SACRAMENTO, CA – Today the Governor signed AB 2006, authored by Assemblymember Marc Berman (D-Menlo Park), which will streamline the oversight of affordable housing developments in California. AB 2006 will require the three state agencies which currently conduct oversight over affordable housing developments to enter into a memorandum of understanding to coordinate their compliance monitoring.
“AB 2006 will eliminate duplicative work so that affordable housing developers can spend more time and money building affordable housing, not filling out compliance forms,” said Assemblymember Marc Berman. “California has made important advancements to increase our housing supply by streamlining the finance system for affordable housing developments. It is time to make our state’s oversight system more efficient as well.”
“By eliminating duplication in monitoring efforts, AB 2006 saves the state money and reduces the cost of affordable housing,” said Matt Schwartz, President and CEO of the California Housing Partnership, “These savings in turn can support additional affordable homes. This common-sense measure is long overdue.”
“This common-sense legislation will make the work of the state and affordable housing providers easier and more efficient, while helping focus resources where they should be: On providing safe, affordable housing for our residents,” said Ray Pearl, Executive Director of the California Housing Consortium.
Affordable housing developments frequently receive financing from more than one state entity, leading to multiple state entities conducting duplicate and overlapping compliance monitoring. Currently, the Department of Housing and Community Development (HCD), the California Housing and Finance Agency (CalHFA), and the California Tax Credit Allocation Committee (CTCAC) provide compliance monitoring on affordable housing developments. With the passage of AB 2006, these state entities will be coordinating their efforts and streamlining this process by eliminating the submittal of duplicate information, ensuring only one state entity conducts physical inspections for a particular project, and providing an aligned process to obtain required approvals. AB 2006, sponsored by the California Housing Consortium and the California Housing Partnership, will finally simplify this process and modernize an unnecessarily burdensome bureaucratic process.