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Board approves PLHA plan amendment to shift funds to housing development activities
Summary
The Board approved an amendment to Nevada County's five-year Permanent Local Housing Allocation plan to reallocate upcoming rounds from matching regional housing trust funds to direct development activity (activity 2) because prior local matching funds have sunsetted; rounds 4 and 5 will total roughly $808,000 and be allocated via RFPs in collaboration with Nevada City and Grass Valley.
The Nevada County Board of Supervisors voted unanimously to approve an amendment to the county's PLHA (Permanent Local Housing Allocation) five-year plan and authorized staff to submit the amended plan to the California Department of Housing and Community Development.
Housing and Community Services Director Tyler Barrington summarized PLHA background: created under the Building Homes and Jobs Act (SB 2) with a $75 recording fee that funds local housing activities. Since 2020 the county followed a plan that used funds mostly to match regional housing trust funds; local matching dollars used previously have since sunseted.
Because matching funds are no longer expected, the department proposed reallocating future rounds (rounds 4 and 5) to activity 2 (rental and ownership development, including acquisition and rehab) while keeping approximately an 80/20 split between development and homelessness/navigation services. The staff presentation noted prior uses of PLHA funds: 51 workforce units in Nevada City (Round 1), five owner-occupied homes through Habitat for Humanity (Rounds 2 and 3), and support for senior housing and winter sheltering.
Supervisors asked whether PLHA fees are jurisdictional (they are) and whether Truckee participates (Truckee administers its own PLHA). Board members requested supporting detail on contribution amounts and proportional allocation among Grass Valley, Nevada City, unincorporated county and Truckee; staff agreed to provide those numbers and to check MOU expiration details. After receiving no public comment, the board approved the amendment and the resolution authorizing application for the amended plan.
Why it matters: The reallocation preserves the county's ability to fund affordable housing and homelessness services despite the loss of local match dollars. Funds will be distributed through an RFP process with the two cities as collaborators.
Next steps: Staff will provide requested jurisdictional allocation figures and MOU timing to the board and will pursue the RFP process for eligible projects.
