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AB-1792 Affordable housing authorities: infrastructure.(2017-2018)

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Date Published: 08/16/2018 09:00 PM

Amended  IN  Senate  August 16, 2018
Amended  IN  Senate  August 07, 2018
Amended  IN  Senate  June 21, 2018
Amended  IN  Assembly  May 10, 2018
Amended  IN  Assembly  March 19, 2018


Assembly Bill
No. 1792

Introduced by Assembly Member Frazier

January 09, 2018

An act to amend Sections 62254 and 65913.4 Section 62254 of the Government Code, relating to local government.


AB 1792, as amended, Frazier. Affordable housing authorities: infrastructure: land use permits: affordable housing. infrastructure.

(1)Existing law

Existing law authorizes a city, county, or city and county to adopt a resolution creating an affordable housing authority. Existing law authorizes this authority to, among other things, provide for low- and moderate-income housing and affordable workforce housing, as provided.
This bill would additionally authorize an affordable housing authority to finance water, sewer, or other public infrastructure necessary to support the development of affordable housing.

(2)Existing law, until January 1, 2026, authorizes a development proponent to submit an application for a multifamily housing development, which satisfies specified objective planning standards, that is subject to a streamlined, ministerial approval process, as provided, and not subject to a conditional use permit. Existing law requires, among other objective planning standards, that the development proponent certify both (A) that the development is either a public work, for purposes of specified law, or that all construction workers employed in the execution of the development will be paid at least the general prevailing rate of per diem wages for the type of work and geographic area and (B) that, if the development meets certain conditions, a skilled and trained workforce, as defined, will be used to complete the development if the application is approved, as provided. Existing law exempts from any requirement to pay prevailing wages or use a skilled and trained workforce a project that includes 10 or fewer units and is not a public work.

This bill would additionally exempt a project from these requirements if the project includes exclusively affordable for sale or rental units at specified income levels or the project is sponsored by a nonprofit corporation, as specified, a cooperative housing corporation which is a stock cooperative, or a limited-dividend housing corporation.

(3)The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of, an environmental impact report on a project that it proposes to carry out or approve that may have a significant effect on the environment or to adopt a negative declaration if it finds that the project will not have that effect. CEQA does not apply to the ministerial approval of projects.

This bill, by expanding the scope of developments eligible for streamlined, ministerial approval, as described above, would expand the exemption for the ministerial approval of projects under CEQA.

(4)This bill would incorporate additional changes to Section 62254 of the Government Code proposed by AB 2035 to be operative only if this bill and AB 2035 are enacted and this bill is enacted last.

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NO   Local Program: NO  

The people of the State of California do enact as follows:


 Section 62254 of the Government Code is amended to read:

 An authority may do all of the following:
(a) Provide for low- and moderate-income housing and affordable workforce housing in accordance with this division.
(b) Remedy or remove a release of hazardous substances pursuant to the Polanco Redevelopment Act (Article 12.5 (commencing with Section 33459) of Chapter 4 of Part 1 of Division 24 of the Health and Safety Code) or Chapter 6.10 (commencing with Section 25403) of Division 20 of the Health and Safety Code.
(c) Provide for seismic retrofits of existing buildings in accordance with all applicable laws and regulations.
(d) Acquire and transfer real property in accordance with Section 62260. The authority shall retain controls and establish restrictions or covenants running with the land sold or leased for private use for the periods of time and under the conditions as provided in the plan. The establishment of these controls is a public purpose under this division.
(e) Issue bonds in conformity with Article 4.5 (commencing with Section 53506) and Article 5 (commencing with Section 53510) of Chapter 3 of Part 1 of Division 2 of Title 5.
(f) (1) Borrow money, receive grants, or accept financial or other assistance or investment from the state or the federal government or any other public agency or private lending institution for any project within its area of operation, and comply with any conditions of a loan or grant. An authority may qualify for funding as a disadvantaged community pursuant to Section 79505.5 of the Water Code or as defined by Section 56033.5. An authority may also enter into an agreement with a qualified community development entity, as defined by Section 45D(c) of the Internal Revenue Code, to coordinate investments of funds derived from the New Markets Tax Credit with those of the authority in instances where coordination offers opportunities for greater efficiency of investments to improve conditions described in subdivisions (c) and (d) within the territorial jurisdiction of the authority.
(2) Receive funds allocated to it pursuant to a resolution adopted by a city, county, or special district to transfer these funds from a source described in subdivision (d), (e), or (f) of Section 53398.75, subject to any requirements upon, or imposed by, the city, county, or special district as to the use of these funds.
(g) Adopt an affordable housing plan pursuant to Section 62252.
(h) Make loans or grants for owners or tenants to improve, rehabilitate, or retrofit buildings or structures within the plan area.
(i) Construct foundations, platforms, and other like structural forms necessary for the provision or utilization of air rights sites for buildings to be used for purposes of providing affordable housing pursuant to this division.
(j) Finance water, sewer, or other public infrastructure necessary to support the development of affordable housing pursuant to this division.