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FINANCIAL STATEMENT The table below sets forth the PLHA amount of funding allocated to the City of Pleasanton for calendar Year 1 (2019), Year 2 (2020), and Year (2021), and an estimate of a total of $262,173 for Year 4 (2022) and Year 5 (2023). The PLHA program allows jurisdictions to apply for three years of funding in one year. It is important to note that the five-year allocation is an estimate as annual PLHA amounts are subject to change and will vary year to year based upon revenue realized under SB2. City of Pleasanton Allocation 2019 $151,089 2020 $234,839 2021 $258,433 2022 $131,086 2023 $131,087 Estimated Five-year Allocation $906,534 The City of Pleasanton is a PLHA entitlement jurisdiction and is currently eligible to receive $644,361 based on actual three-year allocations; considering estimated future year allocations as well, the program will provide an estimated total of $906,534 over a five-year period. Although some staff time would be allocated to administration of the grant and programs to be funded, receipt of the grant funds would reflect a positive fiscal impact as a new source of funds that can support homeless-related programs and services. BACKGROUND In September 2017, the California Legislature approved Senate Bill 2 (SB2), known as the Building Homes and Jobs Act, which established a $75 recording fee on real estate documents, with funds collected to be directed to increase the supply of affordable housing. SB2 established the Permanent Local Housing Allocation program administered by the State of California, Department of Housing and Community Development (HCD). The PLHA program provides a permanent source of funding to cities and counties to assist in meeting local affordable housing needs. Under the PLHA program, funding is provided through formula-based grants to entitlement jurisdictions based on a formula prescribed under federal law for the Community Development Block Grant (CDBG) program over a five-year period. Title 42 U.S. Code § 5306 established the CDBG Entitlement Program to provide federal CDBG grant funds to entitled cities with populations of at least 50,000 to develop viable urban communities for low- and moderate-income person. The City of Pleasanton, as a CDBG entitlement jurisdiction since 1994, is eligible to receive an estimated amount of $906,534 over a five-year funding period. Note that this is only an estimate as annual PLHA amounts are subject to change based on the amount of document recordation fees collected, and it is currently unknown how much the State will collect in calendar years 2022 and 2023. In this particular PLHA application, however, the City is applying for three years of funding (reflecting actual 2019, 2020 and 2021 program revenues), amounting to $644,361. The City will need wait for HCD to issue a Notice of Funding Page 2 of 5