Housing commission asks staff to explore allocating remaining CDBG capital funds

The Housing and Human Services Commission on March 25 reviewed staff recommendations for Community Development Block Grant (CDBG) and HOME/HOME‑ARP funding, heard presentations from three applicants and voted to have staff work with those organizations to see whether remaining uncommitted capital funds can be allocated before council action.

Matt Hazel, the city’s housing programs analyst, told the commission staff recommended fully funding two CDBG capital applicants — Rebuilding Together Silicon Valley’s repair and accessibility program for $200,000 and Upwards’ Boost program for $119,000 — because the total requests were less than the amount available. "Staff recommends funding both programs fully," Hazel said.

The commission also reviewed proposals to administer a two‑year tenant‑based rental assistance (TBR) program funded largely with HOME and HOME‑ARP dollars. Sunnyvale Community Services (SCS) proposed to serve 40 households at a time and use approximately $2 million in rental assistance over two years; Marie Bernard of SCS said the agency’s TBR approach has returned strong results, noting that "87% of these formerly unhoused individuals exited into stable housing after being unhoused." Staff recommended SCS to continue administering the TBR program based on experience operating the city’s program and the ability to quickly expend federal funds.

Applicants had three‑minute presentations. Deian Everton, executive director of Rebuilding Together Silicon Valley, described a volunteer‑centered repair program that focuses on safety and accessibility modifications for low‑income homeowners, saying the group has completed projects in Sunnyvale since 2023 and proposed to serve 13 homeowners with the requested CDBG award. Melanie, representing Upwards’ Boost program, described technical assistance for microenterprise in‑home childcare providers and highlighted local results: Boost has supported eight Sunnyvale providers this year and "providers earn less than $19 an hour," she said, arguing the program helps create teaching‑assistant jobs and unlock more childcare slots.

Commissioners questioned applicants on licensing, safety, program capacity and the ability to spend additional funds quickly. Staff and commissioners also reviewed prior unspent funds — including about $341,000 freed when the Downtown Streets Team closed — and budget rules for CDBG (administration and public service set‑asides) and HOME (CHDO set‑aside rules). Hazel said that after funding the two CDBG applicants fully there remained roughly $550,000 of uncommitted capital funds that could be considered for allocation, but cautioned that CDBG rules limit some eligible uses and that additional staff work would be needed to confirm whether applicants could absorb more funding this cycle.

During the public hearing, two speakers urged the commission to adopt staff recommendations and award the TBR contract to SCS. Agnes Ve, who said she sits on the boards of Livable Sunnyvale and Sunnyvale Community Services, told commissioners she supported awarding the contract to SCS. Chuck Freley, speaking as a resident, also urged adoption of staff recommendations.

Vice Chair River moved an alternative motion directing staff to recommend the awards as proposed and to work with the applicants to determine whether and how to allocate remaining uncommitted CDBG capital funds; the motion passed 4–1 (Commissioner Davis opposed; Commissioner Shen absent). The commission’s vote instructs staff to consult with applicants and return recommendations for council consideration as part of the city’s action‑plan process.

Staff announced next steps and upcoming items: a council discussion on safe parking is scheduled for April 21 and the county will present its community plan to end homelessness to council on April 7. The commission was told staff intends to bring a draft strategic plan on homelessness outreach to the commission in June and to council in July. The meeting adjourned at 8:22 p.m.