In a significant move to address California's daunting housing and homelessness issues, Governor Gavin Newsom has put pen to paper on a sweeping bipartisan legislative package. The laws, aimed at enhancing housing production and ensuring local adherence to state housing regulations, signal the state's renewed commitment to tackling a problem that has long plagued its residents.
The legislation was signed alongside the launch of the Homekey+ initiative, a program fueled by Proposition 1 that promises up to $2.2 billion to create permanent supportive housing. The funding is designated for veterans and individuals with mental health or substance use disorders who are at risk of or currently facing homelessness. Governor Gavin Newsom reported that applications for the program will be accepted from November, with funding distribution commencing in May 2025.
Newsom's legislation mandates that municipalities must now diligently plan housing for the most vulnerable, including the homeless and those with significant income limitations. The signing represents an effort to increase accountability for local governments by establishing stringent timelines and clearer public reporting requirements. It also emphasizes enforcement, with fiscal penalties for cities and counties that fail to meet housing element revisions or approve developments, ensuring consequences are in place for those unaligned with state housing law.
On the proactive side, the legislation takes strides to streamline housing production. It reduces regulatory barriers and offers incentives for constructing senior housing, student housing, and accessory dwelling units. The Prop 1 funding for HomeKey+ housing is expected to create over 4,000 new permanent housing units. The initiative also reserves half of these units for veterans grappling with behavioral health challenges, a direct response to the intertwined issues of homelessness and mental health care in the state. According to Governor Gavin Newsom's release, last year saw about 181,000 Californians experience homelessness, with nearly half living unsheltered.
Governor Newsom's office cites previous commitments, backing this legislative push, including over $40 billion funneled into affordable housing and more than $27 billion to combat homelessness. These funds have already translated into tangible progress, with initiatives leading to a 15-year high in housing starts across California. Newsom, invoking the need for statewide cooperation, has tasked the Housing Accountability Unit with ensuring local jurisdictions' compliance in planning and permitting necessary housing.
The legislative package includes myriad bills addressing different facets of the housing and homelessness crisis. It covers everything from housing creation for extremely low-income residents, as laid out in AB 3093 by Assemblymember Chris Ward, to expanding rights for the construction of shelter crisis centers in SB 1395 by Senator Josh Becker. Other notable bills aim to overhaul the housing element process (SB 1037 by Senator Scott Wiener) and provide transparency in density bonus programs (AB 2430 by Assemblymember David Alvarez).
