1. Alameda County Housing Bond: Overview
11/27/2017
Alameda County Housing Bond: Overview
Two items for BOS consideration today:
Resolution and Order placing the measure on the November 8, 2016 ballot
The program to guide the use of proceeds upon passage of the Measure by 2/3rds of the electorate in November

2. Affordable Housing Crisis
11/27/2017
Affordable Housing Crisis
Rapidly Increasing Rents Countywide
Rents Increased 34% between 2011 to 2015 Countywide
Rents Increased 34% between 2011 – 2015 Countywide

3. Housing Crisis in Fremont
Rents have increased 38% since 2011
Fremont sales prices have risen 40% since , and up 75% since the market bottom.
90% of Very Low Income renters pay over 30% of their incomes for rent, and 55% pay more than half of their incomes for rent.

4. Affordable Housing Crisis
11/27/2017
Affordable Housing Crisis
Home Sales Prices Rapidly Increasing Countywide
Home Prices Increased 22.5% between 2014 and 2015 Countywide

5. Affordable Housing Crisis
11/27/2017
Affordable Housing Crisis
There is a 60,911 unit shortfall for homes affordable to very low- and extremely low-income households in Alameda County alone.
- California Housing Partnership Corporation, May 2016 Alameda County Housing Report

6. Impacts of the Affordable Housing Crisis
11/27/2017
Impacts of the Affordable Housing Crisis
Long term residents have to leave
More traffic congestion
Too much income spent on housing costs
Overcrowding
Harder to attract and retain employees
Homelessness
Undermines safety net

7. Stakeholder Input Process & Schedule
11/27/2017
Stakeholder Input Process & Schedule
Board of Supervisors Committee Work Sessions:
6 Sessions: March – June
Stakeholder Meetings:
March 17th – Oakland
April 13th – San Leandro
May – 8 Town hall meetings in Supervisorial Districts
On-line Survey:
Website:
Adoption: June 28th - Board of Supervisors passed
bond measure language and authorizing resolution to place measure on November 8, 2016 ballot.
HCD presentations about the housing issue to the Board of Supervisors’ Transportation and Planning Committee at its November 2015 and January 2016 meetings; and
the Board reviewed County’s housing needs at its February 9th retreat, and instructed County staff to explore the possibility of placing a bond measure on the November 2016 ballot to provide funds to mitigate the affordable housing shortage;
March 2 – April 8, 2016 – Stakeholder Process
County-facilitated stakeholder process to discuss county housing needs, receive input and feedback on desired programs, and engage other interested parties.
April 10 – May 22 – Draft Bond Program
Policy and programmatic proposals discussed with stakeholders, city housing staff and officials, County housing staff, and Supervisors to develop a proposed program for use of housing bond funds.
May 2 – June 1– Supervisorial District Town Hall Meetings
District town hall meetings to be held in each Supervisorial district to inform and educate constituents about the housing bond, and to garner feedback.
Additional feedback received through meetings, letters, s, and survey
On-line Survey:
232 as of 5/27/16
March 17th Stakeholder meeting - Oakland
Almost 100 people attended
14 small group discussions – needs and proposals
Input presented and collected
Individual input at end of meeting
April 13th Stakeholder meeting – San Leandro
Approx. 65 people attended.

8. criteria for Bond Programs
11/27/2017
criteria for Bond Programs
June 28, 2016 Board of Supervisors

9. Criteria for Bond Program
11/27/2017
Criteria for Bond Program
Eligible uses of G.O. Bond proceeds:
Capital investment related to acquisition or development of real property
Addresses critical housing needs
Simple to explain
Simple and cost effective to administer
Assures all parts of the County benefit
Allocates funds over time
Builds on successful program models within Alameda County and elsewhere
Leverages other funds where possible
Allows for innovation and creativity
Will be working on programs to propose to your Board for addressing needs that are not eligible for GO Bond funding, such as rental and additional HO anti-displacement programs, using other funding sources – primarily boomerang funds already set aside for housing and homeless response.
Minimum Criteria – eligible uses: Broadly Capital Investments, not operations/services/rental subsidies
On advice of Bond Counsel – had to remove draft program for low-income homeowners who got behind on property taxes or mortgage payments
What would it take to make this successful?
Want citizens to understand programs and benefits
Use programs with proven success and allow for innovations, new models, and creativity
Don’t flood the market but address needs within a relatively short period of time

10. Alameda County Housing Bond Program
11/27/2017
Alameda County Housing Bond Program
June 28, 2016 Board of Supervisors

11. Overview of Program Framework
11/27/2017
Overview of Program Framework
Total Bond - $580 Million
Homeowner programs - $120 Million
Down Payment Assistance Loan Program
Homeowner Development Program
Home Preservation Loan Program
Rental Housing Programs - $460 Million
Rental Housing Development Fund
Innovation and Opportunity Fund
Strong Support for a mix of programs with a focus on most vulnerable populations but addressing a variety of needs.
Bonds to be issued in one or more issuances.
Tax rate Statement: Best Estimates, Developed by Auditor-Controller with assistance of County’s Financial Advisor
Estimated 3 issuances
$12.50 – /$100,000 of AV
Average over life of bond: $11.60/$100,000 AV

12. HOME Owner program components
11/27/2017
HOME Owner program components
June 28, 2016 Board of Supervisors

13. Homeowner Programs Three Program Areas - $120 million
11/27/2017
Homeowner Programs
Three Program Areas - $120 million
Down Payment Assistance Loan Program
Homeowner Housing Development Program
Home Preservation Loan Program
Common Components:
Countywide Allocations
Revolving Loan Funds
The Three Components Combined Respond to Priority Needs and Stakeholder Input:
Populations:
First-time homebuyers
Teachers and First Responders
Low-income Work force housing
Seniors
People with Disabilities
Anti-Displacement
Income levels:
Very Low to Low Income (at or below 80% of AMI)
Middle income (80-120% of AMI)
Up to 150% for target pops or to ensure programs work in all areas of county
Program Types:
Down payment assistance (with equity component)
Owner Occupied housing rehabilitation
Disabled accessibility rehab/improvements

14. Homeowner Programs Down Payment Assistance Loan Program
11/27/2017
Homeowner Programs Down Payment Assistance Loan Program
Estimated Funding Amount: $50 Million
Goal: Assist middle income working families to purchase homes and stay in Alameda County
Program Parameters:
Income limit: Target % of Area Median Income (AMI) but allow up to 150% of AMI for flexibility
e.g. Teachers, Electricians, Plumbers, Firefighters, Truck Drivers, EMT workers
Design features to encourage program to benefit current Alameda County residents, for example:
Workforce Proximity Homeownership
Assist current residents to buy homes and stay in County
Working with Counsel re: possible inclusion of displaced former residents
Educators/First Responders
Stake holder input: Middle income
Focus on (80-120% of AMI)
Create flexibility to go up to 150% of AMI if needed
Broadened language under design features: from ‘Teachers/First Reponders’ to “Educators/First Responders” – to allow flexibility to include childcare workers, nonprofit workers such as Social Workers, counselors, etc. along with more traditional ‘teachers and first responders’
Working with Counsel re: former displaced residents criteria
Estimated Households Assisted:
Approximately $10 Million/Year for 5 years
Program Model:
Maximum Sales Price
Buyer to put minimum 3-5% down payment
Maximum Down Payment Assistance Loan = lesser of $100K or 15% of Sales Price
Cap Sales Price = Prior Year Median Sales Price?
Shared Equity “silent second” loan
Design features (priorities/incentives)
Modeled after DALP program in SF – in place for 20 years. FHA, Fannie Mae, Banks etc. have approved it.
Maximum Down Payment Assistance Loan: Higher amounts needed to help buyers closer to 80% of AMI, Typical amount likely to be lower ($50K?)
Shared Equity “silent second” loan: Loan can be assumed by future income-eligible buyer, or paid back to the County as a % of the resale price so County can revolve the funds and help next generation.
Funds an on-going program over time.

15. Homeowner Programs Homeowner Housing Development Program
11/27/2017
Homeowner Programs Homeowner Housing Development Program
Estimated Funding Amount: $25 Million
Goal: Assist in the development and long-term affordability of homeownership housing for Low-Income households to become first-time homebuyers while staying in the County.
Program Parameters:
Income limit: 80% of Area Median
Construction loans to nonprofit developers
New Construction, Acquisition, Rehabilitation
Loans converted to Down Payment Assistance Loans when homes are purchased.
May involve a sweat-equity component.
The program may involve a sweat-equity or other contribution requirement on the part of the homebuyer households.
Working with legal counsel towards creating design features to allow former Alameda County residents who have been displaced due to foreclosure or rising housing costs to benefit from the program.  
provide construction loans to eligible nonprofit developers to help construct or acquire and rehabilitate homes for sale to low-income qualified households.
The construction loans will be converted to down payment assistance loans when the home is purchased by an eligible household -- structured similarly to the Down Payment Assistance Loan Program loans described above.
They will be shared-equity, deferred payment loans with no monthly payment to add to housing cost burden and only due if or when the home is sold or transferred to an ineligible buyer.

16. Homeowner Programs Home Preservation Loan Program
11/27/2017
Homeowner Programs Home Preservation Loan Program
Estimated Funding Amount: $45 Million
Goal: Assist Low-Income Seniors, People with Disabilities, and other low-income homeowners to remain safely in their homes
Program Parameters:
Income limit: 80% of Area Median
Accessibility improvements
Health and Safety-focused Owner-Occupied Housing Rehabilitation
CHANGES: Combined two previously proposed programs (Accessibility loan program and Home Preservation Loan Program).
Rationale: Anti-displacement
Creates more flexibility to respond to program areas of greatest need/demand
Reduces associated administrative costs
Program components:
Target populations: Seniors, People with Disabilities, other low-income homeowners
Accessibility improvements up to $15,000
Silent second, deferred payment loan
Physical Accessibility Loan Program for Seniors and Disabled people who own homes to enable them to remain
Support Seniors to age in place
Anti-displacement
Increase Disabled Access

17. Rental Housing Program components
11/27/2017
Rental Housing Program components
June 28, 2016 Board of Supervisors

18. Rental Housing Programs
11/27/2017
Rental Housing Programs
Two Program Areas - $460 Million
Rental Housing Development
Innovation & Opportunity Fund
The two components combined respond to priority needs and stakeholder input:
Populations:
Homeless people:
with disabilities, including mental illness, substance abuse
Chronically homeless individuals
Homeless families with children
Homeless youth
Extremely Low Income people
Very Low Income people
Moderate-income renters
Renters who don’t qualify for Section 8
Working poor
Work force housing
Income levels:
SSI income level (15% of AMI)
20% for 20% AMI
Extremely Low Income (30% AMI)
Very Low Income (50% of AMI)
under 60% median household income
Middle income (60-80% of AMI)
Deep affordability: extremely low to low
Working Poor
Workforce housing
Population mix
Program Types:
New construction of rental units
New construction or Acquisition/Rehabilitation of:
Permanent Supportive Housing
Rental housing rehabilitation
Disabled accessibility rehabilitation/improvements
Acquisition/Rehabilitation
Hotels/Motels SROs
Vacant/multi-family properties /Apartment complexes
Anti-Displacement
Maintain long-term/permanent affordability
Leverage other state, federal and local funds

19. Rental Housing Program Rental Housing Development Program
11/27/2017
Rental Housing Program Rental Housing Development Program
Estimated Funding Amount: $425 Million
Goal: Create and preserve affordable rental housing for vulnerable populations, including low-income workforce housing
Program Parameters:
Income levels:
Most = 30-60% of Area Median Income (AMI)
At least 20% of units to 20% AMI or below (Homeless, SSI level), will require operating subsidies
Allow a portion of units for up to 80% AMI in mixed income developments
Leverage tax credits, other state, federal and local funds
Require City financial contribution
Long-term affordability (55 year minimum)
In response to input from several areas that would like to fill gaps and support capital costs related to shelter/transitional/interim housing
Tiny Home developments could be eligible if on permanent foundations – no wheels, mobile units
STAKEHOLDER INPUT
House the most vulnerable
Homeless people:
Deeply affordable housing for lowest income levels
SSI income level (15% of Area Median Income - AMI)
20% of funds for 20% of AMI
Extremely Low Income (30% AMI)
Very Low Income (50% of AMI)
Under 60% AMI
Under 80% AMI
Maintain long-term/permanent affordability

20. Rental Housing Program Rental Housing Development Program
11/27/2017
Rental Housing Program Rental Housing Development Program
Use of funds:
Rental Housing development gap financing:
Predevelopment and Development financing
New Construction, Acquisition, Rehabilitation
Allow a portion of City allocations for interim crisis/Transitional Housing for homeless
Target populations:
Homeless (chronic, families)
Seniors
Veterans
People with disabilities (physical, developmental, mentally ill)
Re-entry
Transition age youth aging out of foster care
Workforce housing (including working poor)
In response to input from several areas that would like to fill gaps and support capital costs related to shelter/transitional/interim housing
Allow a portion of City base allocations for crisis, interim housing for homeless
Estimated Households Assisted: Maximum estimated 8,500
Estimated HHs assisted = High Maximum Estimate
Based on 100,000/unit subsidy from this source and increased to possibly include other units in those developments
Stakeholder input
House the most vulnerable
Homeless people:
with disabilities, including mental illness
Chronically homeless people with substance abuse issues
Homeless families with children
Homeless youth/foster care youth
People with Disabilities
Physical, mental, developmental
Low-income seniors
Extremely Low Income people
Very Low Income people
Elderly homeowners and tenant families at risk of displacement
Veterans
Re-entry
Youth aging out of Foster Care
Moderate-income renters
Renters who don’t qualify for Section 8
Teachers and First Responders
Working poor/Workforce housing
First-time homebuyers
Current County Residents
Displaced County Residents

21. Rental Housing Development Program Geographic Allocations of Funds
11/27/2017
Rental Housing Development Program Geographic Allocations of Funds
Based on:
Related to need
Assure that funds are available for projects throughout County
Geographic Allocation Model:
$225 Million as a base allocation for use in each city*
$200 Million to regional pools to be drawn on by projects in any city in region
*including allocation to unincorporated county
My recommendation is to use a Combination approach:
Assures all cities/areas has a minimum amount as well as access to additional funds for projects and shows that all cities are expected to accommodate a fair share of housing needs.
Also looked at:
Allocate all funds by city*
Allocate all funds by region
Amount per city could be flat amount per city minimum (eg $5 million/city)
Group cities into small, medium, large by some factor and having tiers of minimum city allocation.
Regional allocation possible formula basis:
Total population
Population in poverty
Homeless population
Housing Need Allocation
Combination of one or more of the above
e.g. regional allocations based on poverty, city allocations based on total population
City allocations possibilities:
Could be same as regional basis, or
Minimum amount for all cities
Data sources:
Total population (2013 ACDS Data)
Population in poverty (2013 ACS Data)
Regional Housing Need Allocation (RHNA)
Stakeholder input re: Allocation/Distribution:
All cities don’t have concentrated poverty
Local match from cities
Geographic distribution by highest need
Provide affordable housing where homeless families are currently located
so kids can stay in their existing schools
Ensure equitable distribution of funds:
Geographically
Consideration of where there is significant lack of housing for homeless families.

22. Rental Housing Development Program Geographic Allocation Model
11/27/2017
Rental Housing Development Program Geographic Allocation Model
Rental Housing Development Program Funds
$225 Million to City Base Allocations
Rental Housing Development Funds
$200 Million to Regional Pools
Base City Allocations
Regional Pools Allocated by:
% of Total
Need - Blend of Poverty and RHNA LI&VLI
Alameda city
$10,370,727
North County
44.7%
$89,325,065
Albany city
$2,588,918
Mid County
24.9%
$49,803,134
Berkeley city
$15,796,369
East County
13.7%
$27,332,372
Dublin city
$8,831,465
South County
16.8%
$33,539,429
Emeryville city
$2,799,109
Alameda County Total
100.0%
$200,000,000
Fremont city
$33,264,459
Hayward city
$20,298,294
Livermore city
$12,722,700
No Co: Albany, Berkeley, Emeryville, Oakland, Piedmont
Newark city
$6,029,275
Mid Co: Alameda, Hayward, San Leandro, Unincorporated
Oakland city
$54,803,565
East Co: Dublin, Livermore, Pleasanton
Piedmont city
$2,431,300
South Co: Fremont, Newark, Union City
Pleasanton city
$13,720,684
San Leandro city
$11,907,775
Unincorporated
$19,671,892
Union City city
$9,763,468
$225,000,000
Allocations based on average of % AV & % Total
Population, with minimum no less than original projections.
Combination approach:
Assures all cities/areas has a minimum amount as well as access to additional funds for projects and shows that all cities are expected to accommodate a fair share of housing needs.
Overall, feedback has been positive about the proposed allocation model approach.
Various suggestions for alternative factors have come up:
Use only RHNA
Use assessed value
Use # of homeless people
Prioritize areas without much affordable/subsidized housing now
City allocations based on:
History of meeting its affordable RHNA allocations
Use % of city in Priority Development Areas or near transit
People often do live and work in different cities/regions of the county -- as needs are better met in one area it has a positive impact on other areas.
Providing housing in heavily impacted areas of the County benefits other areas as well. EG If the County can spend less money on homeless people in one area because they’re housed, it has more money to spend on homeless people and others inless heavily impacted regions, and also on other County programs.
Generally not a direct link between who pays how much in taxes and who is served by programs funded by those taxes.
The formula is a blend of factors: -- to make sure that each city and region has a reasonable share of rental housing funds and to acknowledge that for the populations that the bond focuses on, some areas have greater needs than others.
Total population for city base allocations and two blended needs factors -- balances out various factors.
The need factors for the regional pools blend current need (poverty) and projected need (RHNA). Each factor alone tends to prioritize different areas of the county. The blended factors create more of a balance.

23. Rental Housing Program Innovation & Opportunity Fund
11/27/2017
Rental Housing Program Innovation & Opportunity Fund
Estimated Funding Amount: $35 Million
Goal: Respond quickly to capture market opportunities, preserve and expand affordable housing, tenant anti- displacement
Program Possibilities - Examples:
Rapid response high-opportunity pre-development and site acquisition loans
Purchase problem motels and convert to affordable housing
Bond-qualified rental anti-displacement opportunities
Acquire apartment buildings on market to renovate and make/retain affordability
Countywide Allocation
1) pre qualify developers and have broad program parameters that allow developers to take advantage of market opportunities quickly – land or property acquisition loans. Could potentially leverage with bank funds.
Eg, SROs, Motels, Tax Defaulted Properties
Innovation/Opportunity Fund = e.g. pre qualify developers and have broad program parameters that allow developers to take advantage of market opportunities quickly – land or property acquisition loans. Could potentially leverage with bank or other funds.
Allow for other ‘innovative types of development? E.g. limited equity co-ops? Tiny homes?

24. June 28, 2016 Board of Supervisors
11/27/2017
Next steps
June 28, 2016 Board of Supervisors

25. Title and Ballot Question
11/27/2017
Title and Ballot Question
BALLOT MEASURE: ALAMEDA COUNTY AFFORDABLE HOUSING BOND. To provide affordable local housing and prevent displacement of vulnerable populations, including low- and moderate-income households, veterans, seniors, and persons with disabilities; provide supportive housing for homeless people countywide; and help low- and middle-income households purchase homes and stay in their communities; shall the County of Alameda issue up to $580 million in general obligation bonds to acquire or improve real property, subject to independent citizen oversight and regular audits?
Resolution and Order, including tax rate statement: placing the measure on the November 8, 2016 ballot
One change from the language presented to Health Committee Work Session on 6/21:
“the homeless” changed to “homeless people”

26. Next Steps Further development of program policies and terms
11/27/2017
Next Steps
Further development of program policies and terms
“Boomerang” funds - development of program options:
Anti-Displacement
Homeless responses
ROV to place on the ballot
County Counsel and Assessor/Auditor-Controller Analyses
Public Education materials (2 page FACT sheet, FAQs)
Boomerang Programming also underway and related to bond. E.g: With Bond:
Affordable Rental Housing
Rental housing operating subsidies to reach lowest incomes
Little, if any, for development subsidies
Anti Displacement Programs
Homeless Response
Coordinated Assessment/Housing Resource Centers
Interim Housing
Bond and Boomerang Program Delivery
WITHOUT GO Bond
Affordable Housing Development Program
Focus on Rental Development Financing
Rental housing operating subsidies to reach lowest income levels
Homeless Response Program
Anti Displacement Program
Program Delivery of boomerang (less needed)

27. June 28, 2016 Board of Supervisors
11/27/2017
Discussion
June 28, 2016 Board of Supervisors

28. Alameda County Income Limits
11/27/2017
Alameda County Income Limits
Persons in Household
Extremely Low
Very Low
Low
Median
Moderate
20%
30%
50%
60%
80%
100%
120% 1
$13,660
$20,500
$34,150
$40,980
$52,650
$68,300
$81,960 2
$15,600
$23,400
$39,000
$46,800
$60,150
$78,000
$93,600 3
$17,560
$26,350
$43,900
$52,680
$67,650
$87,800
$105,360 4
$19,500
$29,250
$48,750
$58,500
$75,150
$97,500
$117,000
Effective March 2016
Adjusted annually
Based on HUD Extremely (30%), Very Low (50%) and Low (80%) Income limits
Alameda County Housing and Community Development, April 2016