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Community Development Commission

Housing and Neighborhood Investment

Notice of Funding Availability: County Fund for Housing

Published: September 20, 2021

The Sonoma County Community Development Commission (Commission) requests applications for eligible Affordable Housing projects to receive funding from the County Fund for Housing (CFH) loan program. There will be no Low Moderate Income Housing Asset Fund component in this funding cycle. This funding cycle will include a new addition: $1,044,423.44 from Public Local Housing Allocation (PLHA). Twenty percent (20%) of the funds in the amount of $208,884.68 shall be set-aside for Affordable Owner-Occupied Workforce Housing and the balance of $835,538.75 shall be specifically prioritized investments to increase the supply of housing for households that are at 60 percent of the Area Median Income (AMI) in Sonoma County. The application and review process for these two sources of funding will run concurrently.

CFH funding is generally available once a year and is available for affordable rental and homeownership projects located in cities/towns as well as in unincorporated areas of the County. It is estimated that there will be $1,112,144.35 in CFH funds available this year. This money will be coupled with the aforementioned PLHA funds ($1,044,423.44) for a grand total of $2,156,567.79 funds available. Please note the final sum will be established at the Community Development Committee public hearing on November 17, 2021. The interest rate on a CFH loan is 3% unless an alternative is required by other funding sources.

To obtain an application packet please go to County Fund for Housing or contact Veronica Ortiz-De Anda at the number and/or email listed below. The packet contains the Sonoma County Loan Policies, the CFH Funding Policies, and the Funding Application (note: CDC uses the federal application for the CFH program). Please review these materials carefully for important information on project eligibility and application procedures.

The packet contains:

A virtual Technical Assistance training session is scheduled for Monday, October 4 2021, from 3:30PM to 5:00PM. 

Attendance by any agency or organization considering submittal of a funding application is highly recommended. During the Technical Assistance session, Commission staff will discuss in more detail the minimum application requirements and guiding principles for a project to be considered eligible and recommended for funding.

The CFH funding policies further the goals of the County’s General Plan Housing Element, and the Board of Supervisors Strategic Priorities. In accord with the funding policies the Commission has established the top three guiding principles and priorities for this funding cycle. As such, the Commission will recommend awarding funds to the most competitive proposals that best meet the following priorities:

  1. Projects that demonstrate Commission funds will be leveraged against total development costs at least 7:1
  2. Projects demonstrating advanced readiness via (a) entitlements; (b) financing commitments; (c) permitting
  3. Project developers who can demonstrate previous success obtaining federal tax credits and/or state funding to develop housing within the last seven years
  4. Projects that can demonstrate existing support from other jurisdictions via letters of support, funding commitments, etc.

All applications must be submitted to the Community Development Commission by October 15, 2021 by 2 p.m. 

Funding applications from eligible project sponsors, including local government and public agencies with proof of tax exempt status, as well as for-profit developers will be considered for funding at a public hearing on November 17, 2021. Applicants MUST attend the public hearing to remain eligible for funding and be prepared to answer questions about their respective project. The funding recommendations made on November 17th will be forwarded to the Sonoma County Board of Supervisors. The Board will consider the recommendations and award funding at a future meeting date in January/February 2022.

Please contact Veronica Ortiz-De Anda at (707) 328-4358 or if you have any questions about the application process and requirements, or to receive an application packet.