Portola Valley council clears housing‑element amendment for HCD with NOFA language revised to prioritize very low and low income units

The Town Council authorized staff to submit a revised housing element amendment to the California Department of Housing and Community Development (HCD) after planning staff updated the draft in response to HCD comments. Senior Planner Akhoy Wilson described three sites with conceptual plans that preserve Portola Valley's site inventory while reallocating units: Village Square (25 units, including 20 very‑low income), Christchurch (15 units), and the Skyline Open Space site (16 one‑bedroom units with proposed septic/wastewater approaches to address limited utilities).

Wilson said the revised draft added more explicit site analyses and a new program to publish a Notice of Funding Availability (NOFA) to seed an affordable‑housing fund that would support projects on identified housing‑element sites. HCD had asked for more analysis of the Skyline Open Space constraints and for additional programs to facilitate housing.

Council deliberations focused on NOFA design and the fund’s target beneficiaries. Several council members and planning staff recommended removing draft language that tied the fund to only 100%‑affordable projects because that limitation could constrain practical development types and funding eligibility. Council member motioned to strike "100%‑affordable" language and instead direct staff to use NOFA language that prioritizes very‑low‑income (VLI) and low‑income (LI) units while keeping flexibility in the NOFA to identify incentives and per‑unit subsidy levels. The motion passed (4–0 with one abstention).

Why it matters: The submission to HCD is a required step toward certification; the council’s direction aims to keep the town’s RHNA inventory intact while creating a funding mechanism to prioritize deeper affordability where feasible. Councilors emphasized that the NOFA text inserted in the housing element should be broad enough for HCD review but precise enough to ensure local funding targets VLI/LI units.

Next steps: Staff will finalize the redlined housing element amendment reflecting council direction, accept public comments through June 30 and submit the draft to HCD after the public comment period closes; HCD typically has a 60‑day review window. If HCD requires additional changes, staff will return to council. The council also asked staff to prepare NOFA details (eligibility, per‑unit subsidies, preferences for housing‑element sites) for later council review before funds are committed.

Provenance: Presentation and council motion to remove the 100%‑affordable restriction and authorize submission to HCD (motion recorded at meeting).