AMENDED IN SENATE APRIL 24, 2025
CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION
98
Introduced by Senator Arreguín
(Coauthor: Senator Cortese)
February 19, 2025
An act to amend Sections 50470 and 50470.5 add Part 13.5 (commencing with Section 53569) to Division 31 of the Health and Safety Code, relating to housing.
Vote: majority Appropriation: no Fiscal committee: yes Local program: no
LEGISLATIVE COUNSEL’S DIGEST
Existing law establishes the Department of Housing and Community Development (HCD) in the Business, Consumer Services, and Housing Agency for purposes of carrying out state housing policies and programs. Existing law prescribes requirements for the disposal of surplus land by a local agency, as defined, and requires, except as provided, a local agency disposing of surplus land to comply with certain notice requirements before disposing of the land or participating in negotiations to dispose of the land with a prospective transferee, particularly that the local agency send a notice of availability to housing sponsors, as defined, that have notified HCD of their interest in surplus land, as specified.
Existing law establishes the Department of General Services (DGS) in the Government Operations Agency for purposes of, among other things, planning, acquiring, constructing, and maintaining state buildings and property. Executive Order No. N-06-19 required DGS to create a digitized inventory of all state-owned parcels that are in excess of foreseeable needs, as provided. Existing law required DGS to develop, in consultation with HCD, no later than September 1, 2023, a set of criteria to consistently evaluate state-owned parcels for suitability as affordable housing sites. Existing law requires DGS to update the digitized inventory of all excess state land suitable for affordable housing after the conclusion of its review based on those criteria. Existing law also requires DGS to annually update the digitized inventory created pursuant to Executive Order No. N-06-19 of all excess state land, as defined, suitable for affordable housing identified by its review.
This bill would authorize a local education agency to submit a list of any available local education agency-owned land to HCD for purposes of determining the suitability for development of affordable housing. The bill would require HCD, in consultation with DGS, to conduct a review of the local education agency-owned land and determine the suitability of the land for the development of affordable housing, consistent with the above-described criteria. The bill would require any local education agency-owned land determined to be suitable for the development of affordable housing to be made publicly available through the digitized inventory created pursuant to Executive Order No. N-06-19 and the above-described contact list of housing sponsors that have notified HCD of their interest in surplus land. The bill would require that an affordable housing development constructed on local education agency-owned land determined to be suitable for the development of affordable housing to provide school district employees and local tenants with a right of first refusal to occupy the housing, as specified.
This bill, for moneys collected on and after January 1, 2019, would instead require that 20% of the moneys deposited in the fund be expended for affordable owner-occupied workforce housing or for local educational agencies to build low- to moderate-income workforce housing. The bill would reduce the continuous appropriation to the California Housing Finance Agency to 10% of the moneys deposited in the fund, and would require 5% of the moneys deposited in the fund, upon appropriation by the Legislature, to be made available to the Department of Housing and Community Development for a zero-interest revolving loan fund to pay for development and predevelopment costs incurred by local education agencies to build low- to moderate-income multifamily workforce housing.
The people of the State of California do enact as follows:
SECTION 1.
Part 13.5 (commencing with Section 53569) is added to Division 31 of the Health and Safety Code, to read:
Part 13.5. Affordable Housing Development on Local Education Agency-Owned Land
53569.
(a) A local education agency may submit a list of any available local education agency-owned land to the department for purposes of determining the suitability for development of affordable housing.
(b) The department, in consultation with the Department of General Services, shall conduct a review of the local education agency-owned land submitted pursuant to subdivision (a) and determine the suitability of the land for the development of affordable housing, consistent with the established criteria developed pursuant to subdivision (a) of Section 14684.3 of the Government Code.
(c) Any local education agency-owned land determined to be suitable for the development of affordable housing pursuant to subdivision (b) shall be made publicly available through both of the following:
(1) The digitized inventory created pursuant to Executive Order No. N-06-19.
(2) The contact list of housing sponsors that have notified the department of their interest in surplus land pursuant to subdivision (a) of Section 54222 of the Government Code.
(d) An affordable housing development constructed on local education agency-owned land determined to be suitable for the development of affordable housing pursuant to subdivision (b) shall provide school district employees and local tenants with a right of first refusal to occupy the housing. School district employees shall be prioritized before local tenants.
All matter omitted in this version of the bill appears in the bill as introduced in the Senate, February 19, 2025. (JR11)