LOS ANGELES, May 10, 2016 (GLOBE NEWSWIRE) -- The California Community Foundation (CCF), Conrad N. Hilton Foundation and Weingart Foundation are partnering to provide $16 million in loans and grants to increase permanent housing solutions for our most vulnerable homeless neighbors.
With the City of Los Angeles facing a state of emergency on homelessness, now is the time to act on solutions. Data has proven that permanent supportive housing (PSH) is the most effective way to end chronic homelessness and is a critical piece to kick-starting solutions to this crisis. PSH combines affordable housing with services that help people facing complex challenges to live with stability, autonomy and dignity.
The coalition has proposed an actionable plan – developed in partnership with nonprofit housing developers and lenders – for the City to produce at least 1,000 PSH units per year, a 700-unit increase from current production. The proposal calls upon the City to create new, local revenue streams to fund the increased production of PSH and to build upon Los Angeles Mayor Eric Garcetti's Executive Directive 13 to dramatically reduce development timelines for PSH from the San Fernando Valley to the Westside to South Los Angeles.
"We know that permanent supportive housing has a proven track record of helping those most in need, while saving government and tax-payer money," said California Community Foundation President & CEO Antonia Hernández. "By moving frequent users of services like emergency rooms and shelters into apartments that provide much-needed social services, we're helping our homeless neighbors stabilize and eventually become self-sufficient."
The foundations' contribution and plan will leverage Mayor Garcetti's commitment of $138 million to combat homelessness over the next year. The coalition aims to build on this momentum and encourage the City to develop long-term solutions to homelessness.
"Homelessness touches every corner of our City, impacting all of us," said Mayor Eric Garcetti. "To combat the crisis, my 2016 budget will include a historic $138 million investment to drive forward our homelessness strategies, but as we bring record levels of City investments to the table, we also need all hands on deck. These foundations are leading the private sector by partnering with us to do more for those who need our help the most. I applaud their work."
"The City of Los Angeles cannot do it alone. In order to meet our production goals, we need both new funding sources and land use incentives. I applaud the foundations' leadership for bringing together new money to help us achieve our 1,000 unit per year goal," said Councilmember Gil Cedillo, City of Los Angeles First District. "This commitment, along with the legislation I have put forth to streamline the permitting process under a new Permanent Supportive Housing Program, will allow the City to define development performance standards with possible ministerial actions. This program will help to expedite the housing we need for our most vulnerable population and house L.A. This partnership will make available the necessary money to get these units built."
These early commitments will leverage another $45 million in loans for the early costs of developing 1,000 new units. Loans will be managed by CSH. Also known as the Corporation for Supportive Housing, CSH is a highly-rated, nonprofit community development financial institution advancing solutions to improve the lives of the most vulnerable people, maximize public resources and build healthy communities. CSH has worked with all three foundations investing in this partnership and has been located in Los Angeles since 2003. Since 2008, CSH's Supportive Housing Loan Fund has provided acquisition and predevelopment financing for more than 1,600 permanent supportive housing units. Across the country, CSH has loaned or granted more than $500 million to create supportive housing.
A group of experienced nonprofit housing developers has been involved in developing the accelerated housing plan, identifying ways to streamline the system and accelerate production: A Community of Friends, Los Angeles Family Housing, Mercy Housing California, PATH Ventures, Skid Row Housing Trust and SRO Housing Corporation. These and others may apply through CSH for a loan.
In addition to loans, the foundations are planning to make grants to help build the infrastructure needed to meet the ambitious goal of tripling the number of PSH units annually.
These foundations have a long history of leveraging opportunities for acceleration through coordinated funding across Los Angeles County, including working to address homelessness. As members of the Home for Good Funders Collaborative – organized by the United Way of Greater Los Angeles and L.A. Area Chamber of Commerce – foundations and the public sector have jointly aligned more than $650 million over the last four years to address homelessness in Los Angeles County.
Read Mayor Garcetti's statement.
The California Community Foundation is committed to improving the quality of life for all Los Angeles County residents by addressing the root causes of the county's most urgent problems. The foundation has served as a public, charitable organization since 1915. For more information, please visit calfund.org.
The Conrad N. Hilton Foundation is a family foundation established in 1944 by the man who started Hilton Hotels. We provide funds to nonprofit organizations working to improve the lives of disadvantaged and vulnerable people throughout the world. For more information, please visit hiltonfoundation.org.
Weingart Foundation's mission is to build a better Southern California by supporting nonprofit organizations to more effectively serve the underserved. For more information, please visit weingartfnd.org.
CONTACT: Taleen Ananian 213.452.6203 email@example.comSource:California Community Foundation