This week in affordable housing news…:

State policy activity:

  • CHC and Housing California released a statement this week expressing concern with the Legislature’s failure to advance a housing package this year that meaningfully expands access to affordable housing. Signed by Ray Pearl and Lisa Hersey, the statement called attention to the significant numbers of affordable housing bills that have not advanced this year—including AB 3107 (Bloom), a CHC-sponsored bill that was pulled from consideration last week. It also noted the “detrimental effect” some remaining bills could have on access to affordable housing. The statement urged the Governor and Legislature to refocus their attention in the remaining weeks of the session on protecting vulnerable renters and providing financial assistance to affordable housing providers “doing everything they can to keep lower-income residents housed.”
  • California renters received a temporary reprieve this week when the state Judicial Council announced it would extend the current pause on eviction proceedings until the end of the month. The Council, which had previously set an August 13 expiration date, voted to allow the rule to expire on September 1. That gives the Legislature two more weeks to reach a deal. With negotiations ongoing, the Assembly and Senate continue to have their own anti-eviction bills: AB 1436 (Chiu), which would prevent the eviction of renters unable to pay rent during the COVID-19 emergency, and SB 1410 (Caballero, Bradford), which would create a new tax credit program to support financially struggling renters.

Federal action:

  • A deal on a new wave of federal stimulus is not likely any time soon—as the Senate adjourned on Thursday and went on recess until September 8. The House had already left Washington and is not expected to return until September 14.  
  • Significant gaps still remain between Republicans’ $1 trillion coronavirus relief plan, which would offer scaled-back unemployment benefits and maintain support for small businesses, and House Democrats’ $3 trillion stimulus proposal, which maintains the level of unemployment benefits approved by Congress in March and extends new support to state and local governments.
  • “It’s a stalemate,” White House economic adviser Larry Kudlow said Thursday.

ICYMI – Top news stories:

California stereotypes in national spotlight

CalMatters

As California lawmakers struggle to pass an affordable housing package before the legislative session ends Aug. 31, two major advocacy groups said Tuesday it would be “detrimental” to pass many of the higher-profile bills, arguing they would make it harder and more expensive to build low-income housing by requiring union-trained workers be attached to the projects. Instead, the California Housing Consortium and Housing California asked lawmakers to focus on eviction protections and financial assistance for affordable housing providers. 

‘There’s no stopping it’: Bay Area cities reluctantly approve housing in face of state laws

San Francisco Chronicle

From San Bruno to Castro Valley to Lafayette, a slew of major Bay Area housing approvals are the result of changing politics and new state legislation that forces cities to accept development despite residents’ protests. This includes SB 35, which streamlined housing construction in counties and cities that fail to build enough housing to meet state housing goals. Also, SB 330 cuts the time it takes to obtain building permits, limits fees and prevents local governments from shrinking projects that abide by all city codes. “We are faced with the reality that housing is allowed on the site and a plan has been submitted,” San Bruno City Manager Jovan Grogan said. “These are tough conversations, but we have to have them.”

What is the California Legislature doing about housing?

Sacramento Bee You might remember that before COVID-19 took over legislative priorities this year, housing production and homelessness were top of the agenda in the Capitol. That’s still true, to some extent, despite the coronavirus. Since January, when Gov. Gavin Newsom called for housing production ideas, Senate President Pro Tem Toni Atkins, D-San Diego, and a handful of Democrats have worked on passing a package intended to fulfill that call for policy change. The five bills were marketed as the Legislature’s best opportunity to finally get much-needed construction in a state long plagued by underproduction and affordable housing woes. Now, with weeks before the Aug. 31 end-of-session deadline, things are coming together…or falling apart.