CHC is closely monitoring the state and federal response to COVID-19—and we are working with our members to preserve and protect access to affordable housing:
California situation:
- With the reopening of the economy causing a rise in the state’s numbers of COVID-19 cases, Governor Newsom ordered California residents this week to wear masks at all times when outside their homes—with only a few exceptions. “Simply put, we are seeing too many people with faces uncovered, putting at risk the real progress we have made in fighting the disease,” the governor said in a statement outlining the state’s new mask guidelines.
- California’s jobless rate dropped to 16.3% in May as employers added 141,600 positions amid a gradual reopening of businesses across the state. By comparison, the highest unemployment rate during the Great Recession was 12.3%.
Federal action:
- As the economy shows signs of recovering—due in no small part to the massive federal stimulus package passed in March—significant questions remain about the size and scope of the next round of stimulus.
- The CARES Act’s boost in benefit levels will expire on July 31 and its eligibility expansions and additional weeks of benefits will expire on December 31.
State policy activity:
- The Senate and Assembly voted on a state budget this week, rejecting billions of dollars in cuts to health care and education proposed by Governor Newsom in his May Revise—as well as some smaller cuts to affordable housing programs. The Legislature and Administration have so far agreed on the need to continue investing in the state’s largest affordable housing programs, including the recent $500 million expansion of the Low Income Housing Tax Credit. Negotiations over a final budget continue.
- The Senate Appropriations Committee advanced a number of bills in Senate President Pro Tem Toni Atkins’ housing production package this week. The bills will now move toward a floor vote and then into the Assembly.
- One week after Asm. Chiu introduced AB 1436, his new renter protection bill, Senate Democrats added detail to their proposal in SB 1410 (Caballero, Bradford), which would create a new tax credit program to support financially struggling renters. Both bills are currently in the Senate.