County of Santa Clara

FY 2000 inventory Item #18

Office of the Board of Supervisors
V. ..tty Government Center. East Wing
70 west Hedding Street. lOth Floor
San Jose. California 95110
(408)299-4321 299-2323
FAX 298-8460

TDD 993-8272

May 27,1999
TO:

FROM:

Richard Wittenberger, County Executive

Donald F. Gag^^'('

Supervisor, District 1

James
T. Beall, Jr.^
Supervisor, Distri« 4
SUBJECT:

Housing Trust Fund

RECOMMENDED ACTION

a one time $1,000,000
It is requested that the Board of Supervisors consider funds
will be used as
augmentation to the Housing Trust Fund (HTF). These
time homebuyers, gap
leverage toward low interest down payment loans funds
for first
to
assist
homeless shelters
financing for affordable rental housing projects and
and transitional housing.
BACKGROUND FOR RECOMMENDATION

On May 20, 1997 (FY'98) the Board accepted a report from Hausrath Economics
Group identifying General Fund money as a potential funding source for a Housing

Trust Fund. At that time the Board made the decision to set aside $1,000,000 as

potential seed money. During the budget hearings of FY'99 the Board again set aside
$1,000,000 for the Housing Trust Fund, with the caveat that it be matched. The
Redevelopment Agency for the City of San Jose is the matching donor of the second

$1,000,000. At the Board meeting of April 27, 1999 the Board executed a Trust

Agreement with Community Foundation Silicon Valley as the fiscal and
administrative agent for the Housing Trust Fund, transferring the original

$1,000,000 donation. This contribution to the HTF demonstrates the county's

leadership and commitment to housing, and will encourage other donors to
participate.

A campaign goal of $20,000,000 million, to be raised within 24 months from the
initiation of the capital campaign, has been identified by the Steering Committee. A
feasibility study currently underway may modify the campaign goal, depending on
the outcome of the consultants' assessment of the ability of the HTF to draw

contributions from the corporate sector, foundations, other government entities and
the general public.
Board of Supervisors:
Donald F. Gage
District I

Blanca Alvarado
District 2

Pete McHugh

James T. Beali. Jr.

S. Joseph Simitian

District 3

District 4

District 5

2-027

Housing Trust Fund
Page 2

The shortage of affordable housing for working families threatens the economic
vitality of Silicon Valley. Through our leadership and participation in the Housing
Trust Fund we further the goal the County expressed in the FY 2000 budget
statement, pursuing strategies to address the scarcity of housing.