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Costa Mesa Allocates $3.2 Million for Housing Support

Residents of Costa Mesa come together to enhance community housing support initiatives.

News Summary

Costa Mesa has designated $3.2 million in federal grants to enhance housing support and rehabilitation for residents. This funding aims to assist low-income households and prevent homelessness, focusing on community-driven projects and sustainable housing solutions. Allocations include infrastructure improvements and support for local nonprofits dedicated to homelessness prevention and housing assistance.

Costa Mesa has allocated $3.2 million in federal grants aimed at enhancing housing support and rehabilitation initiatives for residents in need. The funding, which includes nearly $1.1 million from the Community Development Block Grant (CDBG) program and $2.1 million for housing rehabilitation and assistance, comes as part of the city’s ongoing budget discussions and is intended to bolster housing stability for low-income residents and those facing potential homelessness.

The funding is administered through the U.S. Department of Urban Housing and Development (HUD) as part of the government’s effort to support communities. Each year, Costa Mesa receives CDBG allocations to help moderate- to low-income residents, which aligns with HUD’s national objectives. Furthermore, HOME Investment Partnership Grants are designated to create affordable housing specifically for low- and very-low income households. In Orange County, a household of two qualifies as low-income if it earns $108,300 and as very low-income if it earns $67,700 or less, based on HUD figures.

The 2023-24 CDBG allocation for Costa Mesa totals $907,261, supplemented by $172,000 from unspent grants from previous years, resulting in over $1.1 million dedicated towards various programs. Recommended allocations from this funding include:

$251,720 for infrastructure improvements on Wilson Street on the city’s west side.
$385,000 to fund code enforcement officers in neighborhoods that qualify for CDBG support.
$136,089 allocated to public service grants benefiting local nonprofits.

Among the selected public service grants are:

$26,522 for Families Forward, a program focused on homelessness prevention for households with children.
$26,522 for Human Options, which provides support for victims of domestic violence.
$21,219 for Project Hope Alliance, aimed at preventing youth homelessness.
$15,913 for the Assistance League of Newport-Mesa’s Operation School Bell program.
$15,913 for Trellis International’s Labors of Love neighbor assistance program.

Mikelle Daily, the grant administrator, noted confidence in the sustainability of these programs despite past concerns regarding potential funding cuts. Similarly, the city’s HOME funding for the 2025-26 fiscal year amounts to $378,720 dedicated to rehabilitation and housing assistance projects. Additionally, it includes $1,735,283 from previously banked funds, creating a total of over $2.11 million available for various housing initiatives.

Allocations from the HOME funding are expected to support programs including:

$200,000 to enhance the tenant-based rental assistance program.
$319,323 for loans up to $50,000 and grants up to $20,000 aimed at single-family home rehabilitation.
$1.5 million earmarked for affordable housing projects, which includes plans for the conversion of a Motel 6 into affordable housing units.
$56,808 reserved for nonprofits that may operate housing-related projects.

Mayor Pro Tem Manuel Chavez reinforced the necessity of channeling federal funds back into the community. While there have been concerns about potential freezes on federal funds during the Trump administration, the grant administrator has assured stakeholders that these programs enjoy robust bipartisan support, ensuring continuity going forward. This federal grant allocation is part of Costa Mesa’s commitment to supporting its most vulnerable residents and enhancing overall housing stability in the community.