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Housing California - Capitol Reporter

Hello  Housing California Supporter,

In this edition of the Capitol Reporter:

Bill to Recreate Redevelopment Advances

Legislation to allow cities and counties to form local redevelopment agencies passed two policy committees in the past two weeks, but committee members and the author's staff acknowledged the bill needs much work before it will ready to move to the governor.

The state Assembly Housing and Community Development Committee voted 5-2 and the Assembly Local Government Committee 6-3 to pass SB 1156 (Steinberg). Among the issues highlighted in both hearings was legislators' desire to dedicate more than 20 percent of the revenues to housing. Senator Steinberg's staff indicated he is willing to negotiate on that point.

SB 1156 is supported primarily by environmental and labor groups. Legislators commented on the absence of cities and housing advocates among the supporters; both generally support the reauthorization of tax-increment financing for community development, but want to see significant modifications to the bill.

Besides a higher housing set-aside, Housing California and Western Center on Law and Poverty are pushing to include the reforms contained in SB 450 (Lowenthal). That measure addressed long-standing problems with redevelopment agencies' spending of their housing funds. Governor Brown vetoed SB 450 last fall, wanting to see the outcome of CRA versus Matosantos first.

According to a committee analysis, the League of CA Cities questions whether the new incarnation of redevelopment will prove workable and useful.

The bill moves to the Assembly Appropriations Committee for hearing in August. We expect significant amendments prior to the hearing. 

Contact: Julie Snyder, 916.447.0503 x102 or jsnyder@housingca.org.

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Housing CA Priorities Survive Budget Blue-Pencil

Housing California and allies at the Corporation for Supportive Housing, Western Center on Law and Poverty, and California Building Industry Association secured funding for housing-element reviews and homeless parolees in the state budget bills signed by Governor Jerry Brown last week.

Budget trailer bill AB 1481 contains language on the Integrated Services for Mentally Ill Parolees (ISMIP) program to prioritize homeless parolees and make clear that housing assistance is an eligible use of ISMIP funds. See our June 6, 2012, Capitol Reporter article for more information.

The budget bill also provided $575,000 from administrative funds in propositions 46 and 1C for the Housing Policy Division at the state Department of Housing and Community Development to hire five analysts to handle the crush of housing elements due in 2013. See our April 4, 2012, Capitol Reporter article for more details.

Contact: Julie Snyder, 916.447.0503 x102 or jsnyder@housingca.org or Zack Olmstead, 916.477.0503 x108 or zolmstead@housingca.org.

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Find Out if Your Locality Owes Money to Housing Fund 

AB 1484, the redevelopment budget trailer bill signed last week, requires cities and counties to repay any housing funds borrowed by their former redevelopment agencies for other purposes, including payments to local schools (known as ERAF and SERAF payments). To find out if a specific city or county owes money to its housing fund, see the CA Department of Housing and Community Development's 2009-10 redevelopment report. The 2010-11 report is not yet available. 

Contact: Julie Snyder, 916.447.0503 x102 or jsnyder@housingca.org.

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Funding Opportunities for Affordable-Home Development and Services Moving Through Legislature

The Legislature enters their summer recess with several bills of note still alive and moving through the legislative process. Many of these bills would bring an infusion of new financial resources for affordable-home development or services in conjunction with housing. These bills include:

AB 1951 (Atkins), which would allocate $30 million more into the Multifamily Housing Program (MHP).

  • Status: Passed Senate Transportation and Housing Committee on June 21st.
  • Next: Heading to Senate Appropriations.
  • Our Position: Support

AB 2447 (Skinner), which would transfer $25 million from the California Homebuyers Downpayment Assistance Program to create a state version similar to the federal Neighborhood Stabilization Program, which allows for the rehabilitation of foreclosed properties. Eligible uses for the funds include rehabilitation of these properties for both rental and homeownership. The bill accepted several amendments in committee on July 3rd in order to pass, including running the program through the state CalHome Program (as opposed to creating a new program) and clarifying affordability requirements for homeownership.

  • Status: Amended version passed Senate Transportation and Housing Committee on July 3rd.
  • Next: Heading to Senate Appropriations.
  • Our Position: Support

AB 1672 (Torres), which tweaks the threshold for accessing funds from the Housing Related Parks Program in attempt to get the funds moving in a timelier manner. 

  • Status: Passed Senate Transportation and Housing Committee on June 21st.
  • Next: Heading to Senate Appropriations.
  • Our Position: Support

AB 2266 (Mitchell), which would require the state to apply for an Affordable Care Act option that would fund supportive housing and housing location services for homeless frequent emergency room users.

  • Status: Passed Senate Health Committee on June 20th.
  • Next: Heading to Senate Appropriations next.
  • Our Position: Support

Watch for upcoming action alerts to help us pass these bills!

Contact: Zack Olmstead, 916.447.0503 x108 or zolmstead@housingca.org.

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