California’s lack of affordable housing is severe and well-documented. One recent estimate says the state needs 1.4 million more affordable rental homes to ease the burden on low-income families. But the state’s convoluted process for financing that housing — and the effect it can have in gumming up development — is less apparent.
“We need a new approach,” Gov. Gavin Newsom said in February when he dedicated his State of the State address to California’s worsening homelessness crisis. Now we have one: acquiring $600 million of hotel properties before the federal funding clock, which controls the vast majority of acquisition funding, runs out in six months.
In his State of the State address, Gov. Gavin Newsom called homelessness “the most pernicious crisis in our midst, the ultimate manifestation of poverty, screaming for our attention.” Newsom called for a clear, long-term plan with a framework of solutions, echoing the Legislative Analyst’s Office. In his first two budgets, the governor has proposed significant investments in affordable housing and homelessness. Meanwhile, the Legislature Read More