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Garden Grove approves SB2/PLHA application, reallocates funds to first‑time buyers and rental preservation
Summary
The council approved an amended five‑year PLHA plan and authorized a $653,368 application to the state, reallocating prior PLHA funds toward first‑time homebuyer assistance and affordable rental preservation (staff reported Orchard Grove rehab preserved 60 affordable units).
Garden Grove — The City Council voted June 23 to amend its five‑year Permanent Local Housing Allocation (PLHA) plan and authorize city staff to submit an over‑the‑counter SB2/PLHA application to the California Department of Housing and Community Development.
Housing staff reported that the city’s prior PLHA awards (2019–2023) totaled approximately $5.75 million and that roughly 67% of awarded funds have been expended to date. Notable accomplishments cited: Orchard Grove Apartments rehabilitation (78 units rehabbed, 60 preserved as affordable by covenant extension), Yale Navigation Center operational support reaching 306 individuals, and a first‑time homebuyer program that assisted 12 households.
For the current application the city is requesting $653,368 in new PLHA funds (about $620,700 for affordable rental housing activity and the balance for administration). Staff also proposed and the council approved an internal amendment moving $724,575 from rental housing to home‑ownership activity to expand first‑time buyer assistance; after the amendment the plan shows roughly $620,700 toward rental development, $89,820 for home ownership assistance and approximately $75,290 for administration.
City staff said PLHA funds are limited by recording‑fee receipts and an administrative cap on program management; the award is over‑the‑counter based on the city’s allocation formula and staff expects the requested funds will be granted by HCD if the application is complete.
What happens next: the city manager was authorized to execute the grant application and associated documents. Economic Development and Housing staff will proceed to allocate funds per the amended plan and advance projects for rental preservation and home‑buyer assistance.
