The San Luis Obispo County Housing Trust Fund has received approval for a $1.5 million grant from the California Department of Housing and Community Development (HCD). 

The grant is being made under the Local Housing Trust Fund Matching Grant Program (LHTF). LHTF funds come from Proposition 1C, which the voters approved in 2006. Proposition 1C authorized the sale of $2.85 million in state bonds for affordable housing.

“The LHTF award is by far the largest grant that the Housing Trust Fund has received to date,” noted Jerry Rioux, the Housing Trust Fund’s executive director. “All of the LHTF funds will be added to our revolving loan funds and be used to finance affordable housing in San Luis Obispo County.”

The Housing Trust Fund applied for this grant in February 2009 and received a competitive ranking in May of that year. Unfortunately, the award was delayed by more than a year due to the state budget crisis.  It is not known when the LHTF funds will actually become available.

The funds will only be available for use in jurisdictions that have a HCD-certified housing element.  LHTF funds may not be used in Atascadero or Pismo Beach.  All other areas of the county are eligible for funds.  Any project that receives LHTF funds will be required to comply with state prevailing wage and relocation requirements.  Projects may also be required to record affordability covenants or deed restrictions.

The LHTF regulations require that a public workshop be held prior to making the funds available to the public. An announcement for this workshop and other information on the LHTF program will be made online at www.slochtf.org/lhtf.htm.

The Housing Trust Fund is a nonprofit corporation that was created in 2003 to increase the supply of affordable housing throughout San Luis Obispo County.  Rather than directly develop or own housing, the Housing Trust Fund provides financing and technical assistance to help private developers, nonprofit agencies and local governments produce and preserve housing that working families, seniors on fixed incomes and persons with disabilities can afford to rent or buy. 

Since making its first loan in 2005, the Housing Trust Fund has loaned $4.75 million to help create or preserve 180 units of affordable housing. Additional information on the Housing Trust Fund is available online at www.slochtf.org.