Policy & Legislation
AB 987 Would Strengthen Redevelopment Affordability Covenants
AB 987 (Jones, D-Sacramento) would require redevelopment agencies to record affordability covenants on homes built using funds from the Low and Moderate Income Housing Fund in a separate and easily identifiable document. It would also allow potential tenants to enforce these covenants.
Housing California supports this measure, sponsored by Western Center on Law and Poverty, because it would help maintain the supply of affordable homes in California.
Existing law requires redevelopment agencies to devote at least 20 percent of their revenue to affordable homes and to record and enforce affordability covenants on these homes for at least 45 years. Subsequent buyers often violate these covenants without repercussions, due to current recording and enforcement practices.
Although no organization opposes AB 987, it has received opposition from legislators. The bill is similar to AB 2922, which was vetoed by the governor last year.
The full Assembly passed AB 987 on May 3, 2007, with a 44-29 vote. The Senate Transportation and Housing Committee will hear it on June 12, 2007.
Contact: Narisha Bonakdar, (916) 447-0503 x 109 or .
