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:

• Governor Newsom released his revised May budget proposal this week—projecting unemployment levels as high as 25% this year and identifying $14 billion in cuts to state programs that will be triggered without additional federal support through the HEROES Act.
• In spite of the need to close a $54 billion deficit, the revised budget includes important ongoing spending for affordable housing—identifying affordable development as a critical element of the state’s economic recovery. Read our full budget summary.
• CHC released this response to the budget—applauding the Governor for “recognizing the essential role affordable housing can play in keeping people safe and healthy during this crisis, while also powering California’s economic recovery.” 
• A group of 11 affordable housing and homelessness organizations also released a new framework this week highlighting the “substantial, longer-term assistance” that will be needed from the state and federal government to protect California’s most vulnerable populations. (The group’s response to the May Revise is here.)
• The state is continuing to carefully relax shelter-in-place restrictions, and a total of 20 California counties are now being permitted to begin reopening local businesses, including limited restaurant dining and retail service.
• The state’s joblessness numbers have climbed to 4.5 million, and the coronavirus death toll has surpassed 3,000 statewide.

Federal action:

• The House is expected to vote today on a $3 trillion stimulus package, the HEROES Act, which includes $1 trillion for state and local governments.
• While Senate Republicans are unlikely to take action on the bill—at least in the short term—Federal Reserve Chairman Jerome Powell expressed support for major new stimulus:  “The scope and speed of this downturn are without modern precedent, significantly worse than any recession since World War II,” Powell said in a speech delivered online. “Additional fiscal support could be costly but worth it if it helps avoid long-term economic damage and leaves us with a stronger recovery.”

State policy activity:

• The Assembly and Senate have begun working again, and both houses will continue budget subcommittee hearings next week.
• A number of key affordable housing bills sponsored and supported by CHC will go before the Assembly Housing & Community Development Committee on Wednesday, May 20—including AB 2988 (Chu, Chiu), a bill to expand supportive housing streamlining, and AB 3107 (Bloom, Ting), a bill to allow affordable development on properties zoned for commercial uses.