HomeMy WebLinkAboutRESOLUTION 2025-141 N.C.S. 09/15/2025Docusign Envelope ID: 5363C152-1FB6-435C-A631-779E95ED5D06
Resolution No. 2025-141 N.C.S. Page 1
Resolution No. 2025-141 N.C.S.
of the City of Petaluma, California
RESOLUTION APPROVING THE COMMUNITY DEVELOPMENT BLOCK GRANT 2024-2025
CONSOLIDATED ANNUAL PERFORMANCE AND EVAULUATION REPORT (CAPER) AND
AUTHORIZING THE CITY MANAGER TO SUBMIT THE CAPER AS REQUIRED BY THE
DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD)
WHEREAS, the City of Petaluma is an entitlement community under the jurisdiction of the Department
of Housing and Urban Development (HUD) Community Development Block Grant Program (CDBG); and
WHEREAS, as a condition of funding, HUD requires recipient jurisdictions to prepare a one year
Consolidated Annual Performance and Evaluation Report (CAPER) to report by October 1st every year on how
well the City has met its goals for helping low- and moderate- income residents of Petaluma with the federal
funding distributed under the CDBG program; and
WHEREAS, the proposed action is exempt from the requirements of the California Environmental
Quality Act (CEQA) in accordance with CEQA Guidelines Section 15378, in that approving the CAPER and
authorizing the City Manager to execute any documents related to the CAPER, does not meet CEQA's definition
of a “project,” because the action does not have the potential for resulting in either a direct physical change in the
environment or a reasonably foreseeable indirect physical change in the environment, and because the action
constitutes organizational or administrative activities of governments that will not result in direct or indirect
physical changes in the environment; and
WHEREAS, the programs funded pursuant to the 2024-2025 Annual Action Plan addressed one or more
of the national objectives of the CDBG program and the priorities of the City’s 2020-2024 Consolidated Plan;
and
WHEREAS, staff recommends approval of the CAPER to ensure compliance with HUD and to ensure
that the City’s continued receipt and use of CDBG funding is not jeopardized; and
WHEREAS, on September 15, 2025, at its regular City Council meeting, the City Council held a public
hearing to receive comments on the CAPER.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Petaluma as follows:
1. Declares the above recitals are hereby declared to be true and correct and are incorporated
into this resolution as findings of the City Council.
2. Finds the proposed action is exempt from the requirements of the California Environmental
Quality Act (CEQA) in accordance with CEQA Guidelines Section 15378, in that approving
the CAPER authorizing the City Manager to submit the CAPER to HUD does not meet
CEQA's definition of a “project,” because the action does not have the potential for resulting
either a direct physical change in the environment or a reasonably foreseeable indirect
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Resolution No. 2025-141 N.C.S. Page 2
form:
physical change in the environment, and because the action constitutes organizational or
administrative activities of governments that will not result in direct or indirect physical
changes in the environment. Moreover, the CDBG Program 2024-2025 activities were
already analyzed for environmental compliance with CEQA when City Council approved a
resolution authorizing projects and funding of the CDBG 2024-2025 Annual Action Plan
on April 8, 2024.
3. The Fiscal Year 2024-2025 Community Development Block Grant (CDBG) Consolidated
Annual Performance and Evaluation Report (CAPER), of Exhibit # A, is incorporated by
reference and made a part of this Resolution.
4. On September 15, 2025, the Council considered public comments and found the draft
CAPER to be consistent with the Consolidated Plan activities.
5. Council hereby approves the Fiscal Year 2024-2025 Consolidated Annual Performance and
Evaluation Report (CAPER).
6. The City Manager or designee is hereby authorized to submit the City of Petaluma 2024-
2025 CAPER as required to HUD.
7. This resolution shall take effect immediately upon its adoption.
Under the power and authority conferred upon this Council by the Charter of said City.
REFERENCE: I hereby certify the foregoing Resolution was introduced and adopted by the
Council of the City of Petaluma at a Regular meeting on the 15 day of September
2025, by the following vote:
Approved as to
AYES: McDonnell, Barnacle, DeCarli, Nau, Quint, Shribbs
NOES: None
ABSENT: Cader Thompson
ABSTAIN: None
City Attorney
ATTEST:
City Clerk Mayor
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CITY OF PETALUMA
Consolidated Annual Performance and Evaluation
Report (CAPER)
Fiscal Year 2024-2025
Prepared by City of Petaluma Housing Division
11 English Street, Petaluma CA
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TABLE OF CONTENTS
CR-05 - Goals and Outcomes ..................................................................................... 3
CR-10 - Racial and Ethnic composition of families assisted ................................... 9
CR-15 - Resources and Investments 91.520(a) ......................................................... 9
CR-20 - Affordable Housing 91.520(b) ..................................................................... 12
CR-25 – Homeless/Other Special Needs 91.220(d, e); 91.320(d, e); 91.520(c) ...... 14
CR-30 - Public Housing 91.220(h); 91.320(j) ............................................................ 19
CR-35 - Other Actions 91.220(j)-(k); 91.320(i)-(j) ...................................................... 20
CR-40 - Monitoring 91.220 and 91.230 ..................................................................... 25
CR-45 - CDBG 91.520(c) ............................................................................................ 26
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CR-05 - Goals and Outcomes
Progress the jurisdiction has made in carrying out its strategic plan and its action
plan. 91.520(a)
This fourth year (Fiscal Year 2024-2025) Consolidated Annual Performance and Evaluation
Report (CAPER) outlines how the City of Petaluma (City) met the needs and objectives
outlined in the 2020-2024 Consolidated Plan (Consolidated Plan) and the FY2024-25
Community Development Block Grant (CDBG) Annual Action Plan (AAP). The reports are
posted on the City’s website at https://cityofpetaluma.org/housing-reports-documents/
The Consolidated Plan identifies five (5) goals to address the City’s housing and community
development needs between the Fiscal Years 2020-2024:
1. Improve housing opportunities by preserving existing affordable housing.
2. Provide housing and services to low-income populations, including but not limited
to, children, seniors, and special needs population (homeless, disabled, etc.)
3. Increase the supply of affordable housing.
4. Promote housing opportunities for homeownership.
5. Improve accessibility in public facilities and infrastructure.
To support achieving the goals outlined in the Consolidated Plan and FY2024-25 CDBG
Action Plan, the City prioritized use of its CDBG funds and other local funding sources for
affordable housing and related services for low-income Petaluma residents. City CDBG
projects support the production, preservation and protection of stable, affordable housing.
In FY2024-25, to achieve the Consolidated Plan goals, the City administered approximately
$4,200,000– which included its regular annual CDBG grant allocation of $304,472. Non-
CDBG funding in the amount of $3.7 million consisting of other Housing Funds (e.g.,
Housing In Lieu, general funds, other local funds) were used for low-income community
services, homeless programs, and preservation of existing affordable housing.
The following table summarizes allocation of City funds to projects which furthered City
progress toward meeting the Consolidated Plan goals.
FY 2024-25 City Investments in Consolidated Plan Goals
Source Project Allocation
CDBG Rebuilding Together Petaluma (preservation of existing affordable housing) $ 238,000
CDBG Petaluma People Services Center (PPSC) (senior/special needs meal delivery) $ 45,670
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CDBG City of Petaluma (grant program administration) $ 20,803
SUBTOTAL CDBG ANNUAL $ 304,473
Other Housing Funds PPSC (rental assistance and fair housing) $ 102,500
Other Housing Funds Housing Land Trust (preservation of affordable homeownership housing) $ 85,000
Other Housing Funds COTS, DST, HomeFirst, PPSC, SAFE (homeless shelter and services including
outreach, By Names List Management and Landlord Recruitment, behavioral
health)
$ 3,743,465
SUBTOTAL OTHER FUNDS (EG HOUSING IN-LIEU, TOT, COMMERCIAL LINKAGE,
MEASURE O, ERF) - NOT FOR AFFORDABLE RENTAL HOUSING DEVELOPMENT
$ 3,930,965
TOTAL CITY INVESTMENTS IN CONSOLIDATED PLAN GOALS FY 2024-25 $ 4,235,438
Table 1: City Investments in Consolidated Plan Goals FY2024-25
The City met the majority of its FY2024-25 CDBG Action Plan goals by protecting low-income
community members from homelessness or its impacts and preserving affordable housing. The
CDBG-funded Meal Delivery program exceeded its year-end goal by serving 536 more
unduplicated clients than expected. The Minor Home Repair and Modification Program served
37 out of 50 targeted households due to rising construction and material costs. Housing
Commercial Linkage and Housing In-Lieu funds were allocated to augment the CDBG program
supporting the Consolidated Plan goals in FY2024-25. No FY2024-25 CDBG funds were
allocated for Homeless Services; the City funded its Homeless Services programs with other
sources. The following summary highlights impacts of City investments in FY2024-25:
Protection (immediate services to protect vulnerable households, meeting Consolidated Plan
goal to provide housing and services to low-income populations, including but not limited to,
children, seniors, and special needs populations such as homeless or disabled):
With CDBG Funds:
• Low-income seniors and people with special needs received food delivery services
through a public service Meal Delivery program.
• Outcome – 973 people were provided access to quality public services, a more than
100% increase over the prior year.
Preservation (medium-term services to meet Consolidated Plan goals to preserve existing
affordable housing, promote home ownership, and to provide housing and services to low-
income households including children, seniors, and special needs):
With CDBG Funds:
• Urgent home repairs (e.g., plumbing, roofing, electrical), home modifications for
accessibility, and water and energy efficiency services through the Minor Home Repair
and Modification Program.
Outcome – Allowed 37 low and very low-income homeowners, or renters - and who are
seniors, disabled, female heads of household or families with children - to remain safely
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in their homes.
Comparison of proposed versus actual for each outcome measure submitted with
consolidated plan and explanation if progress not made. 91.520(g)
The following table summarizes planned versus actual outcomes for the annual CDBG
program Action Plan Year 4 (2024-2025).
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City of Petaluma CAPER FY2023-24 Page 6 of 21
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Goal Category Source/
Amount
Indicator Unit of
Measure
Expected
5-Year
Goal
Actual
To Date
Percent
Complete
of 5 Year
Goal
Planned
Current
Program
Year
Actual
Result
Current
Prog Yr
Percent
Complete
PRESERVATION
Preservation
of existing
affordable
housing
Affordable
Housing,
Homeless, Non
Homeless
Special Needs
CDBG:
$238,000
(RBT)
Homeowner
Housing
Rehabilitated
Household
Housing Unit
180 168 93% 50 37 74%
PROTECTION
Provide hsng/
svcs to special
needs pops
Community
Services/Meals
CDBG:
$45,670 (PPSC)
Activities
other
than Lo-
Mod Inc
Housing
Persons
Assisted
1,250 2186 175% 300 936 312%
Table 2: Accomplishments – Program Year & Strategic Plan to Date
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Assess how jurisdiction’s use of funds, particularly CDBG, addresses priorities and
objectives identified in the plan, giving special focus to highest priority activities.
All funds expended from the CDBG Program were used to address the goals and objectives
identified in the City’s 2020-2024 Consolidated Plan and FY 2024-25 Action Plan. The City
prioritized its CDBG allocation and a variety of local funding sources for affordable housing.
The City’s ability to respond to housing issues continues to be constrained by limited funding
sources and increasing project costs. Local sources of funding include Housing In-Lieu and
Commercial Linkage fees. Due to the limited amount of regular annual CDBG funds received,
the City focused those priorities on rehabilitation of multi-family affordable rental housing and
single-family homes owned or rented by low-income residents. Historically this program served
primarily seniors, persons with disabilities, and veterans. City staff is working in partnership
with providers to expand access and participation of female heads of household, families with
children, and other underserved community members. We are working to preserve affordable
units through initiatives like our Minor Home Repair and Modification Program in collaboration
with Rebuilding Together Petaluma. Another priority is providing services to seniors and
disabled community members, which we have achieved by utilizing CDBG funds to support the
Petaluma People Services Center’s Meals Program.
The City does not anticipate an increase in its annual source of CDBG funds, so it is critical the
City continue to work with development partners in applying for and securing additional state
and federal funding to increase affordable housing development. The City encourages and
supports developers of new projects with Housing In-Lieu and Commercial Linkage Funding. In
December of 2022, the City Council Resolution # 2022-182 N.C.S. was approved, providing
reduced impact fees for deed restricted 100% affordable housing developments in Petaluma.
CR-10 - Racial and Ethnic composition of families assisted – 91.520a
FY 2024-25 CDBG Other Sources Total
White 653 1,614 2,267
Black or African American 30 108 138
Asian 19 44 63
American Indian or American Native 2 36 38
Native Hawaiian or Other Pacific Islander 3 12 15
Declined to State 25 198 223
TOTAL 732 2,012 2,744
Hispanic 132 271 403
Not Hispanic 600 1,741 2,341
Table 3: Table of CDBG assistance to racial and ethnic populations by source of funds
The CDBG program is, for the most part, serving low-income households, including minority racial and
ethnic households at rates similar to the proportion of the low-income household in these categories for
the City of Petaluma. However, low-income white households are served at a higher proportion than their
percentage that is indicated in the 2022 American Community Survey five-year U.S. Census Data. White
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households make up 68% of the population living below poverty level according to the census data, but
were 82% of the households served by CDBG funds in FY2024-25. The City is enhancing outreach
efforts in collaboration with service providers to improve access to programs and services, particularly for
communities that have historically faced barriers to participation. These efforts are informed by program
data and are already underway to strengthen engagement and expand reach.
CR-15 - Resources and Investments 91.520(a)
Source of Funds Source Resources Made
Available
Amount
Expended During
Program Year
CDBG CDBG $304,473 $304,473
HOME HOME $0 $0
HEAP HEAP $0 $0
ESG ESG $0 $0
Other Program
Income
Commercial Linkage, In- Lieu Housing,
General, State of CA Encampment
Resolution, Sonoma County Measure O
$3,571,483
$3,571,483
Table 4: Resources Made Available
In FY 2024-25, the City received $304,473 in CDBG funds. The amount expended during the
Program Year 2024-25 was $304,473 including City grant administration. The City neither
received nor expended any new HOME, HEAP or ESG funds in FY2024-25.
Identify the geographic distribution and location of investments
Target Area Planned Percentage
of Allocation
Actual Percentage of
Allocation
Narrative
Description
N/A N/A N/A N/A
Table 5: Identify the geographic distribution and location of investments
The funds that are allocated to the City are available city-wide with no priority assigned to
geographic regions. Instead, funds are allocated to organizations that provide low-income
households with housing and supportive services. On an annual basis, the City prioritizes the use
of its CDBG funding for the development of affordable housing (including preservation and
conservation) that serve low-income households and addresses services for the low-income
community such as the PPSC Home Delivered Meals Program.
Leveraging
Explain how federal funds leveraged additional resources (private, state and local funds),
including a description of how matching requirements were satisfied, as well as how any
publicly owned land or property located within the jurisdiction that were used to address
the needs identified in the plan.
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To leverage the City’s modest CDBG entitlement, Petaluma uses non-CDBG resources to
address needs of its low- and moderate-income residents, including the following:
• In-Lieu Housing Fund and Commercial Linkage Housing Fund – these receive
income from commercial and residential development projects. The estimated total
balance in those Housing Funds combined is $1,077,212 as of June 30, 2025. Future
income with both funds is not guaranteed as it is generated from residential and
commercial development impact fees.
• Low-cost leasing of City-owned properties to nonprofit providers. For $1.00 a year
per property, the City leases four properties to Committee on the Shelterless for
supportive housing and one to Nations Finest for Veterans’ supportive housing. The
value for use of these properties is estimated at a total of $300,000 per year
(approximately $5,000 per month per home.)
• No-cost use of City-owned facilities – includes 211 Novak Drive for a Senior Center,
and 1500 Petaluma Boulevard South for a shelter and community services center. Total
estimated rental value for both buildings is approximately $300,000 annually.
• State of California Encampment Resolution Grant and Sonoma County Measure O.
In FY2024-25, the City leveraged these one-time grant funds totaling $1,720,519 to
augment homeless services including operating non-congregate shelter, expansion of
street outreach and dedicated mental health services.
• State of California Housing and Community Development (HCD) Permanent Local
Housing Allocation (PHLA). To augment City funds for affordable housing
development, the City accesses this entitlement jurisdiction formula grant funding, which
totals $1,106,142 for a 5-year allocation period that began in 2019. Eligible uses include
affordable housing development and preservation and assisting persons who are
experiencing or at risk of homelessness.
• State of California Housing and Community Development (HCD) Local Housing
Trust Fund (LHTF) provides revenues for affordable housing activities including new
construction, preservation or rehabilitation of existing housing, land acquisition for
development of affordable housing, pre-development activities and gap financing loans.
• Funding leveraged through contracted service providers. Service providers funded by
City CDBG subcontracts (Petaluma People Services Center, Rebuilding Together
Petaluma, and Petaluma Ecumenical Properties) leverage additional private and public
funding sources in order to deliver program services.
CR-20 - Affordable Housing 91.520(b)
Evaluation of the jurisdiction's progress in providing affordable housing, including the
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number and types of families served, the number of extremely low-income, low- income,
moderate-income, and middle-income persons served.
One-Year
Goal
Actual
Number of Homeless households to be provided affordable housing units
0
0
Number of Non-Homeless households to be provided affordable housing units
50
37
Number of Special-Needs households to be provided affordable housing units
0
0
Total 50 37
Table 6 – Number of Households
One-Year
Goal
Actual
Number of households supported through Rehab of Existing Single-Family Units
owned by Low-Income Households (Rebuilding Together Petaluma)
50
37
Number of households supported through Meals program (Petaluma People’s Service
Center)
450
936
Total 500 973
Table 7 – Number of Households Supported
Discuss difference between goals and outcomes and problems encountered meeting goals.
Due to higher than anticipated per-unit expenses for repairs and modifications through the
Rebuilding Together Petaluma program, the allocation of FY2024-25 CDBG funds was able to
assist with preservation of housing for 37 households versus the original target of 50 for the year.
By leveraging additional funding sources, Petaluma People Services Center (PPSC) was able to
serve 669 clients through its Meal Delivery program in FY2024-25, exceeding the original target
of 450 clients.
Discuss how these outcomes will impact future annual action plans.
The City will continue to prioritize use of CDBG funds for the preservation of affordable
housing during through the FY2025-26 Action Plan. The City will continue to seek other
resources including leveraging other available mechanisms and resources through State and
Federal sponsored programs to meet its affordable housing goals.
Include the number of extremely low-income, low-income, and moderate- income persons
served by each activity where information on income by family size is required to
determine the eligibility of the activity.
Number of Households Served by CDBG and HOME Funds CDBG Actual HOME Actual
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Extremely Low-income 30 0
Low-income 7 0
Moderate-income 0 0
Total 37 0
Table 8 – Number of Households Served
A total of 37 low and extremely low-income homeowner households benefited from Rebuilding
Together Petaluma’s rehabilitation program, representing a 7.5% decrease in number of
households served by the program over the prior year. A total of 669 low-income senior
households benefited from the Petaluma People Services Cetner Meals program.
Using other funding sources, the City also worked with non-profit developers on three affordable
rental housing developments which will serve low to moderate income households:
• MidPen/Washington Commons – 50 units of affordable housing
• Burbank Housing/River Place – 50 units of affordable housing in construction
• Danco/Meridian at Corona Crossing – 131 units of affordable housing
CR-25 - Homeless and Other Special Needs 91.220(d, e); 91.320(d, e); 91.520(c)
Addressing emergency shelter and transitional housing needs of homeless persons
The annual Sonoma County Point in Time Census provides a snapshot of how many people are
experiencing homelessness on a given night. After registering a 11% increase in 2024, the 2025
count recorded an 23% decrease, identifying 1,952 people experiencing homelessness, down
from 2,522 in 2024. The 2025 Preliminary Point in Time Report by the Sonoma County
Continuum of Care reports reductions in the overall number of people experiencing
homelessness due in part to the opening of new permanent housing projects for chronically
homeless individuals with mental illness and set asides in affordable housing projects for people
experiencing homelessness. The full 2025 report, including Petaluma-specific data, is expected
to be released in September 2025.
In June 2022, the City Council adopted Petaluma’s first Strategic Plan to End Homelessness,
guiding City policies, programs, and investments through June 2025. At the highest-level, the
Plan called for building a homeless system of care that will be able to end long-term, chronic
homelessness in Petaluma by the end of 2025 and in the process, create a crisis response system
that ensures homelessness becomes a rare, brief, and one-time experience in our community.
The most current census of people experiencing homelessness is found in the Petaluma By-
Names List (BNL) year-end report, which includes data on services provided and housing
outcomes for the more than 900 individuals who experienced homelessness in the City between
July 1, 2024 and June 30, 2025. As of June 30, 2025, the Petaluma BNL reported 316 people
experiencing homelessness in the city. Of these, 146 (46%) were chronically homeless, 63 (20%)
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were non-chronic, and 107 (34%) had unknown status due to lack of assessment data.
Approximately 109 people (35%) were sheltered.
The Plan then describes how this vision can be achieved by implementing a variety of different
strategic focus areas, including:
1. Creating a robust “housing-focused” outreach system that links people experiencing
homelessness with new options through increased numbers of permanent supportive
housing units and creative shelter options for vulnerable sub-populations,
2. Creating and/or securing access to new permanent supportive housing units to provide
sufficient housing and services for people experiencing chronic homelessness,
3. Improving the Petaluma Coordinated Entry access point through which people access
housing and shelter options,
4. Tackling root causes of homelessness to prevent loss of housing in the first place,
5. Increasing the City’s internal capacity to respond to homelessness, leverage the
community to accelerate progress, and build alignment with other cities and subregions,
6. Tackling the root causes of homelessness, e.g., through growth of affordable housing,
tenant protection initiatives, income growth and safety net protections,
7. Leveraging the community to accelerate progress through increased education and
information regarding homelessness, fee waivers for affordable housing, and improved
landlord engagement, and
8. Building alignment with other cities and subregions including shared funding agreements
and advocacy for subregional resource commitments from the County.
The following Strategic Plan to End Homelessness Year 3 achievements were highlighted in a
report presented to Council for FY2025-26:
• Expanded Street Outreach and Proactive Encampment Resolution – Within two quarters
of their FY24-25 contract, street outreach provider HomeFirst enrolled 63 people into
Coordinated Entry, including 18 first-time enrollees. By March 2024, 239 of the 276
individuals on the Petaluma BNL were enrolled in Coordinated Entry. To address the
ongoing challenge of people living in encampments, a multi-agency collaborative
including HomeFirst, COTS, the Petaluma Police Department and the City Housing and
Homeless Services team worked throughout FY2024-25 to implement systems-level
improvements, including:
o Outreach integrated with meal service,
o Neighborhood encampment response patrols in the Riverfront and
Hopper/Caulfield areas – includes volunteer officer night patrols, and
o Development of an Encampment Response Toolkit to standardize approach and
prevent encampments from growing.
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In April 2024, the City submitted an $8M proposal to the State of CA Interagency
Council on Homelessness for the Round 3 Encampment Resolution Fund (ERF-3R). In
October of 2024, the City was granted an award of $8,098,978. The funds will be used to
launch a 3-year Petaluma Encampment Resolution Project. The projects’ goal is to move
100 individuals from encampments into permanent and interim housing, expand
emergency shelter capacity, and pilot service expansions. With these funds, the City will
be able to:
• Expand Emergency Shelter Capacity: Increase the number of beds and lockers at
existing shelters (Mary Isaak Center and Kids First).
• Subsidize Operating Costs: Support interim shelters like Peoples Village and Mary
Isaak
• Increase Permanent Supportive Housing Units: Partner with affordable housing
developers for new units becoming available from 2024 to early 2026.
• Contract for Housing-Focused Outreach: Engage teams dedicated to housing
problem-solving.
• Provide Clinical Behavioral Health Support: Ensure access to mental health
services for encampment residents.
• Offer Medium-Term Rental Assistance: Provide up to 24 months of support for
those without housing vouchers.
• Staff Housing Retention Case Managers: Hire new staff to support residents in
maintaining stability after moving into permanent housing.
• Landlord Recruitment Initiative (LRI) – By the end of this new initiative’s third
quarter in operation, HomeFirst recruited 6 landlords, housed 6 individuals, and issued 16
tenant assistance payments. The program contacted 122 landlords since inception, with 4
retained through ongoing support, despite challenges due to a lack of rental subsidies.
• Dedicated Mental Health Services – Funded by Sonoma County Measure O, Petaluma
People Services launched mental health services integrated with the By-Name-List and
Street Outreach, offering individual and group counseling, and engaging a behavioral
health specialist in weekly case conferencing.
• Emergency Shelter Partnership – Over the past year, COTS and the City strengthened
shelter programs, increasing housing exists from Mary Isaak Cetner and People’s Village,
and improving response to extreme weather. Winter 2024-25 efforts served 570
individuals in need of safe shelter.
• Alignment with Broader Strategies – Petaluma’s Street outreach efforts influenced a
county-wide standardized model, with Sonoma County Continuum of Care adopting
Program Standards for Street Outreach, based largely on Petaluma’s work since 2022.
• Lived Experience Input – Feedback from surveys and focus groups conducted in
October 2025 of homeless individuals in Petaluma highlighted the need for better system
navigation, increased access for Hispanic / Latinx community members, and more non-
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congregate shelter options.
• By Names List Improvements – Managed by HomeFirst, the Petaluma BNL team
expanded case management to all known homeless individuals in the city. Weekly
meetings with local service providers and stakeholders help coordinate care and address
trends in homelessness.
Helping low-income individuals and families avoid becoming homeless, especially
extremely low-income individuals and families and those who are: likely to become
homeless after being discharged from public institutions and systems of care (such as
health care facilities, mental health facilities, foster care and other youth facilities, and
corrections programs and institutions); and, receiving assistance from public or private
agencies for housing, health, social services, employment, education, or youth needs
In 2022, the City of Petaluma launched the Guaranteed Basic Income (GBI) Program in
collaboration with the Sonoma County Pilot, which aimed to increase financial security for low-
income families by providing monthly financial support to 500-750 families over 24 months,
particularly those heavily impacted by COVID-19. Petaluma People Services Center (PPSC)
played a key role in outreach, helping 1,198 applicants complete the process, with 52 families
ultimately receiving GBI payments. The program also connected participants to additional
services such as parenting programs, mentorship, and workforce development to further enhance
their economic mobility and well-being.
To prevent more people from becoming homeless, the City of Petaluma, City of Santa Rosa and
County of Sonoma have partnered to launch Keep People Housed – a county-wide homelessness
prevention pilot built in partnership with All Home, a nonprofit agency advancing regional
solutions to address homelessness in the Bay Area. All Home has developed and tested a
regionally coordinated homelessness prevention program for households with income below
50% of Area Median income in multiple counties. The system 1) pairs rapid, flexible financial
assistance with housing stabilization services and legal aid referrals for people facing eviction,
and 2) prioritizes households using an on-line platform for program intake and assessment. To
resource the pilot, All Home is providing $1.3M in funds to match combined contributions from
Petaluma ($300,000), Santa Rosa ($500,000), and the County of Sonoma ($500,000.) With the
total of $2.6M in new prevention resources, the pilot will launch in October 2024.
Helping homeless persons (especially chronically homeless individuals and families,
families with children, veterans and their families, and unaccompanied youth) make the
transition to permanent housing and independent living, including shortening the period of
time that individuals and families experience homelessness, facilitating access for homeless
individuals and families to affordable housing units, and preventing individuals and
families who were recently homeless from becoming homeless again
One of the greatest barriers to preventing and ending homelessness in Petaluma and across
Sonoma County is the shortage of affordable housing. Petaluma, being a small jurisdiction, is
committed to preserving and rehabilitating existing affordable housing stock and working with
both non-profit and for-profit developers in the construction of affordable units when the
opportunity arises. Four projects in Petaluma's affordable housing pipeline are benefiting from
the City's impact fee waiver. By 2026, 224 new units, including 59 permanent supportive
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housing units, will be completed across three developments: 414 Petaluma, Meridian at North
Station, and River Place. Leasing at 414 Petaluma Blvd began in July 2024. Expansion of access
to additional privately held units for people exiting homelessness will continue through the
City’s Landlord Recruitment initiative with HomeFirst. COTS (the City’s emergency shelter
provider) and HomeFirst are partnering through Landlord Recruitment to help people
experiencing homelessness access affordable housing units (both PSH and non-PSH) via
financial assistance, help navigating the application and move-in processes, and short-term
support to ensure housing retention after move-in to permanent housing.
This emphasis on permanent affordable housing development and landlord recruitment is
supported by the City’s overall response to homelessness which includes the following short-
term, interim and long-term solutions:
• Short-Term:
o Rebuilding Together Petaluma (RPT) – outreach focused skills training,
employment readiness and gainful employment, streets and encampment clean-
ups.
o Home First – By Names List case conferencing facilitation, housing-focused
outreach, employment program, collaboration with court referral, jail re-entry,
and health care partners.
• Interim Solutions
o Home First – Landlord Recruitment and housing stabilization support.
o COTS – housing-focused shelter with case management support and housing
placement program. Includes both congregate and non-congregate options and in
a countywide homelessness prevention initiative, the Keep People Housed
program provides urgent financial aid and services to at-risk households to
prevent eviction and housing loss.
o SAFE Program - mental health first response for crises involving mental illness,
homelessness, and addiction.
o Guaranteed Basic Income Pilot – two-year pilot program 2022-2024 to
determine impact of guaranteed basic income to prevent homelessness and
increase stability
o Fair Housing – landlord training and tenant consultation to support retention of
tenants in affordable housing units
o Secure Families Collective – A network of providers in Sonoma County and
Petaluma providing immigration legal services, housing assistance, and
wraparound social services to families, including those in Petaluma.
o PPSC Mental Health Counseling – Specialized mental heath counseling for
homeless individuals living in shelter or unsheltered. These wrap-around services
include individual and group counseling services, and referrals to support
substance use.
• Long-term Solutions
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o COTS – permanent supportive housing with services
o Petaluma People Services Center – rental assistance
o Nations Finest – veterans housing support services.
CR-30 - Public Housing 91.220(h); 91.320(j)
Actions taken to address the needs of public housing.
The City does not own or operate public housing units. There are approximately 517 Section 8
vouchers that have been issued through the Sonoma County Housing Authority for persons
living in Petaluma. The 414 Petaluma Boulevard North affordable housing development
scheduled to open in spring of 2024 will include 16 project based vouchers. New affordable
housing developments in the current pipeline are also integrating project-based vouchers for
permanent supportive housing to provide economic support that ensures long-term housing
stability for residents.
Actions taken to encourage public housing residents to become more involved in
management and participate in homeownership
When there are new affordable homeownership opportunities, notifications are placed in the
local newspaper reaching out to all First Time Homebuyers and distributed via City email
newsletters to interested potential homeowners. The City is in the process of reviewing all
program materials to ensure the highest levels of accessibility to increase alignment with City
Diversity, Equity and Inclusion policies.
Actions taken to provide assistance to troubled PHAs.
Not Applicable
CR-35 - Other Actions 91.220(j)-(k); 91.320(i)-(j)
Actions taken to remove or ameliorate the negative effects of public policies that serve as
barriers to affordable housing such as land use controls, tax policies affecting land, zoning
ordinances, building codes, fees and charges, growth limitations, and policies affecting the
return on residential investment. 91.220 (j); 91.320 (i)
In 2024, the City of Petaluma was awarded Prohousing Incentive Pilot program funding which
will further augment CDBG funds for development of affordable housing and provision of
homeless services. The California Department of Housing and Community Development (HCD)
worked with multisector collaborators to create Prohousing regulations and began administering
the Prohousing Designation program in June 2021. As of February 1, 2024, 37 cities across the
state had received the Prohousing Designation – including the City of Petaluma. The Prohousing
Designation Program aims to incentivize these key principles: 1) increase development capacity,
variety, streamlining; 2) planning consistent with state priorities; 3) promote equitable
communities; 4) collaborate to align policies and programs; and, 5) implementation of relevant
housing statutes. The City applied for HCD Prohousing Incentive Pilot program grant funding
and was awarded a commitment of $840,000 in July 2024 to help address growing homelessness
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in the region in light of the continued need to increase access to affordable housing.
Petaluma ensures compliance with the Federal Fair Housing Act and Section 504 of the
Rehabilitation Act of 1973 for all new housing construction projects. This includes that, at a
minimum, five percent of the total dwelling units shall be made accessible for persons with
mobility impairments. Potential constraints to housing development in Petaluma may include
infrastructure, residential development impact fees, land use, growth management, and zoning
ordinance provisions. A detailed analysis of these potential barriers is provided in the City of
Petaluma 2023-2031 Housing Element. Some of Petaluma’s significant strategies for removing
the barriers to affordable housing have included:
• The City of Petaluma reviews their development impact fees on an annual basis and
reduced or combined several fees as possible – including impact fee waiver for 100%
affordable developments (approved by Resolution in November 2022.)
• The City of Petaluma adopted an inclusionary housing ordinance in September of 2018 to
require all residential developments with 5 or more units to build on-site affordable units
in the development.
Actions taken to encourage public residents to become more involved in management and
participate in homeownership.
When homeownership opportunities arise, notifications are placed in the local newspaper, posted
on the Housing Land Trust and social media pages, and sent via email to all First Time
Homebuyers and interested homeowners. The City is currently reviewing all program materials
to ensure they are as accessible as possible, in line with City Diversity, Equity, and Inclusion
policies.
When homeownership opportunities arise, notifications are placed in the local newspaper, posted
on the Housing Land Trust and social media pages, and sent via email to all First Time
Homebuyers and interested homeowners. The City is currently reviewing all program materials
to ensure they are as accessible as possible, in line with City Diversity, Equity, and Inclusion
policies.
Actions taken to provide assistance to troubled PHAs.
Not Applicable
Actions taken to address obstacles to meeting underserved needs. 91.220(k); 91.320(j)
The City and HUD's Office of Fair Housing and Equal Opportunity met in May 2023 to discuss
obstacles serving under-represented groups with existing CDBG programs. As a result of the
meeting with FHEO, City staff actively working with service providers to increase marketing
and community outreach and engagement in areas identified in the Certified 2023-2031 Housing
Element Appendix E - Affirmatively Further Fair Housing (AFFH).
While the city has no Racially or Ethnically Concentrated Areas of Poverty (RECAPs), the city
and its community partners will use block groups identified in the AFFH as a guide to target
outreach to areas that have higher populations of protected classes of people, including areas
with lower income, families with children, minorities, people with disabilities, and single parent
households. The City now incorporates affirmative marketing into funding applications and
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analyzes how programs can incorporate strategies for addressing impediments in under-
resourced areas and increase community engagement in the city's underserved communities.
An additional obstacle to meeting the needs of residents is the availability of funding. Changes to
tax credit scoring and the limited amount of state housing funds have proven to be an obstacle in
the City’s ability to implement its goals. In FY2024-25, the City team sought additional funding
to allow the City to leverage its limited funding and provide more housing opportunities for
extremely, very low and special needs households. This State of California Housing and
Community Development Programs are the primary source of these additional funds – Local
Housing Trust Fund; Pro-Housing Designation Program; Affordable Housing and Sustainable
Communities Program; and the Permanent Local Housing Formula Allocation.
Actions taken to reduce lead-based paint hazards. 91.220(k); 91.320(j)
The County of Sonoma has implemented the Childhood Lead Poisoning Prevention program
(CLPP), funded through the State Department of Health Services, which employs a team of
health professionals, who provide services to parents, healthcare providers, and the general
public. The team is comprised of Registered Environmental Specialists, Public Health Nurses,
and Health Educators. The CLPP program provides services in two major ways – 1) case
management and source identification for lead poisoned children and 2) outreach and education
to the community and targeted groups.
The City works closely with our non-profit agency, Rebuilding Together Petaluma, who is
instrumental in the rehabilitation of the majority of the City’s housing units with CDBG funds.
LBP hazard notices are distributed to the owners of the rehabilitated properties warning them of
the hazards of LBP. All units rehabilitated with CDBG funds are owned by disabled and or low-
income households.
Actions taken to reduce the number of poverty-level families. 91.220(k); 91.320(j)
The City aims to reduce the number of poverty-level individuals by targeting CDBG and local
funds to projects that will provide affordable housing units and related services to foster self-
sufficiency. The city does not have the resources or the capacity to increase income of poverty
level persons, although the City does act to reduce housing costs for these individuals with other
city funds through a rental assistance program and through services that reduce household costs
such as home-delivered meals for seniors.
Actions taken to develop institutional structure. 91.220(k); 91.320(j)
The City of Petaluma’s Housing Division administers all of the activities specifically identified
in the Consolidated Plan. The City works closely with other housing-related organizations and
service providers to ensure that the housing needs of City residents are addressed to the best
ability of the network of such providers given available resources. The working relationships
between the Housing Division and other City departments are strong and facilitative. City
Planning and Housing staff meet regularly to discuss improving communications, sharing of
housing development information and providing feedback for development plans and
opportunities for affordable housing development funding.
In addition to its active participation in the Sonoma County Continuum of care, the City has
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invested in local and regional collaboration to coordinate service delivery, leverage limited
resources and pursue new funding. The primary mechanism for this collaboration has been the
establishment of a City-based By Names List review process, which is aligned with the County
of Sonoma subregional outreach collaboration. Recognizing that homelessness is a community-
wide challenge beyond the capacity of the City alone to solve, the City convenes a group of
contracted homeless service providers to coordinate services and planning. The By Names List
group meets weekly and includes COTS, PPSC, RTP, Petaluma Health Center, the Petaluma
Police Department, Public Works, and staff from City Parks and Recreation. The By Names List
group brings providers together to address the individual needs of those served with a targeted
approach that involves review of each individual’s experience and working collaboratively on
strategies needed to support their exit from homelessness.
The City actively sought new funding to expand staffing capacity for the Housing and Homeless
Services programs within the City.
Actions taken to enhance coordination between public and private housing and social
service agencies. 91.220(k); 91.320(j)
The City engages multiple public and private partners to further objectives of the Consolidated
Plan and Annual Action Plan. The City relies on private non-profit organizations as well as for-
profit developers to build and acquire, develop, and rehabilitate affordable units, and to provide
social services to residents of those units.
Identify actions taken to overcome the effects of any impediments identified in the
jurisdiction’s analysis of impediments to fair housing choice. 91.520(a)
The City contributed to development of the 2022 Sonoma County Analysis of Impediments to
Fair Housing Choice report, and uses City Housing In-Lieu and Commercial In Lieu funds to
improve the supply of affordable housing for lower income persons and to fund a portion of the
county-wide Fair Housing program operated by Petaluma People Services Center. The PPSC
Fair Housing program counters violations under state landlord-tenant law and state and federal
fair housing statutes. PPSC Fair Housing reported contact with 1,633 people during FY2024-25,
offered housing counseling and landlord-tenant mediation, and provided 47 landlord trainings.
CR-40 - Monitoring 91.220 and 91.230
Describe standards and procedures used to monitor activities carried out in furtherance of
the plan and to ensure long-term compliance with requirements of the programs involved,
including minority business outreach and comprehensive planning requirements.
The City Housing and Block Grant Division regularly monitors CDBG funded activities to
ensure that all projects and programs are administered in compliance with applicable regulations
and to ensure that those accomplishments are addressing the priorities established in the
Consolidated Plan. Staff works closely with service partners year-round and achieves formal
monitoring through review of quarterly and annual reporting submitted by contracted providers.
Most of the funding is allocated to nonprofit subrecipients who enter into an agreement with the
City detailing program requirements, applicable regulations, and references to the provision of
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OMB circulars containing federal cost principles, audit and uniform administrative requirements.
The City conducts a mandatory orientation session to provide subrecipients information
pertaining to their funded activities and continues individualized technical assistance throughout
the year. Subrecipients are required to submit quarterly reports via the City Data Services web
portal, to include updates on activities, beneficiaries, and outcomes. City staff enters report
information into HUD’s Integrated Disbursement and Information System (IDIS), and monitors
for compliance with applicable federal and local regulations, goals and objectives. Staff conduct
a desktop review of subrecipient financials and program records annually, with on-site
monitoring as needed.
Citizen Participation Plan 91.105(d); 91.115(d)
Describe the efforts to provide citizens with reasonable notice and an opportunity to
comment on performance reports.
To ensure that all citizens, public agencies, and other interested parties can review and comment
on performance reports on housing and community development activities and the use of CDBG
funds, public notices are placed in the local newspaper, posted in the City e-mail newsletter,
published on the City Housing Program webpage, and available via email request to the City
Management Analyst, Sarah Wolf swolf@cityofpetaluma.org.
A draft of the Consolidated Annual Performance and Evaluation Report (CAPER) was made
available for public review for 30 days prior to the City Council meeting scheduled for
September 16, 2025. At the public hearing the CAPER will be presented, and public comments
will be incorporated as part of the public record. The meeting is offered in person or via zoom.
Meeting details are posted on the City website. At this time, The City is temporarily suspending
virtual participation (comments) by Zoom at City Council meeting and will re-evaluate the
policy at a future date. Members of the public who are unable to attend in-person, but who still
wish to comment on items may submit their comment cards to the City Clerk. The City has made
provisions to provide bilingual translators and signing or captioning services for the hearing
impaired upon request. Normally the sites utilized for all public meetings/ hearings are ADA
compliant and within proximity to public transportation. The City’s website is also available in
Spanish.
The City’s public comment period for the draft FY2024-2025 CAPER will run from August 1,
2025 through September 16, 2025. The Public Hearing Notices were printed in English and
Spanish in the local newspaper serving the City of Petaluma.
CR-45 - CDBG 91.520(c)
Specify nature of and reasons for any changes in the jurisdiction’s program objectives and
indications of how the jurisdiction would change its programs as a result of its experiences.
There were no changes in Petaluma’s program objectives during FY 2024-2025.
Does Jurisdiction have open Brownfields Economic Development Initiative (BEDI) grants?
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No
[BEDI grantees] Describe accomplishments outcomes during the last year.
N/A.