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CC - Item 5D - Adopt Resolution No. 2025-58, Accepting a Funding Award of $1,200,000 from the State of California Department of Housing and Community Development under the CalHome Program (2024 Homeownership Super Notice of Funding Availability)ROSEMEAD CITY COUNCIL STAFF REPORT TO: THE HONORABLE MAYOR AND CITY COUNCIL FROM: BEN KIM, CITY MANAGER DATE: DECEMBER 9, 2025 SUBJECT: CONSIDERATION OF ADOPTING RESOLUTION NO. 2025-58, ACCEPTING A FUNDING AWARD OF $1,200,000 FROM THE STATE OF CALIFORNIA DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT UNDER THE CALHOME PROGRAM (2024 HOMEOWNERSHIP SUPER NOTICE OF FUNDING AVAILABILITY) SUMMARY The City of Rosemead has been awarded $1,200,000 in CalHome Program funds from the State of California Department of Housing and Community Development (HCD) under the 2024 Homeownership Super Notice of Funding Availability (HOSN). The CalHome award will be used to establish an Accessory Dwelling Unit (ADU) and Junior ADU (JADU) Loan Assistance Program ("CalHome ADU/JADU Program") to assist eligible low-income homeowners in constructing or rehabilitating ADUs/JADUs to expand the City's affordable housing stock. DISCUSSION On December 12, 2024, HCD released the 2024 HOSN announcing approximately $176.8 million in total funding statewide, including about $143.1 million for the CalHome Program. The CalHome Program provides grants to local public agencies and nonprofit developers to expand affordable homeownership opportunities and preserve existing housing. Earlier this year, the City of Rosemead submitted an application to establish a CalHome ADU/JADU Program, which would provide deferred -payment loans to eligible low-income homeowners who occupy their property as their primary residence. The program will assist with the construction, rehabilitation, or repair of ADUs or JADUs on owner -occupied residential properties. On October 16, 2025, and as revised on October 27, 2025, HCD issued a Conditional Award Commitment letter notifying the City of a conditional award of $1,200,000 in CalHome funds (Attachment "C"). Adoption of Resolution No. 2025-58 will fulfill the conditions required for final HCD approval and execution of the Standard Agreement for the CalHome award. AGENDA ITEM 5.1) City Council Meeting December 9, 2025 Page 2 of 3 STAFF RECOMMENDATION That the City Council: 1. Find that the proposed action is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the State CEQA Guidelines. 2. Adopt Resolution No. 2025-58 (Attachment "A") accepting the CalHome award of $1,200,000 from HCD to provide financing for the CalHome ADU/JADU Program. 3. Authorize the Mayor or his or her designee to execute a Standard Agreement, any amendments, and all other related program documents with HCD in connection with the City's $1,200,000 CalHome award. 4. Adopt Resolution No. 2025-61 (Attachment `B"), authorizing the amendment to the City's Fiscal Year 2025-26 Operating Budget to recognize and appropriate the CalHome Program funds ($1,200,000) within the Community Development Department's operating budget for the implementation of the CalHome ADU/JADU Program. FISCAL IMPACT There is no impact to the City's General Fund. Upon execution of the Standard Agreement with HCD, the $1,200,000 CalHome award will be recognized as revenue and appropriated within the Community Development Development's operating budget. Administrative costs associated with the program implementation will be funded using the allowable administrative portion of the CalHome grant consistent with program guidelines. ENVIRONMENTAL REVIEW The recommended action is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the State CEQA Guidelines, the "common sense" exemption that CEQA applies only to projects that may have a significant effect on the environment. Acceptance of CalHome funds and authorization to execute related documents does not have the potential to cause a physical change in the environment. Any site -specific projects funded under this program will be subject to separate environmental reviews prior to approval. STRATEGIC PLAN IMPACT The CalHome ADU/JADU Program aligns with the City's Strategic Plan Mission of "Rosemead provides quality programs, services, and support that builds community, increases opportunity, and makes Rosemead a great place to live, work, and play." City Council Meeting December 9, 2025 Page 3 of 3 PUBLIC NOTICE PROCESS This item has been noticed through the regular agenda notification process. Prepared by: Jl�,�Q /z- Deborah Sottek, Contract Housing Consultant Submitted by: , 74 Lily Valenzuela, Director of Community Development Attachment A: Resolution No. 2025-58 Attachment B: Resolution No. 2025-61 Attachment C: Conditional Award Commitment Letter from State HCD Attachment A Resolution No. 2025-58 RESOLUTION NO.2025-58 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD, CALIFORNIA, ACCEPTING A FUNDING AWARD OF $1,200,000 FROM THE STATE OF CALIFORNIA DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT UNDER THE CALHOME PROGRAM (2024 HOMEOWNERSHIP SUPER NOTICE OF FUNDING AVAILABILITY) AND AUTHORIZING THE MAYOR OR HIS OR HER DESIGNEE TO EXECUTE A STANDARD AGREEMENT AND ALL RELATED DOCUMENTS NECESSARY TO PARTICIPATE IN THE CALHOME PROGRAM WHEREAS, the California Department of Housing and Community Development ("Department"), as authorized by the California General Fund, CalHome Proposition 46 and Proposition 1C, and the Building Homes and Jobs Act (Sen. Bill No. 2 (2017-2018 Reg. Sess) §1: 2022 and 2023 CalHome has issued a Homeownership Super Notice of Funding Availability, dated December 12, 2024 ("Homeownership Super NOFA"). The Homeownership Super NOFA provides funding under the following programs for homeownership: the CalHome Program and the Joe Serna, Jr., Farmworker Housing Grant Fund. WHEREAS, the City of Rosemead, a California municipal corporation, (the "City") submitted an application to the Department in response to the 2024 Homeownership Super NOFA (the "Application") and was determined to be an eligible Grant Recipient under one or more of the foregoing programs (the "Program(s)") pursuant to that certain conditional award letter, dated October 27, 2025 (the "Conditional Award Commitment"). WHEREAS, pursuant to the Conditional Award Commitment, the Department made a conditional award to the City as follows: Program Award CalHome Accessory Dwelling Unit (ADU)/ $1,200,000 Junior AccessoryDwellingUnit JADU Program Total: $1,200,000 WHEREAS, each and all of the awards expressly identified above will hereinafter be referred to, both individually and collectively, as the "Program Award." WHEREAS, the City Council finds that this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the State CEQA Guidelines. THE ROSEMEAD CITY COUNCIL HEREBY RESOLVES AS FOLLOWS: SECTION 1: The City Council hereby authorizes and directs the City to accept and incur an obligation for the CalHome Program award in the amount of $1,200,000. SECTION 2: In connection with the total amount of the Program Award, the City Council hereby authorizes and directs the City to enter into, execute, and deliver one or more, Standard Agreement(s), and any and all other documents required or deemed necessary or appropriate to secure the Program Award from the Department and to participate in the relevant Program(s), and all amendments thereto (collectively, the "Program Award Documents"). SECTION 3: City acknowledges and agrees that it shall be subject to the terms and conditions specified in the, Standard Agreement(s), and that the Homeownership Super NOFA and the Application will be incorporated by reference therein and made a part thereof. City also acknowledges and agrees that any and all activities, expenditures, information, and timelines represented and described in the Application are enforceable through the relevant Standard Agreement(s). City also acknowledges and agrees that Program Award funds are to be expended only on the eligible uses and activities identified in the relevant Standard Agreement(s). SECTION 4: The City Council hereby authorizes the Mayor or his or her designee to execute the Program Award Documents on behalf of the City. SECTION 5: The City Council authorizes the Mayor or his or her designee to take any actions necessary to carry out the intent of this Resolution, including amendments to the City's current fiscal -year operating budget to recognize the CalHome grant revenue and appropriate the funds within the Community Development Department for program implementation. SECTION 6: This Resolution shall take effect immediately upon adoption. PASSED, APPROVED AND ADOPTED this 9th day of December, 2025. ATTEST: Rachel H. Richman, City Attorney Margaret Clark, Mayor APPROVED AS TO FORM: Ericka Hernandez, City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES) § CITY OF ROSEMEAD ) I, Ericka Hernandez, City Clerk of the City Council of the City of Rosemead, California, do hereby certify that the foregoing City Council Resolution No. ' 2025-58 was duly adopted by the City Council of the City of Rosemead, California, at a regular meeting thereof held on the 9t' day of December, 2025, by the following vote, to wit: AYES: NOES: ABSENT: ABSTAIN: Ericka Hernandez, City Clerk 3 Attachment B Resolution No. 2025-61 RESOLUTION NO. 2025-61 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD, CALIFORNIA, AMENDING THE FISCAL YEAR 2025-26 OPERATING BUDGET TO RECOGNIZE AND APPROPRIATE CALHOME PROGRAM FUNDS FOR THE CALHOME ADU/JADU PROGRAM WHEREAS, the City Council adopted the Fiscal Year 2025-26 Operating and Capital Improvement Program budgets on June 10, 2025; and WHEREAS, amendments must periodically be made to the budget to conform to changed circumstances following adoption of the budget; and WHEREAS, the City has been awarded $1,200,000 in CalHome Program funds from the State of California Department of Housing and Community Development (HCD) under the 2024 Homeownership Super Notice of Funding Availability (HOSN); and WHEREAS, the Fiscal Year 2025-26 Operating Budget does not currently include revenue or appropriations for this CalHome award, requiring an amendment to adjust revenue estimates and appropriate the $1,200,000 for implementation of the CalHome ADU/JADU Program; and WHEREAS, this budget adjustment constitutes an update to the Fiscal Year 2025-26 Budget previously approved pursuant to Resolution No. 2025-32. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ROSEMEAD HEREBY FINDS, DECLARES, AND RECOMMENDS AS FOLLOWS: SECTION 1: The Fiscal Year 2025-26 Operating Budget is hereby amended to increase revenue estimates by One Million Two Hundred Thousand Dollars ($1,200,000) to recognize the CalHome Program award from the State of California Department of Housing and Community Development (HCD) under the 2024 Homeownership Super Notice of Funding Availability (HOSN). SECTION 2: The Fiscal Year 2025-26 Operating Budget is further amended to appropriate One Million Two Hundred Thousand Dollars ($1,200,000) in CalHome Program funds within the Community Development Department's operating budget for implementation of the CalHome ADU/JADU Program, consistent with the CalHome Standard Agreement and Program Guidelines. SECTION 3: This Resolution shall take effect immediately upon its adoption. SECTION 4: The City Clerk shall certify the adoption of this Resolution. PASSED, APPROVED AND ADOPTED this 9th day of December, 2025. ATTEST: Margaret Clark, Mayor APPROVED AS TO FORM: Rachel H. Richman, City Attorney Ericka Hernandez, City Clerk 2 STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES) § CITY OF ROSEMEAD ) I, Ericka Hernandez, City Clerk of the City Council of the City of Rosemead, California, do hereby certify that the foregoing City Council Resolution No. 2025-61 was duly adopted by the City Council of the City of Rosemead, California, at a regular meeting thereof held on the 9ch day of December, 2025, by the following vote, to wit: AYES: NOES: ABSENT: ABSTAIN: 3 Ericka Hernandez, City Clerk Attachment C Conditional Award Commitment Letter from State HCD STATE OF CALIFORNIA - BUSINESS CONSUMER R RVI AND HOUSING AGENCY GAVIN NEWSOM Governor DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT DIVISION OF STATE FINANCIAL ASSISTANCE 651 BANNON STREET, SUITE 400, SACRAMENTO, CA 95811 0 P. O. BOX 952054, SACRAMENTO, CA 94252-2054 . (916)263-2771 www.hcd.ca.gov **REVISED AWARD LETTER** October 27, 2025 Ben Kim, City Manager City of Rosemead 8838 East Valley Boulevard Rosemead, CA 91770 Dear Ben Kim: RE: Revised Award Announcement — 2024 Homeownership Super NOFA (HOSN), CalHome, Round 2, Notice of Funding Availability (NOFA) Fiscal Year 2024/2025 City of Rosemead — ADU/JADU in Rosemead Contract No. 25-CALHOME-18751 The California Department of Housing and Community Development ("Department" or "HCD") is pleased to announce City of Rosemead ("Awardee") has been awarded a 2024 Homeownership Super NOFA (HOSN), CalHome, Round 2, award in the amount of $1,200,000. This letter corrects the letter originally issued on October 16, 2025 by removing Section IV. "Deadline to Secure Permanent Financing" and removing standard acknowledgement language from the enclosed "Acceptance of Terms and Conditions of Conditional Award" form from the enclosure of the original Award Letter. This letter constitutes notice of the designation of HOSN CalHome funds for the City of Rosemead and fully replaces the letter originally issued on October 16, 2025. Program Award Amount County Assisted Units First Time Homebuyer Mortgage Assistance MA $0 N/A N/A Owner -Occupied Rehabilitation (OOR) $0 N/A N/A ADU/JDU Program $1,200,000 Los Angeles 4 Self -Help Technical Assistance (SHTA) $0 N/A N/A Homeownership Project Development Loan HPDL $0 N/A N/A This Homeownership Super NOFA (HOSN), CalHome, Round 2, NOFA award is under a media and public announcement embargo until released by the Office of the Governor or otherwise notified by HCD staff. HCD will provide updates on the timing of the public award announcement and provide a social media toolkit and a quote from the HCD Director for use in local media releases. The Conditional Award is based on and subject to the Applicant Representations and the Terms and Conditions of Conditional Award, both as further specified and described in this Homeownership Super NOFA (HOSN), CalHome, Round 2, Revised Conditional Award Commitment City of Rosemead — ADU/JADU in Rosemead Contract No. 25-CALHOME-18751 October 27, 2025 Page 2 notice of the Conditional Award (the "Conditional Award Commitment"). This Conditional Award may only be accepted by timely delivery of a fully executed Acceptance of Terms and Conditions of Conditional Award form to the Department (an executed copy of this form is enclosed herein). I. Applicant Representations — Basis of Conditional Award In response to the above -mentioned NOFA, the Awardee(s) submitted an application for grant funding of the Project (that application, and all communications and documentation submitted to the Department in support thereof, the "Application"). The Department is making this Conditional Award to the Awardee(s) on the basis of, and in reliance upon, the representations, warranties, projections, and descriptions that the Awardee(s) submitted as part of the Application (the "Applicant Representations"). The Department may rescind this Conditional Award if the Department discovers, at any time prior to disbursement of the Conditional Award, that the Applicant Representations included material misrepresentations or omissions, regardless of whether or not such misrepresentations or omissions were innocent, unintentional, and/or based upon belief. II. Terms and Conditions of Conditional Award TIME IS OF THE ESSENCE IN THE SATISFACTION OF THESE TERMS AND CONDITIONS OF CONDITIONAL AWARD. The Department may rescind this Conditional Award if any of the terms and conditions enumerated in this Section II (the "Terms and Conditions of Conditional Award") are not timely satisfied. The Terms and Conditions of this Conditional Award and their corresponding timelines are described below. If the Terms and Conditions of this Conditional Award are timely satisfied, the Department will (i) promptly provide a written notification to the Awardee(s) via electronic mail; and (ii) circulate an executed copy of an STD 213, Standard Agreement, for all appropriate signatures and approvals in accordance with the timeline specified in Section III of this Conditional Award Commitment. All timelines shall be calculated in calendar days. Any deadline falling on a weekend or State of California holiday shall be extended to the next business day. California Department of Housing and Community Development 2024 Homeownership Super NOFA (HOSN), CalHome, Round 2 Notice of Funding Availability Acceptance of Terms and Conditions of Revised Conditional Award City of Rosemead ("Awardee") ADU/JADU in Rosemead ("Project") Homeownership Super NOFA (HOSN), CalHome, award totaling $1,200,000 ("Conditional Award"), as detailed below: Activity(ies) Award County Assisted Amount Units First Time Homebuyer Mortgage Assistance $0 N/A N/A MA Owner -Occupied Rehabilitation OOR $0 N/A N/A ADU/JDU Program $1,200,000 Los Angeles 4 Self-Hel Technical Assistance SHTA $0 N/A N/A Homeownership Project Development Loan $0 N/A N/A HPDL By signing this Acceptance of Terms and Conditions of Conditional Award, the Awardee acknowledges having read and fully understood the terms and conditions of the Conditional Award Commitment, October 16, 2025, and revised October 27, 2025, in connection with the Project. This Homeownership Super NOFA (HOSN), CalHome, Round 2, NOFA award is under a media and public announcement embargo until released by the Office of the Governor or otherwise notified by HCD staff. HCD will provide updates on the timing of the public award announcement and provide a social media toolkit and a quote from the HCD Director for use in local media releases. In addition, the Awardee(s) must acknowledge that it has reviewed and verified the accuracy of the project report pre Wired by the Department no later than November 6, 2025. Ben Kim, C' er City of Rosemead (01 Zq 125 Date ** For HCD Use Only ** Authorized Representatives Verified All Parties Signed Date Received: Homeownership Super NOFA (HOSN), CalHome, Round 2, Revised Conditional Award Commitment City of Rosemead — ADU/JADU in Rosemead Contract No. 25-CALHOME-18751 October 27, 2025 Page 3 A. Timely Execution of Acceptance of Terms and Conditions of Conditional Award Form The Awardee(s) shall execute and deliver a copy of the enclosed Acceptance of Terms and Conditions of Conditional Award to the Department within ten (10) calendar days of the date of this Conditional Award Commitment. The Department will deem this condition to be unsatisfied if it receives an executed Acceptance of Terms and Conditions of Conditional Award that has been substantively modified, altered, or amended in any way. The signed Acceptance of Terms and Conditions of Conditional Award form must be submitted to HOSN a(�.hcd.ca.gov. B. Timely Delivery of Authorization and Organizational Documents If not provided at the time of application, the Awardee(s) shall deliver to the Department, within sixty (60) calendar days of the date upon this Conditional Award Commitment, a legally sufficient set of Authorization and Organizational Documents, as further described and specified below. Specifically, the Awardee(s) shall deliver a duly adopted authorizing resolution, as well as a complete and duly filed or adopted set of organizational documents and all amendments (the "Authorization and Organizational Documents"), for each of the following entities as applicable: • each Awardee entity; the ultimate borrower of the Conditional Award funds (the "Borrower"); and, • each separate legal entity that is part of the Awardee's or Borrower's organizational structure. Each entity's resolution must constitute, to the Department's reasonable satisfaction, an unconditional, duly adopted, and legally binding authorization of the entity to accept the total amount of these Conditional Award funds, to fully participate in the relevant Department program, and to be legally bound by the requirements of the Department program. The Department may agree to an extension of fifteen (15) calendar days based on the Awardee's demonstration of necessity. Note: Local Public Entities, as defined in the above -mentioned NOFA and/or Final Program Guidelines, are not required to submit a complete and duly filed or adopted set of organizational documents and amendments. Both the Conditional Award and this Conditional Award Commitment are subject to Health and Safety Code section 50406, subdivision (p), as subsequently amended ("AB 1010"). The Department has posted resolution templates on its website as informational guidance. Please note that use of the resolution templates is not compulsory. However, use of the provided templates will assist in the timely review and approval of the Standard Agreement. While entities may choose to use modified language in their resolutions, Sponsors should be aware that this may delay preparation of the Homeownership Super NOFA (HOSN), CalHome, Round 2, Revised Conditional Award Commitment City of Rosemead — ADU/JADU in Rosemead Contract No. 25-CALHOME-18751 October 27, 2025 Page 4 Standard Agreement or, if deemed insufficient, may result in the need to submit a revised resolution. At any point prior to disbursement, the Department may also require the Awardee(s) to resubmit Authorization and Organizational Documents if the original submittals were determined to be inaccurate or incomplete. III. Delivery of Standard Agreement In an effort to be responsive to each Awardee's closing needs and to ensure timely commitment of funds, the Department commits to delivering an executed copy of the Standard Agreement relative to this Conditional Award within ninety (90) calendar days of receiving all required documents, including all legally sufficient Authorization and Organizational Documents, in connection with this Project and as applicable. Congratulations on your successful application. For further information, please contact Kara Thomson, CalHome Program Manager, Access to Opportunity Branch, at Kara.Thomson(a-)hcd.ca.gov. Sincerely, l' 4T, Jennifer Seeger Deputy Director Division of State Financial Assistance Enclosure: Acceptance of Terms and Conditions of Conditional Award form STATE OF CALIFORNIA - BUSINESS, CONSUMER SERVICES AND HOUSING AGENCY GAVIN NEWSOM, Governor DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT DIVISION OF STATE FINANCIAL ASSISTANCE 651 BANNON STREET, SUITE 400, SACRAMENTO, CA 95811 P. O. BOX 952054, SACRAMENTO, CA 94252-2054" (916) 263-2771 www.hcd.ca.gov October 16, 2025 Ben Kim, City Manager City of Rosemead 8838 East Valley Blvd Rosemead, CA 91770 Nik Dear Ben Kim: RE: Conditional Award Commitment and Acceptance of ms n o itions 2024 Homeownership Super NOFA (HOSN), CalHome, u Notice of Funding Availability (NOFA), Fiscal Year City of Rosemead — ADU/JADU in Rosemead Contract No. 25-CALHOME-18751 A The California Department of Housing and Communi el ment ("Department" or "HCD") issued a Homeownership Super NOFA me, Round 2, Notice of Funding Availability on December 12, 2024. T ment is now pleased to inform you of this conditional award to City of Rosemea e . This conditional award is a grant in the amount of $1,200,000 (the "Conditi Awa r the above -referenced project (the "Project") and includes the following -AQkvi Activity(ies) Award County Assisted Amount Units First Time Homebuyer stance N/A N/A (MA)$0 Owner -Occupied Reha Re(S $0 N/A N/A ADU/JDU Pro ra $1,200,000 Los Angeles 4 Self-Hel ica A $0 N/A N/A Homeo ersh' e velopment Loan $0 N/A N/A HPDL This Homeo#a ip Super NOFA (HOSN), CalHome, Round 2, NOFA award is under a media and public announcement embargo until released by the Office of the Governor or otherwise notified by HCD staff. HCD will provide updates on the timing of the public award announcement and provide a social media toolkit and a quote from the HCD Director for use in local media releases. The Conditional Award is based on and subject to the Applicant Representations and the Terms and Conditions of Conditional Award, both as further specified and described in this notice of the Conditional Award (the "Conditional Award Commitment"). This Conditional Award may only be accepted by timely delivery of a fully executed Acceptance of Terms and Conditions of Conditional Award form to the Department (an executed copy of this form is enclosed herein). Homeownership Super NOFA (HOSN), CalHome, Round 2, Conditional Award Commitment City of Rosemead — ADU/JADU in Rosemead Contract No. 25-CALHOME-18751 October 16, 2025 Page 2 Applicant Representations — Basis of Conditional Award In response to the above -mentioned NOFA, the Awardee(s) submitted an application for grant funding of the Project (that application, and all communications and documentation submitted to the Department in support thereof, the "Application"). The Department is making this Conditional Award to the Awardee(s) o basis of, and in reliance upon, the representations, warranties, projections, and descr' s that the Awardee(s) submitted as part of the Application (the "Applicant Repr en n, The Department may rescind this Conditional Award if the Depa s, at any time prior to disbursement of the Conditional Award, tha he A lic epresentations included material misrepresentations or omissions, rega s et or not such misrepresentations or omissions were innocent, uninten ' sed upon belief. Terms and Conditions of Conditional Award TIME IS OF THE ESSENCE IN THE SATISFA I THESE TERMS AND CONDITIONS OF CONDITIONAL AWARD The Department may rescind this C enumerated in this Section II (the not timely satisfied. The Terms and corresponding timelines are d90" If the Terms and Conc Department will (i) pro electronic mail; and (A for all appropriate n Section III of this W �d if any of the terms and conditions ditions of Conditional Award") are this Conditional Award and their C ditional Award are timely satisfied, the written notification to the Awardee(s) via an executed copy of an STD 213, Standard Agreement, d approvals in accordance with the timeline specified in lard Commitment. 46ulate7d in calendar days. Any deadline falling on a weekend or ay shall be extended to the next business day. ion of Acceptance of Terms and Conditions of Conditional The Awardee(s) shall execute and deliver a copy of the enclosed Acceptance of Terms and Conditions of Conditional Award to the Department within ten (10) calendar days of the date of this Conditional Award Commitment. The Department will deem this condition to be unsatisfied if it receives an executed Acceptance of Terms and Conditions of Conditional Award that has been substantively modified, altered, or amended in any way. The signed Acceptance of Terms and Conditions of Conditional Award form must be submitted to HOSN(a)hcd.ca.gov. Homeownership Super NOFA (HOSN), CalHome, Round 2, Conditional Award Commitment City of Rosemead — ADU/JADU in Rosemead Contract No. 25-CALHOME-18751 October 16, 2025 Page 3 B. Timely Delivery of Authorization and Organizational Documents If not provided at the time of application, the Awardee(s) shall deliver to the Department, within sixty (60) calendar days of the date upon this Conditional Award Commitment, a legally sufficient set of Authorization and Organizational Documents, as further described and specified below. Specifically, the Awardee(s) shall deliver a duly adopted authorizing resolution, as well as a complete and duly d or adopted set of organizational documents and all amendments (the "Authoriz and Organizational Documents"), for each of the following entities as plic each Awardee entity; the ultimate borrower of the Conditi ds (the "Borrower"); and, each separate legal entity that is part of the Awar rro is organizational structure. Each entity's resolution must constitute, to the D a nt's sonable satisfaction, an unconditional, duly adopted, and legally bi tMgWion of the entity to accept the total amount of these Conditional s, to fully participate in the relevant Department program, and to be I ou y the requirements of the Department program. The Departmen ay a an extension of fifteen (15) calendar days based on the Award n ration of necessity. Note: Local Public Entities, as de in t above -mentioned NOFA and/or Final Program Guidelines r 'red to submit a complete and duly filed or adopted set of orga a ' o uments and amendments. Both the Conditional Aw a is nditional Award Commitment are subject to Health and S ion 50406, subdivision (p), as subsequently amended C 101 The Department pMKd resolution templates on its website as informational qrevis . se n th�se of the resolution templates is not compulsory. r, us rovided templates will assist in the timely review and approval d eement. While entities may choose to use modified language in oluti s, Sponsors should be aware that this may delay preparation of the ement or, if deemed insufficient, may result in the need to submit a olution. At any point prior to disbursement, the Department may also require the Awardee(s) to resubmit Authorization and Organizational Documents if the original submittals were determined to be inaccurate or incomplete. Homeownership Super NOFA (HOSN), CalHome, Round 2, Conditional Award Commitment City of Rosemead — ADU/JADU in Rosemead Contract No. 25-CALHOME-18751 October 16, 2025 Page 4 III. Delivery of Standard Agreement In an effort to be responsive to each Awardee's closing needs and to ensure timely commitment of funds, the Department commits to delivering an executed copy of the Standard Agreement relative to this Conditional Award after receiving all required documents, including all legally sufficient Authorization and Organizational Documents, in connection with this Project and as applicable. AL IV. Deadline to Secure Permanent Financing Please note, that the Awardee must secure all permanent finan ' clax credits and bond allocations, within 24 months of the date of th irstVUt funding award to the Project, consistent with the Department's Disencu Administrative Notice Number 2022-02: Disencumbrance Policy). Sp®roject. that all permanent financing is in place allowing the project toconstruction. Failure to meet this requirement shall result in the withdrawal of this Conditional Award and any other prior or subsequent funds Congratulations on your successful application. f r i rmation, please contact Kara Thomson, CalHome Program Manager, Acce o y Branch, at Kara. Thom son c(D.hcd.ca.gov. Sincerely, hqj14 Jennifer Seeger Deputy Director Division of State Finan�s e EnclosureAlillilillopta'W of T1ns M Conditions of Conditional Award form California Department of Housing and Community Development 2024 Homeownership Super NOFA (HOSN), CalHome, Round 2 Notice of Funding Availability Acceptance of Terms and Conditions of Conditional Award City of Rosemead ("Awardee") ADU/JADU in Rosemead ("Project") Homeownership Super NOFA (HOSN), CalHome, award totaling $1,200,000 itional Award"), as detailed below: Activity(ies) Award ssistedAmount Units First Time Homebuyer Mortgage Assistance $0 PIA N/A MA Owner-Occu ied Rehabilitation OOR N/A ADU/JDU Program $1,2L6Q0.Anqeles N/A 4 Self -Help Technical Assistance SHTA N/A Homeownership Project Development Loan $ N/A N/A HPDL By signing this Acceptance of Terms and acknowledges having read and fully undE Award Commitment, dated October 1L.� W off onditional Award, the Awardee t s and conditions of the Conditional connection with the Project. This Homeownership Super NO S , CalHome, Round 2, NOFA award is under a media and public announce t a until released by the Office of the Governor or otherwise notified by H s will provide updates on the timing of the public award announcement an ovid social media toolkit and a quote from the HCD Director for use in IOCAme ases. In addition, t w ieaacP1,vvIc1Ws having read and fully understood all of the Departme uiretive o the Conditional Award, including the requirements set forth in finis mber 2022-22: Disencumbrance Policy, and the Awardee agrees t comply with those requirements. In addition, th ee(s) must acknowledge that it has reviewed and verified the accuracy of the project rep repared by the Department no later than October 30, 2025. Ben Kim, City Manager City of Rosemead Date ** For HCD Use Only ** Authorized Representatives Verified All Parties Signed Date Received: