City Wins $2 Million Grant

The City of East Palo Alto and East Palo Alto Community Alliance and Neighborhood Development Organization (EPACANDO) received a $2 Million CalHome award from the Department of Housing and Community Development (HCD).

The City and EPACANDO’s application was one of four statewide applicants to receive a CalHome award in the new project category of accessory dwelling unit/junior accessory dwelling unit (ADU/JADU) rehabilitation and construction. CalHome is a program administered by the Department of Housing and Community Development (HCD) that supports acquisition, rehabilitation, repair, and construction activities through issuance of deferred-payment loans to low-income homeowners.

 

CalHome will enable the City, EPACANDO, and its partners to provide loans of up to $100,000 for ADU/JADU construction, reconstruction, repair, or rehabilitation to households at or below 80% of the Area Median Income (AMI). Together, they will aim to assist 20 or more East Palo Alto households by providing an important source of gap funding for their ADU/JADU projects.

City staff worked closely with EPACANDO and other members of the Second Unit Working Group and Second Unit and Anti-Displacement Task Force to develop the CalHome proposal. The CalHome partnership will build on other ADU/JADU initiatives, including a contract with EPACANDO and City Systems to streamline the City’s ADU/JADU permitting process and create tools and templates for interested homeowners. The three key elements of these initiatives: individualized outreach, streamlining, and gap funding are essential to enabling homeowners to build ADUs/JADUs and to creating more affordable rental opportunities in East Palo Alto.

The full list of CalHome awards, ranging from $545,000 to $5,000,000, can be found here at this link.