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Board Approves County Application for Homekey Plus — Plans 89 Modular Units on Lewis Road Campus
Summary
Supervisors approved county staff’s request to apply for Homekey Plus funding to build an 89‑unit modular permanent supportive housing project on a 2.3‑acre parcel at the Lewis Road campus; the county proposed $10M in local matching (capital and operating) and partner Many Mansions as operator.
The Board of Supervisors on April 8 authorized county staff to apply for Homekey Plus funding for a permanent supportive housing project on a 2.3‑acre parcel of the county’s Lewis Road campus.
Tracy McCauley, housing solutions director, told the board the county had completed a request for qualifications for a developer and an operator and selected Dignity Moves (with LifeArc as modular builder and Swinerton as general contractor) as developer and Many Mansions as the property manager and services operator. McCauley described the planned project as an 89‑unit modular development with 88 studio efficiency permanent supportive housing units and one two‑bedroom manager’s unit; she cautioned that site plans may be refined to meet local and state requirements.
"To maximize the Homekey award, your board is asked to approve matching funding," McCauley told supervisors. In the application staff asked the board to commit up to $5,000,000 in general fund capital match and up to $3,000,000 in general fund operational match, along with $2,000,000 in Behavioral Health Services Act funds. During the presentation McCauley said the county intended to submit a Homekey Plus application for an award not to exceed $30,000,000.
State Housing and Community Development (HCD) rules allow awardees to match local operating commitments up to five years and HCD offered to match local operating commitments for five additional years in certain circumstances — effectively enabling up to a 10‑year combined subsidy program if the county commits local operating funds. McCauley said the county executive office would continue to explore alternate sources to reduce the county general‑fund contribution.
Board discussion centered on the need to move quickly because Homekey Plus awards are being made on a rolling basis. Supervisors approved the application authority unanimously.
Why it matters: Homekey has been a major state effort to rapidly convert properties to permanent supportive housing; a county‑owned Lewis Road site could yield nearly 90 rapid permanent placements for people experiencing homelessness. The county’s proposed local matches — capital and operating — are substantial and staff said they would seek to reduce the county’s share where possible by finding alternative funding sources.
What’s next: Staff will submit the Homekey Plus application, and the county anticipates award notifications on a rolling basis this summer or early fall. If awarded, the county will move to execute agreements and begin modular procurement, site preparation and service contracting for operations and tenant support.
