th  Senator , 11 Senate District SB 50 – More HOMES Act of 2020:

Housing, Opportunity, Mobility, Equity, Stability

SUMMARY  On climate change: The Air Senate Bill 50 allows for building housing near key Resources Board has found that the state will job centers and public transportation, and includes miss its climate targets unless Californians strong protections against displacement for renters reduce the amount they drive by 25 percent and vulnerable communities in those areas. by 2030. Absent a surge of new housing development in livable, pedestrian-oriented The bill is expected to help relieve the acute housing areas near public transit, such reductions in shortage and affordability crisis in California vehicle miles travelled are impossible. communities. It will also reduce climate pollution and improve public health by expanding access to public  On equitable growth: According to the transportation and by allowing people to live closer to California Department of Housing and where they work, leading to more time with family Community Development, “Today’s and less time commuting. population of 39 million is expected to grow to 50 million by 2050. Without intervention, much of the population increase can be BACKGROUND/EXISTING LAW expected to occur further from job centers,

Existing law leaves most zoning and land use high-performing schools, and transit, decisions to local governments, and includes no constraining opportunity for future minimum density standards near state- and generations.” federally-funded transit infrastructure. While state land use standards in the Density Bonus Law and SB PROBLEM

375 establish general guidelines and principles, they Economic and educational opportunities in California do not include adequate provisions for enforcement. are increasingly concentrated close to key job centers and public transportation, but housing construction Due to the lack of adequate and enforceable statewide has not kept pace with demand for access to these standards, most California cities (with a few opportunities. Local governments play the lead role noteworthy exceptions) are still operating from in determining the location and amount of housing in outdated and highly restrictive zoning ordinances their jurisdictions, including which developments will that make it difficult or impossible to build multi- be located near high-quality transit corridors. They family dwellings at any density. Duplexes, fourplexes, also control, via housing supply, reasonable access to and other modest infill housing types are routinely schools, parks, libraries and other vital services that banned due to neighborhood objections and improve community well-being. Right now, there is underlying single-family zoning, even in places close uneven access to these key public goods, making it to key job centers and public transportation. disproportionately harder for disadvantaged and housing-burdened Californians benefit from them. Solving California’s housing crisis must include greatly expanding access to transit services for The lack of new housing, particularly in California’s workers at all income levels while addressing the well- highest-opportunity areas, has compounded over the documented housing shortage. The status quo is last several decades into a shortage of 3.5 million jeopardizing several of the State’s high-priority policy homes, according to California’s Department of objectives: Housing and Community Development.

 On housing affordability: The California California’s workers and families feel the results of Legislative Analyst’s Office has found that the this shortage in the form of exorbitant rents and the housing shortage in coastal cities is pushing a highest home purchase prices in the nation. Excessive growing share of Californians into poverty, competition for limited housing supply is also driving and forcing a large and growing cohort to a statewide epidemic of displacement, evictions, and spend more than half their income on rent. homelessness.

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California’s failure to keep home building on pace will apply, allowing more housing density on sites with job growth is directly responsible for longer that are either within ½ mile of high-quality public commutes and increased air pollution. Millions of transportation, or within a job-rich, high-opportunity low- and middle-income Californians have multi- neighborhood close to key job centers. Middle- hour commutes, as they seek affordable housing far density housing will be allowed with no parking from areas with concentrated economic and requirements, provided the site is adjacent to transit, educational opportunities. or reduced parking requirements in areas close to jobs and high-quality schools. Height limits for new Statewide, California’s businesses have created 4.5 housing with close, walkable access to rail or jobs for every new housing unit; according to the connected transit will be loosened to encourage mid- Building Industry Association, the ideal ratio is 1.5 rise, medium-density housing construction. For jobs per housing unit. example, in areas close to rail or transit-connected ferry service, a local government may allow buildings According to the Department of Housing and of up to 4-5 stories, depending on the distance from Community Development: transit, and homeowners throughout California have the option of renovating an existing structure to add “Land use policies and planning can help up to a three additional units. These projects will not encourage greater supply and affordability, substantially increase the exterior or size of the as well as influence the type and location of building, and will have to conform to local housing. Thoughtful land use policies and neighborhood design standards. planning can translate into the ability for families to access neighborhoods of Preservation of Local Control: opportunity, with high-performing schools, Under the legislation, all housing projects will still be greater availability of jobs that afford entry to subject to environmental review (the California the middle-class, and convenient access to Environmental Quality Act), and must follow existing transit and services. Easy access to jobs and labor and employment standards for new amenities reduces a household’s daily construction. Development fees, community commute and other travel demands. engagement, and architectural design review for each Encouraging new homes in already housing development will remain as-is. Additionally: developed areas and areas of opportunity not only alleviates the housing crisis, but also  Local flexibility: Every community in supports the State’s climate change and California will be given two years of delayed equity goals.” implementation to determine whether they will submit their own local housing plan, so SOLUTION long as it meets the goals of increasing Senate Bill 50 expands the benefits of affordable, housing density in a way that reduces driving transit-rich and job-rich housing across the state. The and affirmatively furthers fair housing. A bill will give cities new tools to provide relief to rent- community may create a new plan, or submit burdened workers and families while reversing the a plan that has been previously adopted by growing, and alarming, trends of homelessness, the city in the past, so long as it meets the displacement, and migration out of California. requirements. These plans will be reviewed and certified by the California Department of State Guidelines for More Housing Choices: Housing and Community Development, in The bill creates parameters for cities to adopt plans consultation with the Governor’s Office of that increase housing options near high-quality Planning and Research. The default bonus transit and in job-rich areas to ensure that the program outlined in SB 50 will only apply in benefits of public investments in transportation are cases where a city has not adopted its own broadly accessible to Californians of all incomes, and plan after two years. (Sensitive communities, establishes a default zoning program for cities who or neighborhoods at particular risk of choose not to adopt their own specialized local plan. gentrification and displacement, will have a delayed implementation of five years to adopt The bill also includes specific requirements to provide their own land use policies coupled with low-income housing in new development to ensure additional community stabilization policies.) that market-rate construction is always coupled with affordable units for the lowest income Californians,  Anti-demolition: A local government and provides that forty percent of the low-income retains existing authority to ban, prohibit, or housing units are prioritized for people previously restrict demolition of existing housing, living within a half mile of the development. consistent with the Housing Accountability Act. At a minimum, a local government may If a city chooses not to exercise the option of crafting not issue demolition permits for housing their own local housing plan, SB 50’s default program currently or recently occupied by renters.

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 Local affordable housing policy: If a  Neighborhood Preference for local government requires more affordable Affordable Housing Units: Requires that housing than what is required in SB 50, that at least forty percent of the affordable policy will be honored in new developments. housing units in every development be prioritized for residents of the community  Neighborhood height limits: A local living within ½ mile of the project, in order government retains authority to set or to ensure that affordable housing has maintain local height limits for new housing immediate anti-displacement benefits to in areas without easy access to rail transit. local community members at risk of housing insecurity.  Preserving local historic districts: SB 50 now affirmatively protects historic  Sensitive Communities: Allows for a five- structures from demolition. It also says a year delayed implementation in sensitive project would be ineligible for the bonus if it communities at risk of gentrification and is located in a neighborhood that was deemed displacement, and grants five years for a historic as December 31, 2010, or is listed on community-led planning process in these the California Register of Historic Places. neighborhoods.

 Sensitivity to smaller communities: In  Job-Rich Communities: Proposes a new counties fewer than 600,000 people, there “job-rich housing project” designation to would be no bonus, unless the project is in a ensure that high-opportunity communities town larger than 50,000: height increases with easy access to jobs allow a broader range would be capped at 15 feet above what local of multifamily housing choices for people of zoning allows here, which means buildings all income levels, even in the absence of high- could be built to about 5 stories in most quality transit. places. SB 50 does NOT exempt any community in California from doing its fair share of producing needed housing. SB 50 STATUS now allows the production of small duplexes,  Passed Senate Housing Committee (9-1) triplexes, and quadplexes everywhere in  Passed Senate Governance and Finance California, including small counties. Committee (6-1)  Pending final votes in Senate January 2020  High fire risk areas unaffected: Areas at very high risk of wildfire would not be eligible CO-AUTHORS for the SB 50 bonus.  Sen. (D-Salinas)

 Sen. (D-San Diego) Key provisions for renters and sensitive communities:  Sen. Mike McGuire (D-Healdsburg)  Sen. John Moorlach (R-Costa Mesa) SB 50 includes the following provisions:  Sen. Richard Roth (D-Riverside)  Sen. Nancy Skinner (D-Berkeley)  Tenant Protections: Establishes strict tenant protections to ensure long-time  Asm. Kansen Chu (D-San Jose) residents will not be displaced from their  Asm. Tyler Diep (R-Westminster) communities, including a prohibition on  Asm. Vince Fong (R-Bakersfield) demolishing buildings currently or recently  Asm. Ash Kalra (D-San Jose) occupied by renters.  Asm. Kevin Kiley (R-Rocklin)  Asm. Evan Low (D-Campbell)  Affordable Housing: Establishes a  Asm. Kevin McCarty (D-Sacramento) requirement that every new housing  Asm. Sharon Quirk-Silva (D- Fullerton) development larger than 20 units must  Asm. Robert Rivas (D-Hollister) include a significant number of housing units  Asm. Phil Ting (D-) affordable to for low, very low, or extremely  Asm. Buffy Wicks (D-Oakland) low-income households, ensuring affordable

housing will be built for people of all income

levels. Each project must designate 15-25% of SPONSORS/SUPPORT the total units to low-income families, or designate an equivalent amount for very low-  California YIMBY (Co-Sponsor) or extremely low-income families.  Non-Profit Housing Association of Northern California (Co-Sponsor)

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 California Association of Realtors (Co-  City of Culver City, Councilmember Alex Sponsor) Fisch  City of Culver City, Mayor Meghan Sahli-  6Beds, Inc. Wells  Abundant Housing Los Angeles  City of El Cerrito, Councilmember Gabe  American Association of Retired Persons – Quinto (AARP)  City of Emeryville Councilmember Dianne  Associated Students of San Jose State Martinez University  City of Emeryville, Councilmember John  Associated Students of the University of Bauters California (ASUC)  City of Fairfield, Councilmember Chuck  Associated Students of the University of Timm California, Irvine (ASUCI)  City of Foster City, Vice Mayor Herb Perez  Bay Area Council  City of Fullerton, Councilmember Ahmad  Bay Area Housing Advocacy Coalition Zahra  Bay Area Rapid Transit (BART)  City of La Mesa, Councilmember Colin  Black American Political Association of Parent California (BAPAC) – Sacramento Chapter  City of Los Gatos, Councilmember Rob  Bridge Housing Corporation Rennie  Building Industry Association, Bay Area  City of Milpitas, Former Councilmember  Burbank Housing Development Corporation Marsha Grilli  California Apartment Association  City of Monterey, Councilmember Tyller  California Asian Pacific Islander Chamber of Williamson Commerce  City of Moreno, Councilmember David  California Building Industry Association Marquez (CBIA)  City of Oakland, Mayor Libby Schaaf  California Chamber of Commerce  City of Palo Alto, Councilmember Adrian  California Community Builders Fine  California Community Economic  City of Pinole, Councilmember Vincent Development Association Salimi  California Downtown Association  City of Rancho Cordova, Councilmember  California Foundation of Independent Donald Terry Living Centers  City of Richmond, Interim City Manager  California Labor Federation Steven Falk  California League of Conservation Voters –  City of Rohnert Park, Councilmember; (Conditional Support) Metropolitan Transportation Commission, Commissioner and Past Chair, Jake  California Public Interest Research Group Mackenzie (CalPIRG)  City of Sacramento, Mayor Darrell Steinberg  California Renters Legal Advocacy and Education Fund (CaRLA)  City of San Jose, Mayor Sam Liccardo  California State Building and Construction  City of South San Francisco, Former Mayor Trades Council, AFL-CIO Pradeep Gupta  California State Controller, Betty Yee  City of Stockton, Mayor Michael Tubbs  California State Treasurer, Fiona Ma  City of Woodland, Councilmember Enrique Fernandez  Central City Association of Los Angeles  Clínica Monseñor  Chicano Federation of San Diego County  College Democrats of the University of  Circulate San Diego Southern California  City and County of San Francisco, Mayor  Council of Infill Builders  County of Alameda, Supervisor Keith Carson  City of Alameda, Mayor Marilyn Ezzy Ashcraft  County of Humboldt, Supervisor Steve Madrone  City of Anaheim, Councilmember Jordan Brandman  County of Imperial, Supervisor Michael Kelley  City of Berkeley, Councilmember Rigel Robinson  County of San Joaquin, Supervisor Miguel Villapudua  City of Campbell, Former Councilmember Jeffrey R. Cristina  County of San Mateo, Supervisor David Canepa  City of Carson, Mayor Albert Robles  City of Carson (Conditional Support) More HOMES Act of 2020 Fact Sheet

 County of San Mateo, Supervisor Don  Oxnard Chamber of Commerce Horsley  Pacoima Beautiful  County of Santa Barbara, Supervisor Das  Pacoima Community Housing Corporation Williams  Peace Builders of Orange County  County of Solano, Supervisor Jim Spering  Peninsula Young Democrats  Dana Point Chamber of Commerce  People for Housing - Orange County  EAH Housing  Progress Noe Valley  East Bay for Everyone  Related California  East Bay Young Democrats  San Diego Chamber of Commerce  Emerald Fund  San Francisco Foundation  Environment California  San Francisco Housing Action Coalition  Facebook  San Francisco Planning and Urban Research  Fair Housing Advocates of Northern (SPUR) California  San Mateo Building Trades Council  Fieldstead and Company, Inc.  San Mateo Labor Council  First Community Housing  Santa Cruz County Business Council  Fossil Free California  Santa Cruz County Chamber of Commerce  Greater Ontario Business Council  Santa Cruz Yimby  Grow The Richmond  Santa Maria Valley Chamber of Commerce  Habitat for Humanity – California  Save the Bay  Habitat for Humanity – San Diego  Silicon Valley @ Home  Haight Ashbury Neighbors for Density  Silicon Valley Community Foundation  Hamilton Families  Silicon Valley Leadership Group  Hispanic Chamber of Commerce  Silicon Valley Organization  Homeless Services Center (Santa Cruz)  Silicon Valley Young Democrats  House Sacramento  South Bay Jewish Federation  Housing Leadership Council of San Mateo  South Bay Yimby County  Southern Alameda County Young Democrats  Initiating Change in Our Neighborhoods  State Council on Developmental Disabilities (ICON) Community Development  Stripe Corporation  TechNet  Indivisible Sacramento  The Two Hundred  Inland Empire Regional Chamber of  TMG Partners Commerce  University Council – American Federation of  LandWatch, Monterey County Teachers (UC-AFT)  League of Women Voters of California  Up For Growth, California  Livable Sunnyvale  Valley Industry Commerce Association  Local Government Commission (VICA)  Local Initiatives Support Corporation (LISC)  YIMBY Action San Diego  Yimby Democrats of San Diego  Los Angeles Business Council  Los Angeles Chamber of Commerce  Mission YIMBY FOR MORE INFORMATION  Murrieta Chamber of Commerce Annie Fryman, Legislative Aide  National Association of Hispanic Real Estate Email: [email protected] Professionals (NAHREP) Phone: (916) 651-4011  Natural Resources Defense Council (NRDC)  New Way Homes  NextGen Marin  North Bay Leadership Council  North Orange County Chamber of Commerce  Northern California Conference of Carpenters  Northern Neighbors  Oakland Chamber of Commerce  Orange County Business Council (OCBC)  Orange County Poverty Alleviation Coalition More HOMES Act of 2020 Fact Sheet