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Community Development Agency <br /> www.santa-ana.org/community-development <br /> Item # 16 <br /> City of Santa Ana <br /> 20 Civic Center Plaza, Santa Ana, CA 92701 <br /> Staff Report <br /> May 19, 2026 <br /> TOPIC: First Amendment to Conditional Grant Agreement with Illumination Health + <br /> Home for the Richard Lehn Intergenerational Housing Project <br /> AGENDA TITLE <br /> First Amendment to the Conditional Grant Agreement with Illumination Health + Home <br /> (formerly Illumination Foundation) for the Richard Lehn Intergenerational Housing <br /> Project to Amend Disbursement Provisions for Homeless Housing, Assistance and <br /> Prevention Program Funds (Non-General Fund) <br /> RECOMMENDED ACTION <br /> Authorize the City Manager to execute a First Amendment to the Conditional Grant <br /> Agreement with Illumination Health + Home (formerly Illumination Foundation) to amend <br /> certain disbursement provisions related to the Richard Lehn Intergenerational Housing <br /> Project located at 918 North Bewley Street and allow expenditure of remaining <br /> Homeless Housing, Assistance, and Prevention Program funds prior to the State of <br /> California's expenditure deadline (Agreement No. A-2026-XXX). <br /> GOVERNMENT CODE 484308 APPLIES: Yes <br /> DISCUSSION <br /> On October 15, 2024, City Council authorized the City Manager to execute a <br /> Conditional Grant Agreement with Illumination Health + Home (formerly Illumination <br /> Foundation) for $2,021,319 in Homeless Housing, Assistance, and Prevention (HHAP) <br /> Program Round 1, 2, and 3 funds for the development of the Richard Lehn <br /> Intergenerational Housing Project located at 918 Bewley Street (Exhibit 1). The Richard <br /> Lehn Intergenerational Housing Project (Project) is an 11-unit permanent supportive <br /> housing project currently under construction. The Project includes the rehabilitation of <br /> two (2) two-story residential buildings into eleven (11) residential units comprised of two <br /> (2) one-bedroom units, seven (7) two-bedroom units, and two (2) three-bedroom units. <br /> One (1) one-bedroom unit and seven (7) two-bedroom units will be restricted to <br /> homeless youth at or below 30% of the Area Median Income (AMI). The two (2) three- <br /> bedroom units will be structured as shared housing for homeless senior citizens at or <br /> below 50% of the AMI. A comprehensive array of wraparound supportive services will <br /> be provided by Illumination Health + Home staff to ensure residents achieve healthy, <br /> independent, and fulfilling lives. <br /> Following approval by City Council, the City disbursed the "Initial Disbursement" of 90% <br /> or $1,819,187 in HHAP Program funds in accordance with the Conditional Grant <br />