San Mateo County - Affordable Housing Fund (AHF)
As of October 2018, there have been six completed NOFA rounds (funding rounds) of the County's Affordable Housing Fund (AHF).
Below is a summary of these funding rounds:
In April 2013, the San Mateo County Board of Supervisors approved the allocation, through a “Notice of Funding availability” (NOFA) process, of approximately $13.4 million of unrestricted General Funds for affordable housing purposes. These funds were derived from a one-time distribution of Housing Trust Funds held by former redevelopment agencies in San Mateo County. These unrestricted general funds – which initiated the County’s Affordable Housing Fund (AHF) – were set aside to provide financial assistance for the development of multifamily affordable rental housing and provision of emergency and transitional shelter in the County. The Board directed the County’s Department of Housing to develop allocation guidelines and recommend projects for funding. As of May 2014, approximately $13.2 million of AHF funds have been allocated, collectively, to six multifamily affordable rental housing developments and four emergency and transitional housing projects (“AHF 1.0”).
On August 5, 2014, the County Board of Commissioners authorized the Housing Authority of the County of San Mateo to publish another NOFA, using funds from the Housing Authority’s Housing Assistance Program (HAP) Reserves to create affordable housing options for low-, very low-, and extremely low-income households. A total of $4.5 million was awarded to four projects, including three multifamily affordable housing rental developments and a low-income homeownership project, and $500,000 was allocated to support an agricultural workforce housing program. This became the second funding round of the AHF (“AHF 2.0”).
The third AHF NOFA (“AHF 3.0”), was released on April 1, 2015 and reflected a combination of funding from County and Housing Authority (Federal) sources. In November 2012, San Mateo County voters approved Measure K, a ten-year half-cent general sales tax, to maintain the quality of life for all County residents by providing essential services and maintaining and/or replacing critical facilities. On March 17, 2015, the Board of Supervisors approved the use of $2.5 million from Measure K funding in FY 2015-16 for affordable housing projects. These funds were combined with an additional $3.5 million in funding from the Housing Authority's Housing Assistance Program (HAP) reserves for a total of $6 million available under AHF 3.0. A total of $5.4 million was awarded to five new-construction multifamily affordable rental developments targeting extremely-low and very-low income households, including homeless households, and $1 million was allocated for a pilot demonstration program aimed at acquisition and preservation of existing "naturally occurring" affordable housing stock. The remaining $600,000, plus $200,000 of additional Measure K funds, was to be added to the AHF 4.0 NOFA round.
Since the release of AHF 3.0, an additional $2.92 million has been allocated by the Board of Supervisors for the pilot acquisition and preservation program, bringing the total funding for the program to $3.92 million and facilitating the acquisition and preservation of two multifamily rental developments (one in Pacifica and one in San Mateo) that will be affordable over time.
The fourth AHF NOFA ("AHF 4.0") was released in April 2016, making $9.24 million available for new construction of affordable multi-family rental housing and rehabilitation of existing income-restricted affordable housing developments. AHF 4.0 was comprised of $6.18 million in Measure K funds, $2 million in Housing Authority HAP reserves, and $1.06 million in former Redevelopment Agency funds redirected to the County's General Fund. In September 2016, the Board awarded a total of $8.65 million to six new-construction multifamily affordable and workforce rental developments targeting extremely-low-income, very-low-income, and low-income households, including homeless households and veterans. The remaining $586,000 from AHF 4.0 will be held and added to future AHF NOFA rounds.
The fifth AHF NOFA (“AHF 5.0”) was released in July 2017, making $23,809,505 available for New Construction Multifamily Affordable Rental Housing projects, and Multifamily Re-Syndication-Rehabilitation projects for existing deed-restricted multifamily affordable rental housing developments. Some of the funds were targeted specifically to assist with creating units serving former foster youth or persons eligible to occupy Mental Health Services Act housing units. Sources for AHF 5.0 consisted of: $16,000,000 in FY 2017-19 Measure K funds; $586,467 in Measure K AHF 4.0 reserves; $2,600,000 in funds recycled from previous AHF awards; $2,250,000 in County General Funds which will be available for payment in the first quarter of calendar year 2018; $1,300,000 in Measure K funds designated for Former Foster Youth; and $1,073,038 in County MHSA funds designated for persons with serious mental illness who are homeless or at-risk-of homelessness. In October 2017, the Board awarded the total AHF 5.0 NOFA amount to eight new-construction multifamily affordable rental developments targeting extremely-low-income, very-low-income, and low-income households, including homeless households and veterans, and two re-syndication-rehabilitation projects for existing deed-restricted multifamily affordable rental housing developments.
The sixth AHF NOFA (AHF 6.0) war released in July 2018, making nearly $20 million available for New Construction Multifamily Affordable Rental Housing projects, Multifamily Re-Syndication-Rehabilitation projects for existing deed-restricted multifamily affordable rental housing developments, and New Construction Affordable Homeownership projects. Some funds were targeted specifically to assist with creating units serving former foster youth. Sources for AHF 6.0 consisted of: $16,532,030 in Measure K funds; $420,562 in Affordable Housing Fund loan repayments; $1,000,000 in County General Funds; $482,842 of Measure K funds designated for Former Foster Youth; $500,000 of Moving To Work reserve funds; $582,023 in Federal HOME Investment Partnership funds; and $362,262 in Federal Community Development Block Grant funds. On October 2, 2018, the Board awarded the total AHF 6.0 NOFA amount to ten new construction multifamily affordable rental developments targeting extremely-low-income, very-low-income, and low-income households, including homeless households, and two new construction affordable homeownership developments. In total, AHF 6.0 awards will support the development or rehabilitation of nearly 1,200 units of affordable housing, including more than 600 units in first-time funding applications.
Affordable Rental Acquisition and Preservation Program (ARAPP)
In November 2016, the Department of Housing released a NOFA for a new Affordable Rental Acquisition and Preservation Program (ARAPP), which is a special sub-fund within the County's Affordable Housing Fund. This program is an outgrowth of the Housing Department's acquisition and preservation pilot demonstration program. The County Board of Supervisors authorized $10 million in Measure K funding to launch ARAPP. Applications for this NOFA, accessible on the Department of Housing's website, are reviewed on a rolling, "over-the-counter" basis until all ARAPP funds have been committed. The goal of ARAPP is to acquire and preserve the affordability of existing multi-family buildings within the County that are rented at below-market rates and not currently subject to rent restrictions. There is currently zero funding available under the ARAPP program as of March 30, 2019.
SUMMARY: To date, the Affordable Housing Fund, together with its Preservation sub-fund, has allocated approximately $91.2 million to assist 2,116 units in San Mateo County —supporting development of 1,828 new affordable rental and homeownership units, and preservation as affordable housing of 288 multifamily rental units.