REPORT TO THE CITY COUNCIL FROM: JENNIFER CLARK, Director Planning & Development Department PHIL SKEI, Assistant Director Planning & Development Department BY: MAYRA MERINO, Senior Management Analyst Planning & Development Department SUBJECT ..Title ***RESOLUTION - Making a Technical Amendment to Revised Program Guidelines 02 of the Local Housing Trust Fund to clarify that Multifamily New Construction remains an eligible activity (Subject to Mayor's Veto) ..Body RECOMMENDATION Staff recommends that the City Council adopt the technical amendment to the City's Local Housing Trust Fund (LHTF) Revised Program Guidelines 02 to clarify that Multifamily New Construction remains an eligible activity for the City's LHTF. EXECUTIVE SUMMARY The Local Housing Trust Fund (LHTF), established by the City Council in 2021 to support affordable housing initiatives, is governed by a set of program guidelines updated through an ongoing community engagement process. In 2025, the Council adopted Revised Program Guidelines 02 via Resolution 2025-270, which replaced the prior Program Guidelines 02 in their entirety. Staff has since identified a technical omission in the list of eligible activities-specifically, the inadvertent exclusion of Multifamily New Construction. This amendment is a non-substantive clean-up measure intended solely to clarify that Multifamily New Construction remains an eligible activity within Program Guidelines 02, consistent with the intent of the LHTF and the City's affordable housing objectives. Adoption of this amendment ensures internal consistency and accuracy within the guidelines. BACKGROUND The City Council established the Local Housing Trust Fund (LHTF) on July 29, 2021 via Resolution 2021-201 to support the development and preservation of affordable housing in Fresno. The resolution required the creation and periodic updating of program guidelines through a community-supported process involving public outreach such as surveys, workshops, and town halls. Program Guidelines 02 apply to funds allocated to the LHTF from the City's Real Estate Transfer Tax and other eligible local sources and operate independently of the State of California Local Housing Trust Fund Grant Program. On February 2025, the Council adopted Resolution 2025-263 directing the administration to remove or refrain from imposing income or income-verification requirements on LHTF funds allocated to the Eviction Protection Program. Shortly thereafter, the Council adopted Resolution 2025-270, replacing the prior Program Guidelines 02 with "Revised Program Guidelines 02." Following implementation, staff identified a technical omission - Multifamily New Construction was inadvertently left out of the list of eligible activities. This omission was unintentional and does not reflect the longstanding program intent. The proposed amendment simply corrects the list of eligible activities to affirm that Multifamily New Construction remains eligible under the LHTF. It also requires biennial review and engagement to ensure the guidelines reflect evolving local housing needs. The City Attorney's Office has reviewed the amendment and approved the resolution as to form. ENVIRONMENTAL FINDINGS The proposed action is not a project pursuant to the definition in the California Environmental Quality Act (CEQA) Guidelines section 15378. LOCAL PREFERENCE Local preference does not apply, as this action does not involve the award of contracts for construction or services. FISCAL IMPACT This action has no impact on the City's General Fund. Attachment: Resolution