Hello Housing contract for accessory dwelling unit program extended to end of 2026

In plain English

Hello Housing, a regional nonprofit, has run the County's Accessory Dwelling Unit (ADU) Incentive Program since 2023 under a three-year contract that expired June 30, 2026. This item would ratify a third amendment extending the contract term through December 31, 2026 so the nonprofit can use the roughly $90,000 still left in the original contract budget and keep helping homeowners who are still building their ADUs. No new money is requested. Staff say they will bring a proposal for a new contract to the Board later this fall to continue the program into Fiscal Year 2027-28.

Homeowners in the unincorporated county who are mid-way through building an accessory dwelling unit with the program's help would keep getting project management assistance through the end of 2026; participating homeowners must rent the finished unit to eligible tenants for at least three years.

Key facts

Contract 23C4687 with Hello Housing; term extended through December 31, 2026
The existing contract expired June 30, 2026, with several homeowners still finishing their ADU projects
Approximately $90,000 remains from the original 2023 contract budget; no new funds are requested
Funding came from the FY 2022-23 Adopted Budget for the Housing Fund, within the Subdivision In-Lieu Fund (136155) and Affordable Housing Impact Fee Fund (136156)
A program goal is to complete approximately 20 ADUs during the three-year pilot period; participating homeowners agree to rent the completed ADU to eligible tenants for at least three years

Reasons to support

The extension lets Hello Housing spend down the $90,000 already committed in 2023 rather than leaving it unused.
Homeowners currently in the middle of ADU projects would keep receiving help with planning, design, budgeting, permitting, contracting and construction through December 31, 2026.
The item asks for no new funding and supports the County's Operational Plan initiative on attainable housing.

Reasons to oppose or change it

The Board is being asked to ratify an amendment after the original term already ended on June 30, 2026, meaning the extension is presented as an accomplished fact rather than an advance decision.
The pilot's goal of roughly 20 completed ADUs in three years has not been met within the original term, which could raise questions about whether the program should be funded again in Fiscal Year 2027-28.
The remaining $90,000 comes from the Subdivision In-Lieu and Affordable Housing Impact Fee funds, so spending it on program management is money not available for other affordable housing uses.

Official wording

Ratify third amendment to agreement with Hello Housing to extend the term to December 31, 2026 for the Accessory Dwelling Unit Incentive Program (Community Development and Infrastructure - Planning)

Official agenda Staff Report Amendment 3 23C4687 Hello Housing DRAFT Contract 23C4687 Hello Housing ADU Program Report

Summary written by claude-opus-5 from the agenda and the Staff Report. It can contain mistakes. The official documents govern.