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Attachment 4 2) HOME Investment Partnership Proqram (HOME The City of Pleasanton participates with other jurisdictions in the Alameda County HOME Consortium for the purpose of receiving and administering federal HOME (HOME Investment Partnership Program) funds. Pleasanton receives approximately $150,000 in HOME funds each year through Alameda County. The Consortium adopted a Five -Year Consolidated Plan in May 2005 covering fiscal years 2005 through 2009 and will adopt an updated Plan in 2010 for fiscal years 2010 through 2014. Each year, participating jurisdictions update the Consolidated Plan with one-year Action Plans which outline resources and activities to be undertaken during the next fiscal year regarding issues relating to housing and community development. As with federal CDBG funds, the City enters into a contract with HUD to agree to implement the applicable HOME program regulations found in 24 CFR part 92 established by Title 11 of the Cranston - Gonzales National Affordable Housing Act of 1990. Information regarding the HOME program regulations can be obtained on HUD's website (www.hud.gov) and in Appendix B of this manual. All HOME -funded activities must meet at least one of the National Objectives stated in Title 42, Chapter 130, Subchapter 11, Section 202: 1. Expand the supply of rental housing that is affordable to very low and low-income persons/families. 2 Improve homeownership opportunities to very low and low-income persons and families. 3. Expand the capacity of non-profit providers of lower income housing 4. Encourage private -sector participation in the development of lower income housing. Participating Jurisdictions, or PJs (e.g., the City of Pleasanton as a member of the Alameda County HOME Consortium], may choose among a broad range of eligible activities per 24 CFR 92.205 and 92.206 Provide home purchase or rehabilitation financing assistance to eligible homeowners and new homebuyers. Build or rehabilitate housing for rent or ownership or for "other reasonable and necessary expenses related to the development of non -luxury housing," including site acquisition or improvement, demolition of dilapidated housing to make way for HOME -assisted development, and payment of relocation expenses. Provide tenant -based rental assistance contracts of up to two (2) years if such activity is consistent with their Consolidated Plan and justified under local market conditions. Some special conditions apply to the use of HOME funds. HOME -assisted rental housing must comply with certain rent limitations (rent limits are published each year by HUD). The program also establishes maximum per unit subsidy limits and maximum purchase -price limits PJs must match every dollar of HOME funds used (except for administrative costs) with 25 cents from nonfederal sources, which may include donated materials or labor, the value of donated property, proceeds from bond financing, and other resources. The match requirement may be reduced if the PJ is distressed or has suffered a Presidentially declared disaster. In addition, PJs must reserve at least 15 percent of their allocations to fund housing to be owned, developed, or sponsored by experienced, community -driven nonprofit groups designated as Community Housing Development Organizations (CHDOs). PJs must ensure that HOME -funded housing units remain affordable in the long term (20 years for new construction of rental housing; 5-15 years for construction of homeownership housing and housing rehabilitation, depending on the amount of HOME subsidy). PJs have two years to commit funds (including reserving funds for CHDOs) and five years to spend funds.