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Sacramento County to receive $2.7 million HUD grant for community development projects

Intended to alleviate outdated land-use policies, aging infrastructure, & high development costs

Sacramento, Calif.- Sacramento County will receive $2,718,235 as part of a historic $100 million awarded by the U.S. Department of Housing and Urban Development (HUD) to communities across 15 states.

The funding, announced recently under HUD’s Pathways to Removing Obstacles to Housing (PRO Housing) program, aims to cut red tape, boost housing production at all income levels and reduce housing costs.

The grant funds will support three key initiatives:

Comprehensive Corridor Planning: Modernization of land use planning documents for Stockton Boulevard and North Watt Avenue commercial corridors, conducting infrastructure need and priority phasing analyses, and exploring establishing financing districts that would earmark a percentage of funds specifically for affordable housing development and related infrastructure needs in these corridors and identification of necessary resources to support positive outcomes for lower-income households.

Adaptive Reuse Program and Streamlining Affordable Housing in Special Planning Areas: Advancing an adaptive reuse program for conversions of structures in commercial zones for residential use; and removing discretionary requirements for affordable housing projects in SPAs, including Neighborhood Preservation Areas (NPAs).

Completing Round 2 of the Housing Element/Regional Housing Needs Allocation (RHNA) rezoning in planned communities where substantial residential development interests already exist.

“This funding is a crucial step toward addressing our community’s housing challenges and improving infrastructure to support sustainable growth in important infill and environmental justice areas,” said Todd Smith, Sacramento County Planning Director.

PRO Housing program

The PRO Housing program, launched in 2024, aims to help local governments and planning organizations tackle challenges like outdated land-use policies, aging infrastructure and high development costs.

Sacramento County’s projects exemplify the program’s goal of creating housing-forward communities while fostering community resilience and equity in two of Sacramento County’s Environmental Justice communities.

The grant represents a significant step in addressing housing challenges in Sacramento County and supports its ongoing commitment to creating more inclusive, affordable and sustainable communities.


Affordable Housing



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