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Supervisors press county staff on housing crediting and warn of voucher defunding
Summary
Board discussion on a housing status report noted the county has delivered only 3.23% of targeted low-income RHNA units so far; supervisors asked staff to explore whether county-funded housing can receive RHNA credit and asked for analysis after HUD's notice that $12 million in emergency housing voucher funding is being defunded beginning September 2025.
The Board reviewed the county’s housing status report on March 25 and several supervisors expressed concern about slow progress on lower-income housing production.
Supervisor Vicente Sarmiento said the county has built only 3.23% of targeted low-income units (69 units) in the current RHNA cycle and urged more aggressive approaches including small-scale housing ("tiny homes") and partnership strategies. Vice Chair Katrina Foley asked OC Housing Director Julie Bidwell about an abrupt HUD notice she had received: Bidwell confirmed a March 6 notice that a portion of emergency housing vouchers (which the Board had expected to cover rental assistance through a multi-year period) will be defunded, describing the vouchers as rental assistance rather than physical housing units and saying that the ASR/report predated the HUD notice.
Bidwell explained the county’s current practice of negotiating 'arena' transfers (credit transfers) with cities for regionally funded housing projects and noted the county can request but not compel cities to accept transfers; she said some regional funding sources include transfer provisions while others do not. Board members asked staff to analyze whether the transfer practice is legal requirement or simply policy and to return with recommended language changes to require transfers where law allows so the county can receive credit for county-funded units.
No substantive policy change was adopted at the meeting; the Board approved the item as presented and asked staff for follow-up analysis and better intergovernmental coordination on crediting and voucher impacts.
