Local Housing Trust Fund Program (LHTF)

 

Contact

Application, General Program, and Standard Agreements Questions
LHTF@hcd.ca.gov

Loan Closing Questions
LoanClosing@hcd.ca.gov

Purpose

Providing matching funds to local and regional housing trust funds dedicated to the creation, rehabilitation, or preservation of affordable housing, transitional housing and emergency shelters.

Assistance Type

Matching grants (dollar for dollar) to local housing trust funds that are funded on an ongoing basis from both private and public contributions or public sources. Local funding sources may not otherwise be restricted in use under federal or state law or rules for use in housing programs.

Assistance Terms

Loans for multifamily rental housing projects require tenant income and rent restrictions imposed through a regulatory agreement for 55 years. When program funds are used to make loans for homeownership projects or units within a homeownership project, the Local Housing Trust is required to record a deed restriction in compliance with Health and Safety Code Section 50843.5(d)(3).

Eligible Activities

Loans for acquisition, predevelopment expenses and development of affordable rental housing projects, transitional housing projects, emergency shelters and homeownership projects, including down payment assistance to qualified first-time homebuyers, and for rehabilitation of homes owned by income-eligible homeowners. No more than 20 percent of each allocation may assist moderate-income households, and at least 30 percent of each allocation is required to assist extremely low-income households.

Eligible Applicants

A Local or Regional Housing Trust Fund is required to be a public, joint public and private, or charitable nonprofit organization organized under Section 501(c)(3) of the Internal Revenue Code, which was established by legislation, ordinance, resolution (including nonprofit articles of incorporation), or a public-private partnership organized to receive specific public, or public and private, revenue to address local housing needs. The key characteristic of a Local Housing Trust Fund is that it receives Ongoing Revenues from Dedicated Sources of funding sufficient to permit the Local Housing Trust Fund to comply with the requirements of the Program. Local and Regional Housing Trust Funds must comply with requirements set forth in the regulations and guidelines in order to be eligible to submit an application.

Guidelines and Regulations

  • New! 2019 Draft Guidelines (PDF) — 30-Day Public Comment Period extended! Now ends November 21, 2019.

Public Hearing Dates

Location Date & Time
HCD Headquarters, Room 402A/B
2020 West El Camino Ave,
Sacramento, CA, 95833
November 14, 2019
3:00 p.m. - 5:00 p.m.

Register

New! Recorded Webinar (YouTube) — from Oct. 29 public hearing Webinar content 23.5 minutes

2014 Program regulations can be found at California Code of Regulation Title 25, Subchapter 2.5, Section 7150 et seq.

Get Funding

Applications are invited through the issuance of Notices of Funding Availability (NOFAs).

Current NOFA

The LHTF NOFA is anticipated in Spring 2020 in the amount of $56.7 million.

Reporting Requirements

Annual report is due no later than July 31 of each year.

Asset Management and Compliance

Upon completed construction of your project and closing of your HCD permanent loan, oversight of your project and loan is transferred to HCD’s “Asset Management and Compliance (AMC)” section.

Visit Asset Management and Compliance to find:

  • Your reporting requirements
  • Forms
  • Additional resources
  • Who to contact if you have questions

Program Forms

Management Memos

At this time, there are no LHTF Management Memos on the website.

Training and Technical Assistance

At this time, there are no LHTF Training and Technical resources on the website.