding to shovel-ready projects that were otherwise unable to begin construction because of a shortage of federal tax credits and bonds.
In total, 27 statewide projects have been approved to date with nearly all of the projects expected to break ground this summer. When fully completed, the projects will create 2,300 housing units, 500 of which will be designated for those experiencing homelessness. The Housing Accelerator Program prioritizes projects for those experiencing homelessness and for those below 30 percent of the Area Median Income.
The California Department of Housing and Community Development (DHCD) oversees the Housing Accelerator Program with funding derived from the Coronavirus State Fiscal Recovery Fund, enacted by the American Rescue Plan Act (ARPA). The next round of Accelerator projects will be a competitive process with an additional $735 million available.
Additional information is available here.