Bill Text: CA AB2498 | 2023-2024 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Housing: the California Housing Security Act.

Spectrum: Slight Partisan Bill (Democrat 3-1)

Status: (Engrossed - Dead) 2024-08-15 - In committee: Held under submission. [AB2498 Detail]

Download: California-2023-AB2498-Amended.html

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Amended  IN  Assembly  April 16, 2024

CALIFORNIA LEGISLATURE— 2023–2024 REGULAR SESSION

Assembly Bill

No. 2498

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Introduced by Assembly Members Zbur and Quirk-Silva
(Coauthor: Assembly Member Alanis)

February 13, 2024

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An act to amend Section 50408 of, and to add Chapter 2.7 (commencing with Section 50489) to Part 2 of Division 31 of of, the Health and Safety Code, relating to real property. housing.

LEGISLATIVE COUNSEL'S DIGEST

AB 2498, as amended, Zbur. Housing: the California Housing Security Act.

Existing

(1) Existing law establishes various programs, including, among others, the Emergency Housing and Assistance Program and the homeless youth emergency service pilot projects to provide assistance to homeless persons.

This bill would, upon appropriation of the Legislature, establish the California Housing Security Program to provide counties with funding to administer a housing subsidy to eligible persons, as specified, to reduce housing insecurity and help Californians meet their basic housing needs. To create the program, the bill would require the Department of Housing and Community Development Development, by January 1, 2026, to establish a 2-year pilot program in up to 4 6 counties, as specified. The bill would require the department specified, and to issue suggested guidelines to establish the program that include, among other things, the amount of the subsidy that shall be the amount necessary to cover the portion of a person’s rent to prevent homelessness, but shall not exceed $2,000 per month. Under the bill, criteria for program eligibility. The bill would specify that the subsidy would not be considered income for purposes of determining eligibility or benefits for any other public assistance program, nor would participation in other benefits exclude a person from eligibility for the subsidy. Under the bill, an undocumented person, as specified, who otherwise qualifies for the subsidy would be eligible for the subsidy. The bill would require the department to submit a report on the program to the Legislature, as described. The bill would require the department, by January 1, 2026, to also provide each county selected to participate in the pilot program with a specified amount of funding for purposes of administering the housing subsidies.

The bill would require, by July 1, 2026, a county participating in the pilot program, in consultation with specified entities, to perform prescribed duties, including reviewing the department’s suggested guidelines and developing final guidelines to administer the housing subsidies based on the needs of the county. The bill would require participating counties, beginning January 1, 2027, to administer housing subsidies to eligible persons, and would authorize the counties to administer housing subsidies through grantees, as specified. Among other things, the bill would require a county to enter into a written agreement with the department to use program funds in a manner consistent with the bill’s provisions, as specified, and would prohibit the department from providing program funds to a county that refuses or otherwise does not agree to use the funds in that manner.

The bill would specify that a county is solely responsible for complying with the bill’s provisions. The bill would define various terms for these purposes.

By imposing additional duties on counties selected to participate in the pilot program, this bill would impose a state-mandated local program.

(2) Existing law requires the department, on or before December 31 of each year, to submit an annual report to the Governor and both houses of the Legislature on the operations and accomplishments during the previous fiscal year of the housing programs administered by the department, as described, that includes specified information, including the number of individuals and households served and their income levels.

The bill would additionally require the department, beginning January 1, 2028, and for the duration of the California Housing Security Program, to include specified programmatic performance metrics within that annual report.

(3) This bill would make legislative findings and declarations as to the necessity of a special statute for the Counties of San Diego, Imperial, and Orange.

(4) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.

Digest Key

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NOYES  

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Bill Text

The people of the State of California do enact as follows:

SECTION 1.

 Chapter 2.7 (commencing with Section 50489) is added to Part 2 of Division 31 of the Health and Safety Code, to read:

CHAPTER  2.7. California Housing Security Act

50489.

 This chapter shall be known, and may be cited, as the California Housing Security Act.

50489.1.

 For purposes of this chapter, the following terms have the following meanings:

(a) “Adult with a disability” means an individual or head of household who is 18 years of age or older and is experiencing a condition that limits a major life activity, including, but not limited to, one of the following:

(1) A “developmental disability,” as defined in subdivision (a) of Section 4512 of the Welfare and Institutions Code.

(2) A “medical condition,” as defined in subdivision (i) of Section 12926 of the Government Code.

(3) A “mental disability,” as defined in subdivision (j) of Section 12926 of the Government Code, except it shall also include a substance use condition.

(4) A “physical disability,” as defined in subdivision (m) of Section 12926 of the Government Code.

(5) A chronic illness, including, but not limited to, HIV.

(6) A traumatic brain injury.

(b) “Department” means the Department of Housing and Community Development.

(c) “Eligible population” means a low-income person that meets at least one of the following criteria:

(1) A former foster youth who qualifies for the Independent Living Program, established pursuant to the federal Consolidated Omnibus Budget Reconciliation Act of 1985 (Public Law 99-272).

(2) An older adult.

(3) An adult with disabilities.

(4) A person experiencing unemployment.

(5) An incarcerated person with a scheduled release date within 60 to 180 days and who is likely to experience homelessness upon release.

(6) A person experiencing homelessness.

(7) A “veteran,” as defined in Section 980 of the Military and Veterans Code.

(d) “Grantee” means any of the following entities that administer housing subsidies pursuant to this chapter:

(1) A city, including a charter city.

(2) A city, including a charter city, and a county.

(3) A housing authority.

(4) A nonprofit corporation.

(e) “Housing authority” means a housing authority created pursuant to the Housing Authorities Law (Chapter 1 (commencing with Section 34200) of Part 2 of Division 24).

(d)

(f) “Low-income person” means all of the following: has the same meaning as “lower income households” as defined in Section 50079.5.

(1)A person whose income does not exceed the applicable income standard for Medi-Cal eligibility under Section 14005.60 of the Welfare and Institutions Code.

(2)A person who meets the asset requirements imposed under the Medi-Cal program for receipt of the service.

(g) “Nonprofit corporation” means a corporation organized under the Nonprofit Corporation Law (Division 2 (commencing with Section 5000) of Division 2 of Title 1 of the Corporations Code).

(e)

(h) “Older adult” means a person 62 55 years of age or older.

(f)

(i) “Program” means the California Housing Security Program established pursuant to this chapter.

50489.2.

 (a) Upon appropriation by the Legislature pursuant to Section 50489.5, the department shall establish the California Housing Security Program pursuant to the requirements of this chapter to provide counties with funding to administer a housing subsidy to persons who meet the definition of eligible population to reduce housing insecurity and help Californians meet their basic housing needs.

(b) By January 1, 2027, January 1, 2026, the department shall do all of the following to create the program:

(1) (A) Establish a two-year pilot program in up to four counties that agree to participate in the program. six counties.

(B) The department shall select at least one county from the northern, three counties from the southern, including at least the County of San Diego, Imperial, or Orange, and two counties from the central regions of the state to participate in the pilot program and shall take into account representation of urban, rural, and suburban areas.

(2) Issue final suggested guidelines establishing the program. The guidelines shall include all of the following:

(A) Criteria for program eligibility.

(B) Duration of the subsidy.

(C) (i) Amount of the subsidy.

(ii) The amount of the subsidy shall be the amount necessary to cover the portion of a person’s rent to prevent homelessness, but the subsidy shall not exceed a total amount of two thousand dollars ($2,000) per month or as a one-time subsidy during the period of the pilot program, or for two years, whichever is longer.

(c) By January 1, 2026, the department shall provide each county selected to participate in the pilot program with funding for the purposes of administering the housing subsidies in an amount equal to the ratio of the total number of counties participating in the pilot program compared to the total amount of funding available.

(d) By July 1, 2026, a county participating in the pilot program shall, in consultation with the cities located in the county and any nonprofit organizations or housing authorities partnering with the county or those cities for purposes of administering the housing subsidies, perform both of the following duties:

(1) Review the department’s suggested guidelines and develop final guidelines for administering the housing subsidies based on the needs of the county.

(A) The final guidelines shall address all of the information described in the department’s suggested guidelines.

(B) The final guidelines shall be subject to the requirements described in clause (ii) of subparagraph (C) of paragraph (2) of subdivision (b).

(2) Develop program applications for persons who meet the definition of eligible population to apply for a housing subsidy.

(e) Beginning January 1, 2027, a county participating in the pilot program shall administer housing subsidies to persons who meet the definition of eligible population.

(f) A county participating in the pilot program may administer housing subsidies through a grantee described in subdivision (d) of Section 50489.1.

(1) Housing subsidies administered pursuant to this subdivision may be administered through an existing housing program that is operated by the county or the grantee that has the same or similar purpose as the pilot program.

(2) Housing subsidies administered pursuant to this subdivision shall be subject to the final guidelines described in paragraph (1) of subdivision (d).

50489.3.

 (a) (1) To be eligible to receive program funding to administer housing subsidies pursuant to this chapter, a county shall enter into a written agreement with the department to use the funds in a manner consistent with this chapter.

(2) The written agreement required by paragraph (1) shall include terms and conditions consistent with the requirements set forth in this chapter.

(b) The department shall not provide program funding to a county that refuses or otherwise does not agree to administer the program funds in a manner consistent with this chapter.

(c) (1) The department may require a county to pay back program funds that are administered in a manner inconsistent with this chapter.

(2) The department may reallocate any program funds paid back pursuant to paragraph (1) for purposes of administering this chapter.

(d) A county shall be solely responsible for compliance with all applicable requirements set forth in this chapter.

50489.3.50489.4.

 (a) Notwithstanding any other law, and to the extent allowable under federal law, assistance, services, or supports received pursuant to this chapter are not income of the participant for purposes of determining eligibility for, or benefits pursuant to, any public assistance program. Participation in other benefits or housing or housing-based services programs shall not disqualify an individual or household from being a participant for a subsidy pursuant to this chapter.

(b) The Legislature finds and declares, within the meaning of subsection (d) of Section 1621 of Title 8 of the United States Code, that an undocumented person who meets the definition of eligible population, as defined in subdivision (c) of Section 50489.1, shall be eligible to receive a subsidy under this chapter.

50489.4.

(a)The department shall, no later than January 1, 2030, submit a report on the program established pursuant to Section 50489.2, to include, but not be limited to, all of the following:

(1)The outcome of the program.

(2)Recommendations for subsequent actions, if any, including establishing a permanent program.

(b)A report to be submitted pursuant to subdivision (a) shall be submitted in compliance with Section 9795 of the Government Code.

50489.5.

 (a) The department shall, beginning January 1, 2028, and annually thereafter for the duration of the program, include programmatic performance metrics for program funds administered pursuant to this chapter within the annual report required by Section 50408. The information shall include, at minimum, all of the following information:

(1) The amount of program funds dispersed by any county or grantee providing housing subsidies pursuant to this chapter.

(2) The amount of program funding used by eligible persons pursuant to this chapter.

(3) Demographic information, including household income, of eligible persons that received program funding pursuant to this chapter.

(b) A county or grantee that administers housing subsidies pursuant to this chapter shall provide information necessary for the department to comply with the reporting requirement described in subdivision (a).

50489.5.50489.6.

 This chapter shall become operative only upon appropriation by the Legislature of sufficient funds for the purposes of the program.

SEC. 2.

 Section 50408 of the Health and Safety Code is amended to read:

50408.

 (a) On or before December 31 of each year, the department shall submit an annual report to the Governor and both houses of the Legislature on the operations and accomplishments during the previous fiscal year of the housing programs administered by the department, including, but not limited to, the Emergency Housing and Assistance Program and Community Development Block Grant activity.

(b) The report shall include all of the following information:

(1) The number of units assisted by those programs.

(2) The number of individuals and households served and their income levels.

(3) The distribution of units among various areas of the state.

(4) The amount of other public and private funds leveraged by the assistance provided by those programs.

(5) Information detailing the assistance provided to various groups of persons by programs that are targeted to assist those groups.

(6) The information required to be reported pursuant to Section 17031.8.

(7) (A) An evaluation, in collaboration with the Department of Veterans Affairs, of any program established by the department pursuant to Article 3.2 (commencing with Section 987.001) of Chapter 6 of Division 4 of the Military and Veterans Code, including information relating to the effectiveness of assisted projects in helping veterans occupying any supportive housing or transitional housing development that was issued funds pursuant to that article.

(B) The evaluation shall include, but is not limited to, the following information:

(i) Performance outcome data including, but not limited to, housing stability, housing exit information, and tenant satisfaction, which may be measured by a survey, and changes in income, benefits, and education.

(I) For purposes of this paragraph, the term “housing stability” includes, but is not limited to, how many tenants exit transitional housing to permanent housing or maintain permanent housing, and the length of time those tenants spent in assisted units.

(II) For purposes of this paragraph, the term “housing exit information” includes, but is not limited to, the following:

(ia) How many tenants left assisted units.

(ib) The length of tenancy in assisted units.

(ic) The reason those tenants left assisted units, when that information is readily obtainable.

(id) The housing status of a tenant exiting an assisted unit upon exit when that information is readily available.

(ii) Client data, which may include, but is not limited to, demographic characteristics of the veteran and his or her their family, educational and employment status of the veteran, and veteran-specific information information, including, but not limited to, disability ratings, type of discharge, branch, era of service, and veterans affairs health care eligibility.

(8) An evaluation of any program established by the department to meet the legal requirements of the Federal Housing Trust Fund program guidelines.

(9) (A) The information required to be reported pursuant to Section 50489.5.

(B) Paragraph (9) shall become operative if the department establishes the California Housing Security Program pursuant to Chapter 2.7 (commencing with Section 50489).

SEC. 3.

 The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances in the Counties of San Diego, Imperial, and Orange, where the cost of housing is significantly burdensome and providing housing subsidies to eligible persons in those counties would have a great impact on reducing housing insecurity in this state.

SEC. 4.

 If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.