Legislative Bills Supporting Affordable Housing
As I read through the headlines these days, I was excited to learn about a couple of new legislative bills that are circulating through the California State Capitol which may provide for more affordable housing. I wanted to make our partners and local folks aware of this development in hopes we can build more support for its passage.
The first is Assembly Bill 71 (AB 71) drafted by Assembly members Chiu and Ting (D-San Francisco) and Speaker Pro Tem Mullin (D-San Mateo). Also known as the Bring California Home Act, this bill would create more funding for affordable housing by eliminating the state mortgage interest deduction on vacation homes. According to the Non-profit Housing Association of Northern California (NPH), AB 71 would accomplish this by removing the subsidy resulting in a savings of $300 million dollars each year to offer more rental opportunities for seniors and people with disabilities, veterans and low-income earners.
Senate Bill 2 (SB 2) is called the Building Homes and Jobs Act, introduced by Senator Atkins (D-San Diego). In an attempt to establish a permanent source of funding for affordable housing, this bill works as part of the State Senate’s “California Rebuild” Proposal. The Building Homes and Jobs Act establishes an ongoing funding source that helps the state live within its means by imposing a $75 fee on real estate transaction documents, excluding residential and commercial property sales. It increases California’s supply of affordable homes, creates jobs, and spurs economic growth without incurring additional debt.
The movement to build a range of affordable housing options for Californians, especially our seniors, is slowly moving forward. CCH tracks many complex issues in this regard and we will continue to keep you posted on issues which advance the mission!
Don Stump, President/CEO