BILL NUMBER: AB 2762	AMENDED
	BILL TEXT

	AMENDED IN SENATE  AUGUST 20, 2010
	AMENDED IN SENATE  JUNE 22, 2010

INTRODUCED BY   Committee on Housing and Community Development
(Torres (Chair), Harkey (Vice Chair), Bradford, Eng, Ma, and Saldana)

                        FEBRUARY 23, 2010

   An act to amend Sections 10131.6 and 10131.7 of the Business and
Professions Code, to amend Section 798.56a of the Civil Code, to
amend Sections 65583 and 65589.5 of the Government Code, and to amend
Sections 18902, 18921, 18926, 18931, 18934.7, 18941.7, 18949.4,
19996, 33334.3,  33418,  33440, 33449, 33490, 50517.10,
50705, and 53545 of, to amend and renumber the heading of Chapter 8.5
(commencing with Section 50705) of Part 2 of Division 31 of, to add
Section 18931.8 to, to add and repeal Section 50963 of, and to repeal
Sections 50517.11 and 50802.1 of, the Health and Safety Code,
relating to housing, and making an appropriation therefor.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2762, as amended, Committee on Housing and Community
Development. Housing and community development: housing omnibus bill.

   (1) Existing law imposes numerous requirements upon licensed real
estate brokers that, among other things, relate to the sale and
advertisement of any mobilehome.
   This bill would expand the requirements to include a manufactured
home, in addition to a mobilehome.
   (2) The existing California Building Standards Law governs the
adoption and proposal of building standards and requires the
California Building Standards Commission to review, approve or
reject, and codify proposed standards.
   This bill would grant the commission the powers and authority to
carry out specified duties, including the power to accept federal or
outside funds.
   (3) Under existing law, a redevelopment agency requires that a
"Notice of Affordability Restrictions on Transfer of Property" be
recorded in the office of the county recorder for all new or
substantially rehabilitated units developed or otherwise assisted
with moneys from the Low and Moderate Income Housing Fund. The notice
is required to contain specified information, including the street
address of the property.
   This bill would exempt the address information requirement if the
property is used to confidentially house victims of domestic
violence.
   (4) Existing law establishes the Affordable Housing Revolving
Development and Acquisition Program, under the administration of the
Department of Housing and Community Development, for the purpose of
funding the acquisition of property to develop or preserve affordable
housing. Existing law requires the department to adopt and
administer guidelines for the operation of the program for a 24-month
period, and to adopt regulations.
   This bill would eliminate the 24-month period limitation on the
effectiveness of the guidelines. The bill would instead require the
department to adopt regulations for the program prior to issuing any
request for qualification funded with loan repayments.
   (5) Existing law establishes the Housing and Emergency Shelter
Trust Fund Act of 2006, which authorizes the issuance of bonds to
finance various housing programs, capital outlay related to infill
development, housing-related parks, and transit-oriented development
programs. Existing law also requires the Bureau of State Audits to
conduct periodic audits of the awarding and use of bond proceeds
according to prescribed requirements relating to specified programs
funded under the act.
    This bill would expand the scope of the bureau's audit to include
requirements relating to the deposit and expenditure of bond
proceeds in the Regional Planning, Housing, and Infill Incentive
Account, the Transit-Oriented Development Account, and the Housing
Urban-Suburban-and-Rural Parks Account. By providing for a new use
for the Housing and Emergency Shelter Trust Fund of 2006, a
continuously appropriated fund, this bill would make an
appropriation.
   (6) Existing law establishes the Joe Serna, Jr. Farmworker Family
Wellness Act to provide for various health and community-based
services to serve the varied needs of agricultural workers and their
families.
   This bill would repeal these and implementing provisions of the
act.
   (7) Existing law establishes the California Housing Finance Agency
in the Business, Transportation and Housing Agency with the primary
purpose of meeting the housing needs of persons and families of low
or moderate income.
   This bill would require the California Housing Finance Agency to
report to the Legislature, on or before December 31 of 2011 and 2012
on the status of funding awarded to the agency through a specified
federal housing fund and program.
   (8) This bill would correct and eliminate erroneous
cross-references, delete obsolete provisions of law, correct
technical errors, and make conforming changes to existing law
relating to housing. 
   (9) This bill would incorporate additional changes proposed by SB
812 and AB 2536, respectively, that would become operative only if SB
812 or AB 2536 and this bill are both chaptered and become effective
on or before January 1, 2011, and this bill is chaptered last. 

   Vote: majority. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 10131.6 of the Business and Professions Code is
amended to read:
   10131.6.  (a) Notwithstanding any other provision of law, a person
licensed as a real estate broker may sell or offer to sell, buy or
offer to buy, solicit prospective purchasers of, solicit or obtain
listings of, or negotiate the purchase, sale, or exchange of any
manufactured home or mobilehome only if the manufactured home or
mobilehome has been registered under Part 2 (commencing with Section
18000) of Division 13 of the Health and Safety Code.
   (b) No real estate broker who engages in the activities authorized
by this section shall maintain any place of business where two or
more manufactured homes or mobilehomes are displayed and offered for
sale by the person, unless the broker is also licensed as a
mobilehome dealer as provided for by Part 2 (commencing with Section
18000) of Division 13 of the Health and Safety Code.
   (c) As used in this chapter, "manufactured home" means a structure
as defined in Section 18007 of the Health and Safety Code, and
"mobilehome" means a structure as defined in Section 18008 of the
Health and Safety Code. "Manufactured home" and "Mobilehome" do not
include a recreational vehicle, as defined in Section 18010 of the
Health and Safety Code, a commercial modular, as defined in Section
18001.8 of the Health and Safety Code, or factory-built housing, as
defined in Section 19971 of the Health and Safety Code.
   (d) In order to carry out this section, the commissioner shall
prescribe by regulation, after consultation with the Department of
Housing and Community Development, methods and procedures to assure
compliance with requirements of the Health and Safety Code pertaining
to manufactured home and mobilehome registration, collection of
sales and use taxes, and transaction documentation.
   (e) Nothing in this section increases or decreases, or in any way
preempts, consumer notice requirements of the National Manufactured
Housing Construction and Safety Standards Act of 1974 and related
regulations which are set forth in Sections 5414 and 5422 of Title 42
of the United States Code and Subparts E and I of Title 24 of the
Code of Federal Regulations.
  SEC. 1.3.  Section 10131.7 of the Business and Professions Code is
amended to read:
   10131.7.  It is unlawful for any real estate licensee acting under
authority of Section 10131.6 to do any of the following:
   (a) To advertise or offer for sale in any manner any manufactured
home or mobilehome, unless it is either in place on a lot rented or
leased for human habitation within an established mobilehome park as
defined in Section 18214 of the Health and Safety Code and the
advertising or offering for sale is not contrary to any terms of a
contract between the seller of the manufactured home or mobilehome
and the owner of the mobilehome park, or is otherwise located,
pursuant to a local zoning ordinance or permit, on a lot where its
presence has been authorized or its continued presence and that use
would be authorized for a total and uninterrupted period of at least
one year.
   (b) To fail to withdraw any advertisement of a manufactured home
or mobilehome for sale, lease, or exchange within 48 hours after the
real estate licensee's receipt of notice that the manufactured home
or mobilehome is no longer available for sale, lease, or exchange.
   (c) To advertise or represent a mobilehome as a new mobilehome or
a manufactured home as a new manufactured home.
   (d) To include as an added cost to the selling price of a
mobilehome, an amount for licensing, as prescribed by Section 10751
of the Revenue and Taxation Code, except where the buyer and seller
agree to the proration of the license fees for the applicable license
period, or transfer of title of the mobilehome as a vehicle, which
amount is not due to the state unless, prior to the sale, the amount
has been paid by the licensee to the state in order to avoid
penalties that would have accrued because of late payment of the
fees.
   (e) To make any representation that a manufactured home or
mobilehome is capable of being transported on California highways if
the manufactured home or mobilehome does not meet all of the
equipment requirements applicable to manufactured homes or
mobilehomes of Division 12 (commencing with Section 24000) of the
Vehicle Code, or to fail to disclose any material fact respecting
those equipment requirements.
   (f) To advertise or otherwise represent, or knowingly to allow to
be advertised or represented on the real estate licensee's behalf or
at the real estate licensee's place of business, that no downpayment
is required in connection with the sale of a manufactured home or
mobilehome when downpayment is in fact required and the buyer is
advised or induced to finance the downpayment by a loan in addition
to any other loan financing the remainder of the purchase price of
the manufactured home or mobilehome.
   (g) To fail or neglect properly to cause the endorsement, dating,
and delivery (or fail to endorse, date, and deliver) of the
certificate of ownership or certificate of title of the manufactured
home or mobilehome, and, when having possession, to fail to deliver
the registration card to a transferee who is lawfully entitled to a
transfer of registration. Except when the certificate of ownership or
certificate of title is demanded in writing by a purchaser, the
licensee shall satisfy the delivery requirement of this subdivision
by submitting appropriate documents and fees to the Department of
Housing and Community Development for transfer of registration in
accordance with Chapter 8 (commencing with Section 18075) of Part 2
of Division 13 of the Health and Safety Code and rules and
regulations promulgated thereunder.
  SEC. 1.6.  Section 798.56a of the Civil Code is amended to read:
   798.56a.  (a) Within 60 days after receipt of, or no later than 65
days after the mailing of, the notice of termination of tenancy
pursuant to any reason provided in Section 798.56, the legal owner,
if any, and each junior lienholder, if any, shall notify the
management in writing of at least one of the following:
   (1) Its offer to sell the obligation secured by the mobilehome to
the management for the amount specified in its written offer. In that
event, the management shall have 15 days following receipt of the
offer to accept or reject the offer in writing. If the offer is
rejected, the person or entity that made the offer shall have 10 days
in which to exercise one of the other options contained in this
section and shall notify management in writing of its choice.
   (2) Its intention to foreclose on its security interest in the
mobilehome.
   (3) Its request that the management pursue the termination of
tenancy against the homeowner and its offer to reimburse management
for the reasonable attorney's fees and court costs incurred by the
management in that action. If this request and offer are made, the
legal owner, if any, or junior lienholder, if any, shall reimburse
the management the amount of reasonable attorney's fees and court
costs, as agreed upon by the management and the legal owner or junior
lienholder, incurred by the management in an action to terminate the
homeowner's tenancy, on or before the earlier of (A) the 60th
calendar day following receipt of written notice from the management
of the aggregate amount of those reasonable attorney's fees and costs
or (B) the date the mobilehome is resold.
   (b) A legal owner, if any, or junior lienholder, if any, may sell
the mobilehome within the park to a third party and keep the
mobilehome on the site within the mobilehome park until it is resold
only if all of the following requirements are met:
   (1) The legal owner, if any, or junior lienholder, if any,
notifies management in writing of the intention to exercise either
option described in paragraph (2) or (3) of subdivision (a) within 60
days following receipt of, or no later than 65 days after the
mailing of, the notice of termination of tenancy and satisfies all of
the responsibilities and liabilities of the homeowner owing to the
management for the 90 days preceding the mailing of the notice of
termination of tenancy and then continues to satisfy these
responsibilities and liabilities as they accrue from the date of the
mailing of that notice until the date the mobilehome is resold.
   (2) Within 60 days following receipt of, or no later than 65 days
after the mailing of, the notice of termination of tenancy, the legal
owner or junior lienholder commences all repairs and necessary
corrective actions so that the mobilehome complies with park rules
and regulations in existence at the time the notice of termination of
tenancy was given as well as the health and safety standards
specified in Sections 18550, 18552, and 18605 of the Health and
Safety Code, and completes these repairs and corrective actions
within 90 calendar days of that notice, or before the date that the
mobilehome is sold, whichever is earlier.
   (3) The legal owner, if any, or junior lienholder, if any,
complies with the requirements of Article 7 (commencing with Section
798.70) as it relates to the transfer of the mobilehome to a third
party.
   (c) For purposes of subdivision (b), the "homeowner's
responsibilities and liabilities" means all rents, utilities,
reasonable maintenance charges of the mobilehome and its premises,
and reasonable maintenance of the mobilehome and its premises
pursuant to existing park rules and regulations.
   (d) If the homeowner files for bankruptcy, the periods set forth
in this section are tolled until the mobilehome is released from
bankruptcy.
   (e) Notwithstanding any other provision of law, including, but not
limited to, Section 18099.5 of the Health and Safety Code, if
neither the legal owner nor a junior lienholder notifies the
management of its decision pursuant to subdivision (a) within the
period allowed, or performs as agreed within 30 days, or if a
registered owner of a mobilehome, that is not encumbered by a lien
held by a legal owner or a junior lienholder, fails to comply with a
notice of termination and is either legally evicted or vacates the
premises, the management may either remove the mobilehome from the
premises and place it in storage or store it on its site. In this
case, notwithstanding any other provision of law, the management
shall have a warehouse lien in accordance with Section 7209 of the
Commercial Code against the mobilehome for the costs of dismantling
and moving, if appropriate, as well as storage, that shall be
superior to all other liens, except the lien provided for in Section
18116.1 of the Health and Safety Code, and may enforce the lien
pursuant to Section 7210 of the Commercial Code either after the date
of judgment in an unlawful detainer action or after the date the
mobilehome is physically vacated by the resident, whichever occurs
earlier. Upon completion of any sale to enforce the warehouse lien in
accordance with Section 7210 of the Commercial Code, the management
shall provide the purchaser at the sale with evidence of the sale, as
shall be specified by the Department of Housing and Community
Development, that shall, upon proper request by the purchaser of the
mobilehome, register title to the mobilehome to this purchaser,
whether or not there existed a legal owner or junior lienholder on
this title to the mobilehome.
   (f) All written notices required by this section shall be sent to
the other party by certified or registered mail with return receipt
requested.
   (g) Satisfaction, pursuant to this section, of the homeowner's
accrued or accruing responsibilities and liabilities shall not cure
the default of the homeowner.
   SEC. 1.9.   SEC. 1.8.   Section 65583 of
the Government Code is amended to read:
   65583.  The housing element shall consist of an identification and
analysis of existing and projected housing needs and a statement of
goals, policies, quantified objectives, financial resources, and
scheduled programs for the preservation, improvement, and development
of housing. The housing element shall identify adequate sites for
housing, including rental housing, factory-built housing,
mobilehomes, and emergency shelters, and shall make adequate
provision for the existing and projected needs of all economic
segments of the community. The element shall contain all of the
following:
   (a) An assessment of housing needs and an inventory of resources
and constraints relevant to the meeting of these needs. The
assessment and inventory shall include all of the following:
   (1) An analysis of population and employment trends and
documentation of projections and a quantification of the locality's
existing and projected housing needs for all income levels, including
extremely low income households, as defined in subdivision (b) of
Section 50105 and Section 50106 of the Health and Safety Code. These
existing and projected needs shall include the locality's share of
the regional housing need in accordance with Section 65584. Local
agencies shall calculate the subset of very low income households
allotted under Section 65584 that qualify as extremely low income
households. The local agency may either use available census data to
calculate the percentage of very low income households that qualify
as extremely low income households or presume that 50 percent of the
very low income households qualify as extremely low income
households. The number of extremely low income households and very
low income households shall equal the jurisdiction's allocation of
very low income households pursuant to Section 65584.
   (2) An analysis and documentation of household characteristics,
including level of payment compared to ability to pay, housing
characteristics, including overcrowding, and housing stock condition.

   (3) An inventory of land suitable for residential development,
including vacant sites and sites having potential for redevelopment,
and an analysis of the relationship of zoning and public facilities
and services to these sites.
   (4) (A) The identification of a zone or zones where emergency
shelters are allowed as a permitted use without a conditional use or
other discretionary permit. The identified zone or zones shall
include sufficient capacity to accommodate the need for emergency
shelter identified in paragraph (7), except that each local
government shall identify a zone or zones that can accommodate at
least one year-round emergency shelter. If the local government
cannot identify a zone or zones with sufficient capacity, the local
government shall include a program to amend its zoning ordinance to
meet the requirements of this paragraph within one year of the
adoption of the housing element. The local government may identify
additional zones where emergency shelters are permitted with a
conditional use permit. The local government shall also demonstrate
that existing or proposed permit processing, development, and
management standards are objective and encourage and facilitate the
development of, or conversion to, emergency shelters. Emergency
shelters may only be subject to those development and management
standards that apply to residential or commercial development within
the same zone except that a local government may apply written,
objective standards that include all of the following:
   (i) The maximum number of beds or persons permitted to be served
nightly by the facility.
   (ii) Off-street parking based upon demonstrated need, provided
that the standards do not require more parking for emergency shelters
than for other residential or commercial uses within the same zone.
   (iii) The size and location of exterior and interior onsite
waiting and client intake areas.
   (iv) The provision of onsite management.
   (v) The proximity to other emergency shelters, provided that
emergency shelters are not required to be more than 300 feet apart.
   (vi) The length of stay.
   (vii) Lighting.
   (viii) Security during hours that the emergency shelter is in
operation.
   (B) The permit processing, development, and management standards
applied under this paragraph shall not be deemed to be discretionary
acts within the meaning of the California Environmental Quality Act
(Division 13 (commencing with Section 21000) of the Public Resources
Code).
   (C) A local government that can demonstrate to the satisfaction of
the department the existence of one or more emergency shelters
either within its jurisdiction or pursuant to a multijurisdictional
agreement that can accommodate that jurisdiction's need for emergency
shelter identified in paragraph (7) may comply with the zoning
requirements of subparagraph (A) by identifying a zone or zones where
new emergency shelters are allowed with a conditional use permit.
   (D) A local government with an existing ordinance or ordinances
that comply with this paragraph shall not be required to take
additional action to identify zones for emergency shelters. The
housing element must only describe how existing ordinances, policies,
and standards are consistent with the requirements of this
paragraph.
   (5) An analysis of potential and actual governmental constraints
upon the maintenance, improvement, or development of housing for all
income levels, including the types of housing identified in paragraph
(1) of subdivision (c), and for persons with disabilities as
identified in the analysis pursuant to paragraph (7), including land
use controls, building codes and their enforcement, site
improvements, fees and other exactions required of developers, and
local processing and permit procedures. The analysis shall also
demonstrate local efforts to remove governmental constraints that
hinder the locality from meeting its share of the regional housing
need in accordance with Section 65584 and from meeting the need for
housing for persons with disabilities, supportive housing,
transitional housing, and emergency shelters identified pursuant to
paragraph (7). Transitional housing and supportive housing shall be
considered a residential use of property, and shall be subject only
to those restrictions that apply to other residential dwellings of
the same type in the same zone.
   (6) An analysis of potential and actual nongovernmental
constraints upon the maintenance, improvement, or development of
housing for all income levels, including the availability of
financing, the price of land, and the cost of construction.
   (7) An analysis of any special housing needs, such as those of the
elderly, persons with disabilities, large families, farmworkers,
families with female heads of households, and families and persons in
need of emergency shelter. The need for emergency shelter shall be
assessed based on annual and seasonal need. The need for emergency
shelter may be reduced by the number of supportive housing units that
are identified in an adopted 10-year plan to end chronic
homelessness and that are either vacant or for which funding has been
identified to allow construction during the planning period.
   (8) An analysis of opportunities for energy conservation with
respect to residential development. Cities and counties are
encouraged to include weatherization and energy efficiency
improvements as part of publicly subsidized housing rehabilitation
projects. This may include energy efficiency measures that encompass
the building envelope, its heating and cooling systems, and its
electrical system.
   (9) An analysis of existing assisted housing developments that are
eligible to change from low-income housing uses during the next 10
years due to termination of subsidy contracts, mortgage prepayment,
or expiration of restrictions on use. "Assisted housing developments,"
for the purpose of this section, shall mean multifamily rental
housing that receives governmental assistance under federal programs
listed in subdivision (a) of Section 65863.10, state and local
multifamily revenue bond programs, local redevelopment programs, the
federal Community Development Block Grant Program, or local in-lieu
fees. "Assisted housing developments" shall also include multifamily
rental units that were developed pursuant to a local inclusionary
housing program or used to qualify for a density bonus pursuant to
Section 65916.
   (A) The analysis shall include a listing of each development by
project name and address, the type of governmental assistance
received, the earliest possible date of change from low-income use,
and the total number of elderly and nonelderly units that could be
lost from the locality's low-income housing stock in each year during
the 10-year period. For purposes of state and federally funded
projects, the analysis required by this subparagraph need only
contain information available on a statewide basis.
   (B) The analysis shall estimate the total cost of producing new
rental housing that is comparable in size and rent levels, to replace
the units that could change from low-income use, and an estimated
cost of preserving the assisted housing developments. This cost
analysis for replacement housing may be done aggregately for each
five-year period and does not have to contain a project-by-project
cost estimate.
   (C) The analysis shall identify public and private nonprofit
corporations known to the local government which have legal and
managerial capacity to acquire and manage these housing developments.

   (D) The analysis shall identify and consider the use of all
federal, state, and local financing and subsidy programs which can be
used to preserve, for lower income households, the assisted housing
developments, identified in this paragraph, including, but not
limited to, federal Community Development Block Grant Program funds,
tax increment funds received by a redevelopment agency of the
community, and administrative fees received by a housing authority
operating within the community. In considering the use of these
financing and subsidy programs, the analysis shall identify the
amounts of funds under each available program which have not been
legally obligated for other purposes and which could be available for
use in preserving assisted housing developments.
   (b) (1) A statement of the community's goals, quantified
objectives, and policies relative to the maintenance, preservation,
improvement, and development of housing.
   (2) It is recognized that the total housing needs identified
pursuant to subdivision (a) may exceed available resources and the
community's ability to satisfy this need within the content of the
general plan requirements outlined in Article 5 (commencing with
Section 65300). Under these circumstances, the quantified objectives
need not be identical to the total housing needs. The quantified
objectives shall establish the maximum number of housing units by
income category, including extremely low income, that can be
constructed, rehabilitated, and conserved over a five-year time
period.
   (c) A program which sets forth a schedule of actions during the
planning period, each with a timeline for implementation, which may
recognize that certain programs are ongoing, such that there will be
beneficial impacts of the programs within the planning period, that
the local government is undertaking or intends to undertake to
implement the policies and achieve the goals and objectives of the
housing element through the administration of land use and
development controls, the provision of regulatory concessions and
incentives, the utilization of appropriate federal and state
financing and subsidy programs when available, and the utilization of
moneys in a low- and moderate-income housing fund of an agency if
the locality has established a redevelopment project area pursuant to
the Community Redevelopment Law (Division 24 (commencing with
Section 33000) of the Health and Safety Code). In order to make
adequate provision for the housing needs of all economic segments of
the community, the program shall do all of the following:
   (1) Identify actions that will be taken to make sites available
during the planning period with appropriate zoning and development
standards and with services and facilities to accommodate that
portion of the city's or county's share of the regional housing need
for each income level that could not be accommodated on sites
identified in the inventory completed pursuant to paragraph (3) of
subdivision (a) without rezoning, and to comply with the requirements
of Section 65584.09. Sites shall be identified as needed to
facilitate and encourage the development of a variety of types of
housing for all income levels, including multifamily rental housing,
factory-built housing, mobilehomes, housing for agricultural
employees, supportive housing, single-room occupancy units, emergency
shelters, and transitional housing.
   (A) Where the inventory of sites, pursuant to paragraph (3) of
subdivision (a), does not identify adequate sites to accommodate the
need for groups of all household income levels pursuant to Section
65584, rezoning of those sites, including adoption of minimum density
and development standards, for jurisdictions with an eight-year
housing element planning period pursuant to Section 65588, shall be
completed no later than three years after either the date the housing
element is adopted pursuant to subdivision (f) of Section 65585 or
the date that is 90 days after receipt of comments from the
department pursuant to subdivision (b) of Section 65585, whichever is
earlier, unless the deadline is extended pursuant to subdivision
(f). Notwithstanding the foregoing, for a local government that fails
to adopt a housing element within 120 days of the statutory deadline
in Section 65588 for adoption of the housing element, rezoning of
those sites, including adoption of minimum density and development
standards, shall be completed no later than three years and 120 days
from the statutory deadline in Section 65588 for adoption of the
housing element.
   (B) Where the inventory of sites, pursuant to paragraph (3) of
subdivision (a), does not identify adequate sites to accommodate the
need for groups of all household income levels pursuant to Section
65584, the program shall identify sites that can be developed for
housing within the planning period pursuant to subdivision (h) of
Section 65583.2. The identification of sites shall include all
components specified in subdivision (b) of Section 65583.2.
   (C) Where the inventory of sites pursuant to paragraph (3) of
subdivision (a) does not identify adequate sites to accommodate the
need for farmworker housing, the program shall provide for sufficient
sites to meet the need with zoning that permits farmworker housing
use by right, including density and development standards that could
accommodate and facilitate the feasibility of the development of
farmworker housing for low- and very
          low income households.
   (2) Assist in the development of adequate housing to meet the
needs of extremely low, very low, low-, and moderate-income
households.
   (3) Address and, where appropriate and legally possible, remove
governmental constraints to the maintenance, improvement, and
development of housing, including housing for all income levels and
housing for persons with disabilities. The program shall remove
constraints to, and provide reasonable accommodations for housing
designed for, intended for occupancy by, or with supportive services
for, persons with disabilities.
   (4) Conserve and improve the condition of the existing affordable
housing stock, which may include addressing ways to mitigate the loss
of dwelling units demolished by public or private action.
   (5) Promote housing opportunities for all persons regardless of
race, religion, sex, marital status, ancestry, national origin,
color, familial status, or disability.
   (6) Preserve for lower income households the assisted housing
developments identified pursuant to paragraph (9) of subdivision (a).
The program for preservation of the assisted housing developments
shall utilize, to the extent necessary, all available federal, state,
and local financing and subsidy programs identified in paragraph (9)
of subdivision (a), except where a community has other urgent needs
for which alternative funding sources are not available. The program
may include strategies that involve local regulation and technical
assistance.
   (7) The program shall include an identification of the agencies
and officials responsible for the implementation of the various
actions and the means by which consistency will be achieved with
other general plan elements and community goals. The local government
shall make a diligent effort to achieve public participation of all
economic segments of the community in the development of the housing
element, and the program shall describe this effort.
   (d) (1) A local government may satisfy all or part of its
requirement to identify a zone or zones suitable for the development
of emergency shelters pursuant to paragraph (4) of subdivision (a) by
adopting and implementing a multijurisdictional agreement, with a
maximum of two other adjacent communities, that requires the
participating jurisdictions to develop at least one year-round
emergency shelter within two years of the beginning of the planning
period.
   (2) The agreement shall allocate a portion of the new shelter
capacity to each jurisdiction as credit towards its emergency shelter
need, and each jurisdiction shall describe how the capacity was
allocated as part of its housing element.
   (3) Each member jurisdiction of a multijurisdictional agreement
shall describe in its housing element all of the following:
   (A) How the joint facility will meet the jurisdiction's emergency
shelter need.
   (B) The jurisdiction's contribution to the facility for both the
development and ongoing operation and management of the facility.
   (C) The amount and source of the funding that the jurisdiction
contributes to the facility.
   (4) The aggregate capacity claimed by the participating
jurisdictions in their housing elements shall not exceed the actual
capacity of the shelter.
   (e) Except as otherwise provided in this article, amendments to
this article that alter the required content of a housing element
shall apply to both of the following:
   (1) A housing element or housing element amendment prepared
pursuant to subdivision (e) of Section 65588 or Section 65584.02,
when a city, county, or city and county submits a draft to the
department for review pursuant to Section 65585 more than 90 days
after the effective date of the amendment to this section.
   (2) Any housing element or housing element amendment prepared
pursuant to subdivision (e) of Section 65588 or Section 65584.02,
when the city, county, or city and county fails to submit the first
draft to the department before the due date specified in Section
65588 or 65584.02.
   (f) The deadline for completing required rezoning pursuant to
subparagraph (A) of paragraph (1) of subdivision (c) shall be
extended by one year if the local government has completed the
rezoning at densities sufficient to accommodate at least 75 percent
of the units for low- and very low income households and if the
legislative body at the conclusion of a public hearing determines,
based upon substantial evidence, that any of the following
circumstances exist:
   (1) The local government has been unable to complete the rezoning
because of the action or inaction beyond the control of the local
government of any other state, federal, or local agency.
   (2) The local government is unable to complete the rezoning
because of infrastructure deficiencies due to fiscal or regulatory
constraints.
   (3) The local government must undertake a major revision to its
general plan in order to accommodate the housing-related policies of
a sustainable communities strategy or an alternative planning
strategy adopted pursuant to Section 65080.
   The resolution and the findings shall be transmitted to the
department together with a detailed budget and schedule for
preparation and adoption of the required rezonings, including plans
for citizen participation and expected interim action. The schedule
shall provide for adoption of the required rezoning within one year
of the adoption of the resolution.
   (g) (1) If a local government fails to complete the rezoning by
the deadline provided in subparagraph (A) of paragraph (1) of
subdivision (c), as it may be extended pursuant to subdivision (f),
except as provided in paragraph (2), a local government may not
disapprove a housing development project, nor require a conditional
use permit, planned unit development permit, or other locally imposed
discretionary permit, or impose a condition that would render the
project infeasible, if the housing development project (A) is
proposed to be located on a site required to be rezoned pursuant to
the program action required by that subparagraph and (B) complies
with applicable, objective general plan and zoning standards and
criteria, including design review standards, described in the program
action required by that subparagraph. Any subdivision of sites shall
be subject to the Subdivision Map Act (Division 2 (commencing with
Section 66410). Design review shall not constitute a "project" for
purposes of Division 13 (commencing with Section 21000) of the Public
Resources Code.
   (2) A local government may disapprove a housing development
described in paragraph (1) if it makes written findings supported by
substantial evidence on the record that both of the following
conditions exist:
   (A) The housing development project would have a specific, adverse
impact upon the public health or safety unless the project is
disapproved or approved upon the condition that the project be
developed at a lower density. As used in this paragraph, a "specific,
adverse impact" means a significant, quantifiable, direct, and
unavoidable impact, based on objective, identified written public
health or safety standards, policies, or conditions as they existed
on the date the application was deemed complete.
   (B) There is no feasible method to satisfactorily mitigate or
avoid the adverse impact identified pursuant to paragraph (1), other
than the disapproval of the housing development project or the
approval of the project upon the condition that it be developed at a
lower density.
   (3) The applicant or any interested person may bring an action to
enforce this subdivision. If a court finds that the local agency
disapproved a project or conditioned its approval in violation of
this subdivision, the court shall issue an order or judgment
compelling compliance within 60 days. The court shall retain
jurisdiction to ensure that its order or judgment is carried out. If
the court determines that its order or judgment has not been carried
out within 60 days, the court may issue further orders to ensure that
the purposes and policies of this subdivision are fulfilled. In any
such action, the city, county, or city and county shall bear the
burden of proof.
   (4) For purposes of this subdivision, "housing development project"
means a project to construct residential units for which the project
developer provides sufficient legal commitments to the appropriate
local agency to ensure the continued availability and use of at least
49 percent of the housing units for very low, low-, and
moderate-income households with an affordable housing cost or
affordable rent, as defined in Section 50052.5 or 50053 of the Health
and Safety Code, respectively, for the period required by the
applicable financing.
   (h) An action to enforce the program actions of the housing
element shall be brought pursuant to Section 1085 of the Code of
Civil Procedure.
   SEC. 1.9.    Section 65583 of the  
Government Code   is amended to read: 
   65583.  The housing element shall consist of an identification and
analysis of existing and projected housing needs and a statement of
goals, policies, quantified objectives, financial resources, and
scheduled programs for the preservation, improvement, and development
of housing. The housing element shall identify adequate sites for
housing, including rental housing, factory-built housing,
mobilehomes, and emergency shelters, and shall make adequate
provision for the existing and projected needs of all economic
segments of the community. The element shall contain all of the
following:
   (a) An assessment of housing needs and an inventory of resources
and constraints relevant to the meeting of these needs. The
assessment and inventory shall include all of the following:
   (1) An analysis of population and employment trends and
documentation of projections and a quantification of the locality's
existing and projected housing needs for all income levels, including
extremely low income households, as defined in subdivision (b) of
Section 50105 and Section 50106 of the Health and Safety Code. These
existing and projected needs shall include the locality's share of
the regional housing need in accordance with Section 65584. Local
agencies shall calculate the subset of very low income households
allotted under Section 65584 that qualify as extremely low income
households. The local agency may either use available census data to
calculate the percentage of very low income households that qualify
as extremely low income households or presume that 50 percent of the
very low income households qualify as extremely low income
households. The number of extremely low income households and very
low income households shall equal the jurisdiction's allocation of
very low income households pursuant to Section 65584.
   (2) An analysis and documentation of household characteristics,
including level of payment compared to ability to pay, housing
characteristics, including overcrowding, and housing stock condition.

   (3) An inventory of land suitable for residential development,
including vacant sites and sites having potential for redevelopment,
and an analysis of the relationship of zoning and public facilities
and services to these sites.
   (4) (A) The identification of a zone or zones where emergency
shelters are allowed as a permitted use without a conditional use or
other discretionary permit. The identified zone or zones shall
include sufficient capacity to accommodate the need for emergency
shelter identified in paragraph (7), except that each local
government shall identify a zone or zones that can accommodate at
least one year-round emergency shelter. If the local government
cannot identify a zone or zones with sufficient capacity, the local
government shall include a program to amend its zoning ordinance to
meet the requirements of this paragraph within one year of the
adoption of the housing element. The local government may identify
additional zones where emergency shelters are permitted with a
conditional use permit. The local government shall also demonstrate
that existing or proposed permit processing, development, and
management standards are objective and encourage and facilitate the
development of, or conversion to, emergency shelters. Emergency
shelters may only be subject to those development and management
standards that apply to residential or commercial development within
the same zone except that a local government may apply written,
objective standards that include all of the following:
   (i) The maximum number of beds or persons permitted to be served
nightly by the facility.
   (ii) Off-street parking based upon demonstrated need, provided
that the standards do not require more parking for emergency shelters
than for other residential or commercial uses within the same zone.
   (iii) The size and location of exterior and interior onsite
waiting and client intake areas.
   (iv) The provision of onsite management.
   (v) The proximity to other emergency shelters, provided that
emergency shelters are not required to be more than 300 feet apart.
   (vi) The length of stay.
   (vii) Lighting.
   (viii) Security during hours that the emergency shelter is in
operation.
   (B) The permit processing, development, and management standards
applied under this paragraph shall not be deemed to be discretionary
acts within the meaning of the California Environmental Quality Act
(Division 13 (commencing with Section 21000) of the Public Resources
Code).
   (C) A local government that can demonstrate to the satisfaction of
the department the existence of one or more emergency shelters
either within its jurisdiction or pursuant to a multijurisdictional
agreement that can accommodate that jurisdiction's need for emergency
shelter identified in paragraph (7) may comply with the zoning
requirements of subparagraph (A) by identifying a zone or zones where
new emergency shelters are allowed with a conditional use permit.
   (D) A local government with an existing ordinance or ordinances
that comply with this paragraph shall not be required to take
additional action to identify zones for emergency shelters. The
housing element must only describe how existing ordinances, policies,
and standards are consistent with the requirements of this
paragraph.
   (5) An analysis of potential and actual governmental constraints
upon the maintenance, improvement, or development of housing for all
income levels, including the types of housing identified in paragraph
(1) of subdivision (c), and for persons with disabilities as
identified in the analysis pursuant to paragraph (7), including land
use controls, building codes and their enforcement, site
improvements, fees and other exactions required of developers, and
local processing and permit procedures. The analysis shall also
demonstrate local efforts to remove governmental constraints that
hinder the locality from meeting its share of the regional housing
need in accordance with Section 65584 and from meeting the need for
housing for persons with disabilities, supportive housing,
transitional housing, and emergency shelters identified pursuant to
paragraph (7). Transitional housing and supportive housing shall be
considered a residential use of property, and shall be subject only
to those restrictions that apply to other residential dwellings of
the same type in the same zone.
   (6) An analysis of potential and actual nongovernmental
constraints upon the maintenance, improvement, or development of
housing for all income levels, including the availability of
financing, the price of land, and the cost of construction.
   (7) An analysis of any special housing needs, such as those of the
 elderly,   elderly;  persons with
disabilities,  large families, farmworkers,  
including a developmental disability, as defined in Section 4512 of
the Welfare and Institutions Code; large families; farmworkers; 
families with female heads of  households,  
households;  and families and persons in need of emergency
shelter. The need for emergency shelter shall be assessed based on
annual and seasonal need. The need for emergency shelter may be
reduced by the number of supportive housing units that are identified
in an adopted 10-year plan to end chronic homelessness and that are
either vacant or for which funding has been identified to allow
construction during the planning period.
   (8) An analysis of opportunities for energy conservation with
respect to residential development. Cities and counties are
encouraged to include weatherization and energy efficiency
improvements as part of publicly subsidized housing rehabilitation
projects. This may include energy efficiency measures that encompass
the building envelope, its heating and cooling systems, and its
electrical system.
   (9) An analysis of existing assisted housing developments that are
eligible to change from low-income housing uses during the next 10
years due to termination of subsidy contracts, mortgage prepayment,
or expiration of restrictions on use. "Assisted housing developments,"
for the purpose of this section, shall mean multifamily rental
housing that receives governmental assistance under federal programs
listed in subdivision (a) of Section 65863.10, state and local
multifamily revenue bond programs, local redevelopment programs, the
federal Community Development Block Grant Program, or local in-lieu
fees. "Assisted housing developments" shall also include multifamily
rental units that were developed pursuant to a local inclusionary
housing program or used to qualify for a density bonus pursuant to
Section 65916.
   (A) The analysis shall include a listing of each development by
project name and address, the type of governmental assistance
received, the earliest possible date of change from low-income use,
and the total number of elderly and nonelderly units that could be
lost from the locality's low-income housing stock in each year during
the 10-year period. For purposes of state and federally funded
projects, the analysis required by this subparagraph need only
contain information available on a statewide basis.
   (B) The analysis shall estimate the total cost of producing new
rental housing that is comparable in size and rent levels, to replace
the units that could change from low-income use, and an estimated
cost of preserving the assisted housing developments. This cost
analysis for replacement housing may be done aggregately for each
five-year period and does not have to contain a project-by-project
cost estimate.
   (C) The analysis shall identify public and private nonprofit
corporations known to the local government which have legal and
managerial capacity to acquire and manage these housing developments.

   (D) The analysis shall identify and consider the use of all
federal, state, and local financing and subsidy programs which can be
used to preserve, for lower income households, the assisted housing
developments, identified in this paragraph, including, but not
limited to, federal Community Development Block Grant Program funds,
tax increment funds received by a redevelopment agency of the
community, and administrative fees received by a housing authority
operating within the community. In considering the use of these
financing and subsidy programs, the analysis shall identify the
amounts of funds under each available program which have not been
legally obligated for other purposes and which could be available for
use in preserving assisted housing developments.
   (b) (1) A statement of the community's goals, quantified
objectives, and policies relative to the maintenance, preservation,
improvement, and development of housing.
   (2) It is recognized that the total housing needs identified
pursuant to subdivision (a) may exceed available resources and the
community's ability to satisfy this need within the content of the
general plan requirements outlined in Article 5 (commencing with
Section 65300). Under these circumstances, the quantified objectives
need not be identical to the total housing needs. The quantified
objectives shall establish the maximum number of housing units by
income category, including extremely low income, that can be
constructed, rehabilitated, and conserved over a five-year time
period.
   (c) A program which sets forth a schedule of actions during the
planning period, each with a timeline for implementation, which may
recognize that certain programs are ongoing, such that there will be
beneficial impacts of the programs within the planning period, that
the local government is undertaking or intends to undertake to
implement the policies and achieve the goals and objectives of the
housing element through the administration of land use and
development controls, the provision of regulatory concessions and
incentives,  and  the utilization of appropriate
federal and state financing and subsidy programs when 
available   available,  and the utilization of
moneys in a low- and moderate-income housing fund of an agency if the
locality has established a redevelopment project area pursuant to
the Community Redevelopment Law (Division 24 (commencing with Section
33000) of the Health and Safety Code). In order to make adequate
provision for the housing needs of all economic segments of the
community, the program shall do all of the following:
   (1) Identify actions that will be taken to make sites available
during the planning period  of the general plan 
with appropriate zoning and development standards and with services
and facilities to accommodate that portion of the city's or county's
share of the regional housing need for each income level that could
not be accommodated on sites identified in the inventory completed
pursuant to paragraph (3) of subdivision (a) without rezoning, and to
comply with the requirements of Section 65584.09. Sites shall be
identified as needed to facilitate and encourage the development of a
variety of types of housing for all income levels, including
multifamily rental housing, factory-built housing, mobilehomes,
housing for agricultural employees, supportive housing, single-room
occupancy units, emergency shelters, and transitional housing.
   (A) Where the inventory of sites, pursuant to paragraph (3) of
subdivision (a), does not identify adequate sites to accommodate the
need for groups of all household income levels pursuant to Section
65584, rezoning of those sites, including adoption of minimum density
and development standards, for jurisdictions with an eight-year
housing element planning period pursuant to Section 65588, shall be
completed no later than three years after either the date the housing
element is adopted pursuant to subdivision (f) of Section 65585 or
the date that is 90 days after receipt of comments from the
department pursuant to subdivision (b) of Section 65585, whichever is
earlier, unless the deadline is extended pursuant to subdivision
(f). Notwithstanding the foregoing, for a local government that fails
to adopt a housing element within 120 days of the statutory deadline
in Section 65588 for adoption of the housing element, rezoning of
those sites, including adoption of minimum density and development
standards, shall be completed no later than three years and 120 days
from the statutory deadline in Section 65588 for adoption of the
housing element.
   (B) Where the inventory of sites, pursuant to paragraph (3) of
subdivision (a), does not identify adequate sites to accommodate the
need for groups of all household income levels pursuant to Section
65584, the program shall identify sites that can be developed for
housing within the planning period pursuant to subdivision (h) of
Section 65583.2. The identification of sites shall include all
components specified in subdivision (b) of Section 65583.2.
   (C) Where the inventory of sites pursuant to paragraph (3) of
subdivision (a) does not identify adequate sites to accommodate the
need for farmworker housing, the program shall provide for sufficient
sites to meet the need with zoning that permits farmworker housing
use by right, including density and development standards that could
accommodate and facilitate the feasibility of the development of
farmworker housing for low- and very low income households.
   (2) Assist in the development of adequate housing to meet the
needs of extremely low, very low, low-, and moderate-income
households.
   (3) Address and, where appropriate and legally possible, remove
governmental constraints to the maintenance, improvement, and
development of housing, including housing for all income levels and
housing for persons with disabilities. The program shall remove
constraints to, and provide reasonable accommodations for housing
designed for, intended for occupancy by, or with supportive services
for, persons with disabilities.
   (4) Conserve and improve the condition of the existing affordable
housing stock, which may include addressing ways to mitigate the loss
of dwelling units demolished by public or private action.
   (5) Promote housing opportunities for all persons regardless of
race, religion, sex, marital status, ancestry, national origin,
color, familial status, or disability.
   (6) Preserve for lower income households the assisted housing
developments identified pursuant to paragraph (9) of subdivision (a).
The program for preservation of the assisted housing developments
shall utilize, to the extent necessary, all available federal, state,
and local financing and subsidy programs identified in paragraph (9)
of subdivision (a), except where a community has other urgent needs
for which alternative funding sources are not available. The program
may include strategies that involve local regulation and technical
assistance.
   (7)  The program shall include   Include
 an identification of the agencies and officials responsible for
the implementation of the various actions and the means by which
consistency will be achieved with other general plan elements and
community goals.  The local government shall make a diligent
effort to achieve public participation of all economic segments of
the community in the development of the housing element, and the
program shall describe this effort.  
   (8) Include a diligent effort by the local government to achieve
public participation of all economic segments of the community in the
development of the housing element, and the program shall describe
this effort. 
   (d) (1) A local government may satisfy all or part of its
requirement to identify a zone or zones suitable for the development
of emergency shelters pursuant to paragraph (4) of subdivision (a) by
adopting and implementing a multijurisdictional agreement, with a
maximum of two other adjacent communities, that requires the
                                  participating jurisdictions to
develop at least one year-round emergency shelter within two years of
the beginning of the planning period.
   (2) The agreement shall allocate a portion of the new shelter
capacity to each jurisdiction as credit towards its emergency shelter
need, and each jurisdiction shall describe how the capacity was
allocated as part of its housing element.
   (3) Each member jurisdiction of a multijurisdictional agreement
shall describe in its housing element all of the following:
   (A) How the joint facility will meet the jurisdiction's emergency
shelter need.
   (B) The jurisdiction's contribution to the facility for both the
development and ongoing operation and management of the facility.
   (C) The amount and source of the funding that the jurisdiction
contributes to the facility.
   (4) The aggregate capacity claimed by the participating
jurisdictions in their housing elements shall not exceed the actual
capacity of the shelter.
   (e) Except as otherwise provided in this article, amendments to
this article that alter the required content of a housing element
shall apply to both of the following:
   (1) A housing element or housing element amendment prepared
pursuant to subdivision (e) of Section 65588 or Section 65584.02,
when a city, county, or city and county submits a draft to the
department for review pursuant to Section 65585 more than 90 days
after the effective date of the amendment to this section.
   (2) Any housing element or housing element amendment prepared
pursuant to subdivision (e) of Section 65588 or Section 65584.02,
when the city, county, or city and county fails to submit the first
draft to the department before the due date specified in Section
65588 or 65584.02.
   (f) The deadline for completing required rezoning pursuant to
subparagraph (A) of paragraph (1) of subdivision (c) shall be
extended by one year if the local government has completed the
rezoning at densities sufficient to accommodate at least 75 percent
of the units for low- and very low income households and if the
legislative body at the conclusion of a public hearing determines,
based upon substantial evidence, that any of the following
circumstances exist:
   (1) The local government has been unable to complete the rezoning
because of the action or inaction beyond the control of the local
government of any other  state federal   state,
federal,  or local agency.
   (2) The local government is unable to complete the rezoning
because of infrastructure deficiencies due to fiscal or regulatory
constraints.
   (3) The local government must undertake a major revision to its
general plan in order to accommodate the  housing related
  housing-related  policies of a sustainable
communities strategy or an alternative planning strategy adopted
pursuant to Section 65080.
   The resolution and the findings shall be transmitted to the
department together with a detailed budget and schedule for
preparation and adoption of the required rezonings, including plans
for citizen participation and expected interim action. The schedule
shall provide for adoption of the required rezoning within one year
of the adoption of the resolution.
   (g) (1) If a local government fails to complete the rezoning by
the deadline provided in subparagraph (A) of paragraph (1) of
subdivision (c), as it may be extended pursuant to subdivision (f),
except as provided in paragraph (2), a local government may not
disapprove a housing development project, nor require a conditional
use permit, planned unit development permit, or other locally imposed
discretionary permit, or impose a condition that would render the
project infeasible, if the housing development project (A) is
proposed to be located on a site required to be rezoned pursuant to
the program action required by that  subparagraph; 
 subparagraph  and (B) complies with applicable, objective
general plan and zoning standards and criteria, including design
review standards, described in the program action required by that
subparagraph. Any subdivision of sites shall be subject to the
Subdivision Map Act  (Division 2 (commencing with Section 66410))
 . Design review shall not constitute a "project" for purposes
of Division 13 (commencing with Section 21000) of the Public
Resources Code.
   (2) A local government may disapprove a housing development
described in paragraph (1) if it makes written findings supported by
substantial evidence on the record that both of the following
conditions exist:
   (A) The housing development project would have a specific, adverse
impact upon the public health or safety unless the project is
disapproved or approved upon the condition that the project be
developed at a lower density. As used in this paragraph, a "specific,
adverse impact" means a significant, quantifiable, direct, and
unavoidable impact, based on objective, identified written public
health or safety standards, policies, or conditions as they existed
on the date the application was deemed complete.
   (B) There is no feasible method to satisfactorily mitigate or
avoid the adverse impact identified pursuant to paragraph (1), other
than the disapproval of the housing development project or the
approval of the project upon the condition that it be developed at a
lower density.
   (3) The applicant or any interested person may bring an action to
enforce this subdivision. If a court finds that the local agency
disapproved a project or conditioned its approval in violation of
this subdivision, the court shall issue an order or judgment
compelling compliance within 60 days. The court shall retain
jurisdiction to ensure that its order or judgment is carried out. If
the court determines that its order or judgment has not been carried
out within 60 days, the court may issue further orders to ensure that
the purposes and policies of this subdivision are fulfilled. In any
such action, the city, county, or city and county shall bear the
burden of proof.
   (4) For purposes of this subdivision, "housing development project"
means a project to construct residential units for which the project
developer provides sufficient legal commitments to the appropriate
local agency to ensure the continued availability and use of at least
49 percent of the housing units for very low, low-, and
moderate-income households with an affordable housing cost or
affordable rent, as defined in Section 50052.5 or 50053 of the Health
and Safety Code, respectively, for the period required by the
applicable financing.
   (h) An action to enforce the program actions of the housing
element shall be brought pursuant to Section 1085 of the Code of
Civil Procedure.
  SEC. 2.  Section 65589.5 of the Government Code is amended to read:

   65589.5.  (a) The Legislature finds and declares all of the
following:
   (1) The lack of housing, including emergency shelters, is a
critical problem that threatens the economic, environmental, and
social quality of life in California.
   (2) California housing has become the most expensive in the
nation. The excessive cost of the state's housing supply is partially
caused by activities and policies of many local governments that
limit the approval of housing, increase the cost of land for housing,
and require that high fees and exactions be paid by producers of
housing.
   (3) Among the consequences of those actions are discrimination
against low-income and minority households, lack of housing to
support employment growth, imbalance in jobs and housing, reduced
mobility, urban sprawl, excessive commuting, and air quality
deterioration.
   (4) Many local governments do not give adequate attention to the
economic, environmental, and social costs of decisions that result in
disapproval of housing projects, reduction in density of housing
projects, and excessive standards for housing projects.
   (b) It is the policy of the state that a local government not
reject or make infeasible housing developments, including emergency
shelters, that contribute to meeting the need determined pursuant to
this article without a thorough analysis of the economic, social, and
environmental effects of the action and without complying with
subdivision (d).
   (c) The Legislature also recognizes that premature and unnecessary
development of agricultural lands for urban uses continues to have
adverse effects on the availability of those lands for food and fiber
production and on the economy of the state. Furthermore, it is the
policy of the state that development should be guided away from prime
agricultural lands; therefore, in implementing this section, local
jurisdictions should encourage, to the maximum extent practicable, in
filling existing urban areas.
   (d) A local agency shall not disapprove a housing development
project, including farmworker housing as defined in subdivision (d)
of Section 50199.50 of the Health and Safety Code, for very low,
low-, or moderate-income households, or an emergency shelter, or
condition approval in a manner that renders the project infeasible
for development for the use of very low, low-, or moderate-income
households, or an emergency shelter, including through the use of
design review standards, unless it makes written findings, based upon
substantial evidence in the record, as to one of the following:
   (1) The jurisdiction has adopted a housing element pursuant to
this article that has been revised in accordance with Section 65588,
is in substantial compliance with this article, and the jurisdiction
has met or exceeded its share of the regional housing need allocation
pursuant to Section 65584 for the planning period for the income
category proposed for the housing development project, provided that
any disapproval or conditional approval shall not be based on any of
the reasons prohibited by Section 65008. If the housing development
project includes a mix of income categories, and the jurisdiction has
not met or exceeded its share of the regional housing need for one
or more of those categories, then this paragraph shall not be used to
disapprove or conditionally approve the project. The share of the
regional housing need met by the jurisdiction shall be calculated
consistently with the forms and definitions that may be adopted by
the Department of Housing and Community Development pursuant to
Section 65400. In the case of an emergency shelter, the jurisdiction
shall have met or exceeded the need for emergency shelter, as
identified pursuant to paragraph (7) of subdivision (a) of Section
65583. Any disapproval or conditional approval pursuant to this
paragraph shall be in accordance with applicable law, rule, or
standards.
   (2) The development project or emergency shelter as proposed would
have a specific, adverse impact upon the public health or safety,
and there is no feasible method to satisfactorily mitigate or avoid
the specific adverse impact without rendering the development
unaffordable to low- and moderate-income households or rendering the
development of the emergency shelter financially infeasible. As used
in this paragraph, a "specific, adverse impact" means a significant,
quantifiable, direct, and unavoidable impact, based on objective,
identified written public health or safety standards, policies, or
conditions as they existed on the date the application was deemed
complete. Inconsistency with the zoning ordinance or general plan
land use designation shall not constitute a specific, adverse impact
upon the public health or safety.
   (3) The denial of the project or imposition of conditions is
required in order to comply with specific state or federal law, and
there is no feasible method to comply without rendering the
development unaffordable to low- and moderate-income households or
rendering the development of the emergency shelter financially
infeasible.
   (4) The development project or emergency shelter is proposed on
land zoned for agriculture or resource preservation that is
surrounded on at least two sides by land being used for agricultural
or resource preservation purposes, or which does not have adequate
water or wastewater facilities to serve the project.
   (5) The development project or emergency shelter is inconsistent
with both the jurisdiction's zoning ordinance and general plan land
use designation as specified in any element of the general plan as it
existed on the date the application was deemed complete, and the
jurisdiction has adopted a revised housing element in accordance with
Section 65588 that is in substantial compliance with this article.
   (A) This paragraph cannot be utilized to disapprove or
conditionally approve a housing development project if the
development project is proposed on a site that is identified as
suitable or available for very low, low-, or moderate-income
households in the jurisdiction's housing element, and consistent with
the density specified in the housing element, even though it is
inconsistent with both the jurisdiction's zoning ordinance and
general plan land use designation.
   (B) If the local agency has failed to identify in the inventory of
land in its housing element sites that can be developed for housing
within the planning period and that are sufficient to provide for the
jurisdiction's share of the regional housing need for all income
levels pursuant to Section 65584, then this paragraph shall not be
utilized to disapprove or conditionally approve a housing development
project proposed for a site designated in any element of the general
plan for residential uses or designated in any element of the
general plan for commercial uses if residential uses are permitted or
conditionally permitted within commercial designations. In any
action in court, the burden of proof shall be on the local agency to
show that its housing element does identify adequate sites with
appropriate zoning and development standards and with services and
facilities to accommodate the local agency's share of the regional
housing need for the very low and low-income categories.
   (C) If the local agency has failed to identify a zone or zones
where emergency shelters are allowed as a permitted use without a
conditional use or other discretionary permit, has failed to
demonstrate that the identified zone or zones include sufficient
capacity to accommodate the need for emergency shelter identified in
paragraph (7) of subdivision (a) of Section 65583, or has failed to
demonstrate that the identified zone or zones can accommodate at
least one emergency shelter, as required by paragraph (4) of
subdivision (a) of Section 65583, then this paragraph shall not be
utilized to disapprove or conditionally approve an emergency shelter
proposed for a site designated in any element of the general plan for
industrial, commercial, or multifamily residential uses. In any
action in court, the burden of proof shall be on the local agency to
show that its housing element does satisfy the requirements of
paragraph (4) of subdivision (a) of Section 65583.
   (e) Nothing in this section shall be construed to relieve the
local agency from complying with the Congestion Management Program
required by Chapter 2.6 (commencing with Section 65088) of Division 1
of Title 7 or the California Coastal Act (Division 20 (commencing
with Section 30000) of the Public Resources Code). Neither shall
anything in this section be construed to relieve the local agency
from making one or more of the findings required pursuant to Section
21081 of the Public Resources Code or otherwise complying with the
California Environmental Quality Act (Division 13 (commencing with
Section 21000) of the Public Resources Code).
   (f) (1) Nothing in this section shall be construed to prohibit a
local agency from requiring the development project to comply with
objective, quantifiable, written development standards, conditions,
and policies appropriate to, and consistent with, meeting the
jurisdiction's share of the regional housing need pursuant to Section
65584. However, the development standards, conditions, and policies
shall be applied to facilitate and accommodate development at the
density permitted on the site and proposed by the development.
   (2) Nothing in this section shall be construed to prohibit a local
agency from requiring an emergency shelter project to comply with
objective, quantifiable, written development standards, conditions,
and policies that are consistent with paragraph (4) of subdivision
(a) of Section 65583 and appropriate to, and consistent with, meeting
the jurisdiction's need for emergency shelter, as identified
pursuant to paragraph (7) of subdivision (a) of Section 65583.
However, the development standards, conditions, and policies shall be
applied by the local agency to facilitate and accommodate the
development of the emergency shelter project.
   (3) This section does not prohibit a local agency from imposing
fees and other exactions otherwise authorized by law that are
essential to provide necessary public services and facilities to the
development project or emergency shelter.
   (g) This section shall be applicable to charter cities because the
Legislature finds that the lack of housing, including emergency
shelter, is a critical statewide problem.
   (h) The following definitions apply for the purposes of this
section:
   (1) "Feasible" means capable of being accomplished in a successful
manner within a reasonable period of time, taking into account
economic, environmental, social, and technological factors.
   (2) "Housing development project" means a use consisting of any of
the following:
   (A) Residential units only.
   (B) Mixed-use developments consisting of residential and
nonresidential uses in which nonresidential uses are limited to
neighborhood commercial uses and to the first floor of buildings that
are two or more stories. As used in this paragraph, "neighborhood
commercial" means small-scale general or specialty stores that
furnish goods and services primarily to residents of the
neighborhood.
   (C) Transitional housing or supportive housing.
   (3) "Housing for very low, low-, or moderate-income households"
means that either (A) at least 20 percent of the total units shall be
sold or rented to lower income households, as defined in Section
50079.5 of the Health and Safety Code, or (B) 100 percent of the
units shall be sold or rented to moderate-income households as
defined in Section 50093 of the Health and Safety Code, or
middle-income households, as defined in Section 65008 of this code.
Housing units targeted for lower income households shall be made
available at a monthly housing cost that does not exceed 30 percent
of 60 percent of area median income with adjustments for household
size made in accordance with the adjustment factors on which the
lower income eligibility limits are based. Housing units targeted for
persons and families of moderate income shall be made available at a
monthly housing cost that does not exceed 30 percent of 100 percent
of area median income with adjustments for household size made in
accordance with the adjustment factors on which the moderate-income
eligibility limits are based.
   (4) "Area median income" means area median income as periodically
established by the Department of Housing and Community Development
pursuant to Section 50093 of the Health and Safety Code. The
developer shall provide sufficient legal commitments to ensure
continued availability of units for very low or low-income households
in accordance with the provisions of this subdivision for 30 years.
   (5) "Disapprove the development project" includes any instance in
which a local agency does either of the following:
   (A) Votes on a proposed housing development project application
and the application is disapproved.
   (B) Fails to comply with the time periods specified in subdivision
(a) of Section 65950. An extension of time pursuant to Article 5
(commencing with Section 65950) shall be deemed to be an extension of
time pursuant to this paragraph.
   (i) If any city, county, or city and county denies approval or
imposes restrictions, including design changes, a reduction of
allowable densities or the percentage of a lot that may be occupied
by a building or structure under the applicable planning and zoning
in force at the time the application is deemed complete pursuant to
Section 65943, that have a substantial adverse effect on the
viability or affordability of a housing development for very low,
low-, or moderate-income households, and the denial of the
development or the imposition of restrictions on the development is
the subject of a court action which challenges the denial, then the
burden of proof shall be on the local legislative body to show that
its decision is consistent with the findings as described in
subdivision (d) and that the findings are supported by substantial
evidence in the record.
   (j) When a proposed housing development project complies with
applicable, objective general plan and zoning standards and criteria,
including design review standards, in effect at the time that the
housing development project's application is determined to be
complete, but the local agency proposes to disapprove the project or
to approve it upon the condition that the project be developed at a
lower density, the local agency shall base its decision regarding the
proposed housing development project upon written findings supported
by substantial evidence on the record that both of the following
conditions exist:
   (1) The housing development project would have a specific, adverse
impact upon the public health or safety unless the project is
disapproved or approved upon the condition that the project be
developed at a lower density. As used in this paragraph, a "specific,
adverse impact" means a significant, quantifiable, direct, and
unavoidable impact, based on objective, identified written public
health or safety standards, policies, or conditions as they existed
on the date the application was deemed complete.
   (2) There is no feasible method to satisfactorily mitigate or
avoid the adverse impact identified pursuant to paragraph (1), other
than the disapproval of the housing development project or the
approval of the project upon the condition that it be developed at a
lower density.
   (k) The applicant or any person who would be eligible to apply for
residency in the development or emergency shelter may bring an
action to enforce this section. If in any action brought to enforce
the provisions of this section, a court finds that the local agency
disapproved a project or conditioned its approval in a manner
rendering it infeasible for the development of an emergency shelter,
or housing for very low, low-, or moderate-income households,
including farmworker housing, without making the findings required by
this section or without making sufficient findings supported by
substantial evidence, the court shall issue an order or judgment
compelling compliance with this section within 60 days, including,
but not limited to, an order that the local agency take action on the
development project or emergency shelter. The court shall retain
jurisdiction to ensure that its order or judgment is carried out and
shall award reasonable attorney's fees and costs of suit to the
plaintiff or petitioner who proposed the housing development or
emergency shelter, except under extraordinary circumstances in which
the court finds that awarding fees would not further the purposes of
this section. If the court determines that its order or judgment has
not been carried out within 60 days, the court may issue further
orders as provided by law to ensure that the purposes and policies of
this section are fulfilled, including, but not limited to, an order
to vacate the decision of the local agency, in which case the
application for the project, as constituted at the time the local
agency took the initial action determined to be in violation of this
section, along with any standard conditions determined by the court
to be generally imposed by the local agency on similar projects,
shall be deemed approved unless the applicant consents to a different
decision or action by the local agency.
   (l) If the court finds that the local agency (1) acted in bad
faith when it disapproved or conditionally approved the housing
development or emergency shelter in violation of this section and (2)
failed to carry out the court's order or judgment within 60 days as
described in subdivision (k), the court in addition to any other
remedies provided by this section, may impose fines upon the local
agency that the local agency shall be required to deposit into a
housing trust fund. Fines shall not be paid from funds that are
already dedicated for affordable housing, including, but not limited
to, redevelopment or low- and moderate-income housing funds and
federal HOME and CDBG funds. The local agency shall commit the money
in the trust fund within five years for the sole purpose of financing
newly constructed housing units affordable to extremely low, very
low, or low-income households. For purposes of this section, "bad
faith" shall mean an action that is frivolous or otherwise entirely
without merit.
   (m) Any action brought to enforce the provisions of this section
shall be brought pursuant to Section 1094.5 of the Code of Civil
Procedure, and the local agency shall prepare and certify the record
of proceedings in accordance with subdivision (c) of Section 1094.6
of the Code of Civil Procedure no later than 30 days after the
petition is served, provided that the cost of preparation of the
record shall be borne by the local agency. Upon entry of the trial
court's order, a party shall, in order to obtain appellate review of
the order, file a petition within 20 days after service upon it of a
written notice of the entry of the order, or within such further time
not exceeding an additional 20 days as the trial court may for good
cause allow. If the local agency appeals the judgment of the trial
court, the local agency shall post a bond, in an amount to be
determined by the court, to the benefit of the plaintiff if the
plaintiff is the project applicant.
   (n) In any action, the record of the proceedings before the local
agency shall be filed as expeditiously as possible and,
notwithstanding Section 1094.6 of the Code of Civil Procedure or
subdivision (m) of this section, all or part of the record may be
prepared (1) by the petitioner with the petition or petitioner's
points and authorities, (2) by the respondent with respondent's
points and authorities, (3) after payment of costs by the petitioner,
or (4) as otherwise directed by the court. If the expense of
preparing the record has been borne by the petitioner and the
petitioner is the prevailing party, the expense shall be taxable as
costs.
                 (o) This section shall be known, and may be cited,
as the Housing Accountability Act.
  SEC. 2.1.  Section 18902 of the Health and Safety Code is amended
to read:
   18902.  All references to the State Building Standards Code, Title
24 of the California Code of Regulations shall mean the California
Building Standards Code.
  SEC. 2.2.  Section 18921 of the Health and Safety Code is amended
to read:
   18921.  (a)  The appointed members of the commission shall be
selected from, and represent the public, design professions, the
building and construction industry, local government building
officials, fire and safety officials, and labor in accordance with
the following:
   (b)  Four members shall be appointed from among the professions
and industries concerned with building construction as follows:
   (1)  An architect.
   (2)  A mechanical or electrical engineer or fire protection
engineer.
   (3)  A structural engineer.
   (4)  A licensed contractor.
   (c)  Three members shall be appointed from among the general
public at least one of whom shall be a person with physical
disabilities.
   (d)  One member shall be appointed from organized labor in the
building trades.
   (e)  One member shall be appointed who is a local building
official.
   (f)  One member shall be appointed who is a local fire official.
   (g)  At least one member of the commission shall be experienced
and knowledgeable in barrier free architecture and aware of, and
sensitive to, the requirements necessary to ensure public buildings
are accessible to, and usable by, persons with physical disabilities.

   (h)  At least one member of the commission shall be experienced
and knowledgeable in building energy efficiency standards.
   As used in this section, "persons with physical disabilities"
means persons who have permanent mobility impairments which affect
ambulation due to cerebral palsy, poliomyelitis, spinal cord injury,
amputation, and other conditions or diseases which reduce mobility or
require the use of crutches, canes, or wheelchairs.
  SEC. 2.3.  Section 18926 of the Health and Safety Code is amended
to read:
   18926.  (a)  There is, in the office of the executive director, a
coordinating council. The membership of the council shall consist of
the executive director, who shall serve as chairperson, and
representatives appointed by the State Director of Public Health, the
Director of the Office of Statewide Health Planning and Development,
the Director of Housing and Community Development, the State Fire
Marshal, the Executive Director of the State Energy Resources
Conservation and Development Commission, and the Director of General
Services.
   (b)  Subject to the pleasure of the commission:
   (1)  The council or any member of the council shall, when called
and directed in writing by the executive director, work with and
assist an agency proposing building standards or adopting building
standards, or both, in the development of proposals for building
standards.
   (2)  When a state agency contemplates the adoption of any building
standard, it shall, prior to commencing any action to prepare a
draft of the proposal, advise the executive director, in writing, of
that intent and request the executive director to call the council,
or any member of the council, as appropriate, for assistance.
   (3)  Whenever the commission returns for amendment, or rejects any
proposed building standard, and one of the reasons for that action
is that approval of the proposal would create a conflict with
existing building standards of other adopting agencies, the executive
director shall call the council or any member of the council, as
appropriate, to assist in the elimination of the conflict.
   (4)  The council shall draft proposed building standards which the
commission is authorized to adopt pursuant to Section 18933 for the
consideration of the commission and approval, utilizing the criteria
of Section 18930.
  SEC. 2.4.  Section 18931 of the Health and Safety Code is amended
to read:
   18931.  The commission shall perform the following:
   (a)  In accordance with Section 18930 and within 120 days from the
date of receipt of adopted standards, review the standards of
adopting agencies and approve, return for amendment with recommended
changes, or reject building standards submitted to the commission for
its approval. When building standards are returned for amendment or
rejected, the commission shall inform the adopting agency or state
agency that proposes the building standards of the specific reasons
for the recommended changes or rejection, citing the criteria
required under Section 18930. When standards are not acted upon by
the commission within 120 days, the standards shall be approved,
including codification and publication in the California Building
Standards Code, without further review and without return or
rejection by the commission.
   (b)  Codify, including publish, all building standards of adopting
agencies or state agencies that propose the building standards and
statutes defining building standards into one California Building
Standards Code.
   (c)  Resolve conflict, duplication, and overlap in building
standards in the code.
   (d)  Ensure consistency in nomenclature and format in the code.
   (e)  In accordance with Section 18945, hear appeals resulting from
the administration of state building standards.
   (f)  Adopt any procedural regulations which it deems necessary to
administer this part.
  SEC. 2.5.  Section 18931.8 is added to the Health and Safety Code,
to read:
   18931.8.  The commission shall have the powers and authority
necessary to carry out the duties imposed upon it by this chapter,
including, but not limited to, both of the following:
   (a) To accept any federal funds granted by an act of Congress or
by an Executive order for any purpose of this chapter.
   (b) To accept any gift, donation, grant, bequest, or other funding
for any purpose of this chapter.
  SEC. 2.6.  Section 18934.7 of the Health and Safety Code is amended
to read:
   18934.7.   The commission shall adopt, approve, codify, and
publish by reference in the California Building Standards Code the
building standards in Appendix Chapter 1 of the International
Existing Building Code of the International Code Council to provide
minimum standards for buildings specified in that appendix, except
for buildings subject to building standards adopted pursuant to Part
1.5 (commencing with Section 17910).
  SEC. 2.7.  Section 18941.7 of the Health and Safety Code is amended
to read:
   18941.7.  A city, county, or other local agency may adopt, after a
public hearing and enactment of an ordinance or resolution, building
standards that prohibit entirely the use of graywater, or building
standards that are more restrictive than the graywater building
standards adopted by the Department of Housing and Community
Development under Section 17922.12 and published in the California
Building Standards Code.
  SEC. 2.8.  Section 18949.4 of the Health and Safety Code is amended
to read:
   18949.4.  The State Energy Resources Conservation and Development
Commission shall submit building standards to the commission for
review and approval pursuant to Section 18930 in accordance with the
time schedule established by the California Building Standards
Commission.
  SEC. 2.9.  Section 19996 of the Health and Safety Code is amended
to read:
   19996.  The department may promulgate informal hearing rules
pertaining to the hearing of appeals under the provisions of this
chapter.
  SEC. 3.  Section 33334.3 of the Health and Safety Code is amended
to read:
   33334.3.  (a) The funds that are required by Section 33334.2 or
33334.6 to be used for the purposes of increasing, improving, and
preserving the community's supply of low- and moderate-income housing
shall be held in a separate Low and Moderate Income Housing Fund
until used.
   (b) Any interest earned by the Low and Moderate Income Housing
Fund and any repayments or other income to the agency for loans,
advances, or grants, of any kind from the Low and Moderate Income
Housing Fund, shall accrue to and be deposited in, the fund and may
only be used in the manner prescribed for the Low and Moderate Income
Housing Fund.
   (c) The moneys in the Low and Moderate Income Housing Fund shall
be used to increase, improve, and preserve the supply of low- and
moderate-income housing within the territorial jurisdiction of the
agency.
   (d) It is the intent of the Legislature that the Low and Moderate
Income Housing Fund be used to the maximum extent possible to defray
the costs of production, improvement, and preservation of low- and
moderate-income housing and that the amount of money spent for
planning and general administrative activities associated with the
development, improvement, and preservation of that housing not be
disproportionate to the amount actually spent for the costs of
production, improvement, or preservation of that housing. The agency
shall determine annually that the planning and administrative
expenses are necessary for the production, improvement, or
preservation of low- and moderate-income housing.
   (e) (1) Planning and general administrative costs which may be
paid with moneys from the Low and Moderate Income Housing Fund are
those expenses incurred by the agency which are directly related to
the programs and activities authorized under subdivision (e) of
Section 33334.2 and are limited to the following:
   (A) Costs incurred for salaries, wages, and related costs of the
agency's staff or for services provided through interagency
agreements, and agreements with contractors, including usual indirect
costs related thereto.
   (B) Costs incurred by a nonprofit corporation which are not
directly attributable to a specific project.
   (2) Legal, architectural, and engineering costs and other
salaries, wages, and costs directly related to the planning and
execution of a specific project that are authorized under subdivision
(e) of Section 33334.2 and that are incurred by a nonprofit housing
sponsor are not planning and administrative costs for the purposes of
this section, but are instead project costs.
   (f) (1) The requirements of this subdivision apply to all new or
substantially rehabilitated housing units developed or otherwise
assisted with moneys from the Low and Moderate Income Housing Fund,
pursuant to an agreement approved by an agency on or after January 1,
1988. Except to the extent that a longer period of time may be
required by other provisions of law, the agency shall require that
housing units subject to this subdivision shall remain available at
affordable housing cost to, and occupied by, persons and families of
low or moderate income and very low income and extremely low income
households for the longest feasible time, but for not less than the
following periods of time:
   (A) Fifty-five years for rental units. However, the agency may
replace rental units with equally affordable and comparable rental
units in another location within the community if (i) the replacement
units are available for occupancy prior to the displacement of any
persons and families of low or moderate income residing in the units
to be replaced and (ii) the comparable replacement units are not
developed with moneys from the Low and Moderate Income Housing Fund.
   (B) Forty-five years for owner-occupied units. However, the agency
may permit sales of owner-occupied units prior to the expiration of
the 45-year period for a price in excess of that otherwise permitted
under this subdivision pursuant to an adopted program which protects
the agency's investment of moneys from the Low and Moderate Income
Housing Fund, including, but not limited to, an equity sharing
program which establishes a schedule of equity sharing that permits
retention by the seller of a portion of those excess proceeds based
on the length of occupancy. The remainder of the excess proceeds of
the sale shall be allocated to the agency and deposited in the Low
and Moderate Income Housing Fund. Only the units originally assisted
by the agency shall be counted towards the agency's obligations under
Section 33413.
   (C) Fifteen years for mutual self-help housing units that are
occupied by and affordable to very low and low-income households.
However, the agency may permit sales of mutual self-help housing
units prior to expiration of the 15-year period for a price in excess
of that otherwise permitted under this subdivision pursuant to an
adopted program that (i) protects the agency's investment of moneys
from the Low and Moderate Income Housing Fund, including, but not
limited to, an equity sharing program that establishes a schedule of
equity sharing that permits retention by the seller of a portion of
those excess proceeds based on the length of occupancy; and (ii)
ensures through a recorded regulatory agreement, deed of trust, or
similar recorded instrument that if a mutual self-help housing unit
is sold at any time after expiration of the 15-year period and prior
to 45 years after the date of recording of the covenants or
restrictions required pursuant to paragraph (2), the agency recovers,
at a minimum, its original principal from the Low and Moderate
Income Housing Fund from the proceeds of the sale and deposits those
funds into the Low and Moderate Income Housing Fund. The remainder of
the excess proceeds of the sale not retained by the seller shall be
allocated to the agency and deposited in the Low and Moderate Income
Housing Fund. For the purposes of this subparagraph, "mutual
self-help housing unit" means an owner-occupied housing unit for
which persons and families of very low and low income contribute no
fewer than 500 hours of their own labor in individual or group
efforts to provide a decent, safe, and sanitary ownership housing
unit for themselves, their families, and others authorized to occupy
that unit. Nothing in this subparagraph precludes the agency and the
developer of the mutual self-help housing units from agreeing to
45-year deed restrictions.
   (2) If land on which those dwelling units are located is deleted
from the project area, the agency shall continue to require that
those units remain affordable as specified in this subdivision.
   (3) The agency shall require the recording in the office of the
county recorder of the following documents:
   (A) The covenants or restrictions implementing this subdivision
for each parcel or unit of real property subject to this subdivision.
The agency shall obtain and maintain a copy of the recorded
covenants or restrictions for not less than the life of the covenant
or restriction.
   (B) For all new or substantially rehabilitated units developed or
otherwise assisted with moneys from the Low and Moderate Income
Housing Fund on or after January 1, 2008, a separate document called
"Notice of Affordability Restrictions on Transfer of Property," set
forth in 14-point type or larger. This document shall contain all of
the following information:
   (i) A recitation of the affordability covenants or restrictions.
If the document recorded under this subparagraph is recorded
concurrently with the covenants or restrictions recorded under
subparagraph (A), the recitation of the affordability covenants or
restrictions shall also reference the concurrently recorded document.
If the document recorded under this subparagraph is not recorded
concurrently with the covenants or restrictions recorded under
subparagraph (A), the recitation of the affordability covenants or
restrictions shall also reference the recorder's identification
number of the document recorded under subparagraph (A).
   (ii) The date the covenants or restrictions expire.
   (iii) The street address of the property, including, if
applicable, the unit number, unless the property is used to
confidentially house victims of domestic violence.
   (iv) The assessor's parcel number for the property.
   (v) The legal description of the property.
   (4) The agency shall require the recording of the document
required under subparagraph (B) of paragraph (3) not more than 30
days after the date of recordation of the covenants or restrictions
required under subparagraph (A) of paragraph (3).
   (5) The county recorder shall index the documents required to be
recorded under paragraph (3) by the agency and current owner.
   (6) Notwithstanding Section 27383 of the Government Code, a county
recorder may charge all authorized recording fees to any party,
including a public agency, for recording the document specified in
subparagraph (B) of paragraph (3).
   (7) Notwithstanding any other provision of law, the covenants or
restrictions implementing this subdivision shall run with the land
and shall be enforceable against any owner who violates a covenant or
restriction and each successor in interest who continues the
violation, by any of the following:
   (A) The agency.
   (B) The community, as defined in Section 33002.
   (C) A resident of a unit subject to this subdivision.
   (D) A residents' association with members who reside in units
subject to this subdivision.
   (E) A former resident of a unit subject to this subdivision who
last resided in that unit.
   (F) An applicant seeking to enforce the covenants or restrictions
for a particular unit that is subject to this subdivision, if the
applicant conforms to all of the following:
   (i) Is of low or moderate income, as defined in Section 50093.
   (ii) Is able and willing to occupy that particular unit.
   (iii) Was denied occupancy of that particular unit due to an
alleged breach of a covenant or restriction implementing this
subdivision.
   (G) A person on an affordable housing waiting list who is of low
or moderate income, as defined in Section 50093, and who is able and
willing to occupy a unit subject to this subdivision.
   (8) A dwelling unit shall not be counted as satisfying the
affordable housing requirements of this part, unless covenants for
that dwelling unit are recorded in compliance with subparagraph (A)
of paragraph (3).
   (9) Failure to comply with the requirements of subparagraph (B) of
paragraph (3) shall not invalidate any covenants or restrictions
recorded pursuant to subparagraph (A) of paragraph (3).
   (g) "Housing," as used in this section, includes residential
hotels, as defined in subdivision (k) of Section 37912. The
definitions of "lower income households," "very low income
households," and "extremely low income households" in Sections
50079.5, 50105, and 50106 shall apply to this section. "Longest
feasible time," as used in this section, includes, but is not limited
to, unlimited duration.
   (h) "Increasing, improving, and preserving the community's supply
of low- and moderate-income housing," as used in this section and in
Section 33334.2, includes the preservation of rental housing units
assisted by federal, state, or local government on the condition that
units remain affordable to, and occupied by, low- and
moderate-income households, including extremely low and very low
income households, for the longest feasible time, but not less than
55 years, beyond the date the subsidies and use restrictions could be
terminated and the assisted housing units converted to market rate
rentals. In preserving these units the agency shall require that the
units remain affordable to, and occupied by, persons and families of
low- and moderate-income and extremely low and very low income
households for the longest feasible time but not less than 55 years.
However, the agency may replace rental units with equally affordable
and comparable rental units in another location within the community
if (1) the replacement units in another location are available for
occupancy prior to the displacement of any persons and families of
low or moderate income residing in the units to be replaced and (2)
the comparable replacement units are not developed with moneys from
the Low and Moderate Income Housing Fund.
   (i) Agencies that have more than one project area may satisfy the
requirements of Sections 33334.2 and 33334.6 and of this section by
allocating, in any fiscal year, less than 20 percent in one project
area, if the difference between the amount allocated and the 20
percent required is instead allocated, in that same fiscal year, to
the Low and Moderate Income Housing Fund from tax increment revenues
from other project areas. Prior to allocating funds pursuant to this
subdivision, the agency shall make the finding required by
subdivision (g) of Section 33334.2.
   (j) Funds from the Low and Moderate Income Housing Fund shall not
be used to the extent that other reasonable means of private or
commercial financing of the new or substantially rehabilitated units
at the same level of affordability and quantity are reasonably
available to the agency or to the owner of the units. Prior to the
expenditure of funds from the Low and Moderate Income Housing Fund
for new or substantially rehabilitated housing units, where those
funds will exceed 50 percent of the cost of producing the units, the
agency shall find, based on substantial evidence, that the use of the
funds is necessary because the agency or owner of the units has made
a good faith attempt but been unable to obtain commercial or private
means of financing the units at the same level of affordability and
quantity.
  SEC. 3.5.  Section 33418 of the Health and Safety Code is amended
to read:
   33418.  (a) An agency shall monitor, on an ongoing basis, any
housing affordable to persons and families of low or moderate income
developed or otherwise made available pursuant to any provisions of
this part. As part of this monitoring, an agency shall require owners
or managers of the housing to submit an annual report to the agency.
The annual reports shall include for each rental unit the rental
rate and the income and family size of the occupants, and for each
owner-occupied unit whether there was a change in ownership from the
prior year and, if so, the income and family size of the new owners.
The income information required by this section shall be supplied by
the tenant in a certified statement on a form provided by the agency.

   (b) The data specified in subdivision (a) shall be obtained by the
agency from owners and managers of the housing specified therein and
current data shall be included in any reports required by law to be
submitted to the Department of Housing and Community Development or
the Controller. The information on income and family size that is
required to be reported by the owner or manager shall be supplied by
the tenant and shall be the only information on income or family size
that the owner or manager shall be required to submit on his or her
annual report to the agency.
   (c) (1) The agency shall compile and maintain a database of
existing, new and substantially rehabilitated, housing units
developed or otherwise assisted with moneys from the Low and Moderate
Income Housing Fund, or otherwise counted towards the requirements
of subdivision (a) or (b) of Section 33413. The database shall be
made available to the public on the Internet and updated on an annual
basis and shall include the date the database was last updated. The
database shall require all of the following information for each
owner-occupied unit or rental unit, or for each group of units, if
more than one unit is subject to the same covenant:
   (A) The street address and assessor's parcel number of the
property.
   (B) The size of each unit, measured by the number of bedrooms.
   (C) The year in which the construction or substantial
rehabilitation of the unit was completed.
   (D) The date of recordation and document number of the
affordability covenants or restrictions required under subdivision
(f) of Section 33334.3.
   (E) The date on which the covenants or restrictions expire.
   (F) For owner-occupied units that have changed ownership during
the reporting year, as described in subdivision (a), the date and
document number of the new affordability covenants or other documents
recorded to assure that the affordability restriction is enforceable
and continues to run with the land.
   (G) Whether occupancy in the unit or units is restricted to any
special population, including senior citizens.
   (2) Notwithstanding subparagraphs (A) and (D) of paragraph (1),
the database shall omit any property used to confidentially house
victims of domestic violence.
   (3) Upon establishment of a database under this section, the
agency shall provide reasonable notice to the community regarding the
existence of the database.
   (d) The agency shall adequately fund its monitoring activities as
needed to insure compliance of applicable laws and agreements in
relation to affordable units. For purposes of defraying the cost of
complying with the requirements of this section and the changes in
reporting requirements of Section 33080.4 enacted by the act enacting
this section, an agency may establish and impose fees upon owners of
properties monitored pursuant to this section.
  SEC. 4.  Section 33440 of the Health and Safety Code is amended to
read:
   33440.  Except as provided in Article 9 (commencing with Section
33410) and in Section 33449, this part does not authorize an agency
to construct any of the buildings for residential, commercial,
industrial, or other use contemplated by the redevelopment plan,
except that, in addition to its powers under Section 33445, an agency
may construct foundations, platforms, and other like structural
forms necessary for the provision or utilization of air rights sites
for buildings to be used for residential, commercial industrial, or
other uses contemplated by the redevelopment plan.
  SEC. 5.  Section 33449 of the Health and Safety Code is amended to
read:
   33449.  Notwithstanding Section 33440, or any other provision of
law, an agency may, inside or outside any project area, acquire land,
donate land, improve sites, or construct or rehabilitate structures
in order to provide housing for persons and families of low or
moderate income, as defined in Section 50093, and very low income
households, as defined in Section 50105, and may provide subsidies
to, or for the benefit of, such persons and families or households to
assist them in obtaining housing within the community.
   Except as otherwise authorized by law, nothing in this section
shall empower an agency to operate a rental housing development
beyond such period as is reasonably necessary to sell or lease the
housing development.
   This section shall apply to all redevelopment project areas for
which a redevelopment plan has been adopted, whether the
redevelopment plan is adopted before or after January 1, 1976.
                                                                SEC.
5.5.  Section 33490 of the Health and Safety Code is amended to read:

   33490.  (a) (1) (A) On or before December 31, 1994, and each five
years thereafter, each agency that has adopted a redevelopment plan
prior to December 31, 1993, shall adopt, after a public hearing, an
implementation plan that shall contain the specific goals and
objectives of the agency for the project area, the specific programs,
including potential projects, and estimated expenditures proposed to
be made during the next five years, and an explanation of how the
goals and objectives, programs, and expenditures will eliminate
blight within the project area and implement the requirements of
Section 33333.10, if applicable, and Sections 33334.2, 33334.4,
33334.6, and 33413. After adoption of the first implementation plan,
the parts of the implementation plan that address Section 33333.10,
if applicable, and Sections 33334.2, 33334.4, 33334.6, and 33413
shall be adopted every five years either in conjunction with the
housing element cycle or the implementation plan cycle and shall be
made available to the public on the Internet. The agency may amend
the implementation plan after conducting a public hearing on the
proposed amendment. If an action attacking the adoption, approval, or
validity of a redevelopment plan adopted prior to January 1, 1994,
has been brought pursuant to Chapter 5 (commencing with Section
33500), the first implementation plan required pursuant to this
section shall be adopted within six months after a final judgment or
order has been entered. Subsequent implementation plans required
pursuant to this section shall be adopted pursuant to the terms of
this section, and as if the first implementation plan had been
adopted on or before December 31, 1994.
   (B) Adoption of an implementation plan shall not constitute an
approval of any specific program, project, or expenditure and shall
not change the need to obtain any required approval of a specific
program, project, or expenditure from the agency or community. The
adoption of an implementation plan shall not constitute a project
within the meaning of Section 21000 of the Public Resources Code.
However, the inclusion of a specific program, potential project, or
expenditure in an implementation plan prepared pursuant to
subdivision (c) of Section 33352 in conjunction with a redevelopment
plan adoption shall not eliminate analysis of those programs,
potential projects, and expenditures in the environmental impact
report prepared pursuant to subdivision (k) of Section 33352 to the
extent that it would be otherwise required. In addition, the
inclusion of programs, potential projects, and expenditures in an
implementation plan shall not eliminate review pursuant to the
California Environmental Quality Act (Division 13 (commencing with
Section 21000) of the Public Resources Code), at the time of the
approval of the program, project, or expenditure, to the extent that
it would be otherwise required.
   (2) (A) A portion of the implementation plan shall address the
agency housing responsibilities and shall contain a section
addressing Section 33333.10, if applicable, and Sections 33334.2,
33334.4, and 33334.6, the Low and Moderate Income Housing Fund, and,
if subdivision (b) of Section 33413 applies, a section addressing
agency developed and project area housing. The section addressing the
Low and Moderate Income Housing Fund shall contain:
   (i) The amount available in the Low and Moderate Income Housing
Fund and the estimated amounts which will be deposited in the Low and
Moderate Income Housing Fund during each of the next five years.
   (ii) A housing program with estimates of the number of new,
rehabilitated, or price restricted units to be assisted during each
of the five years and estimates of the expenditures of moneys from
the Low and Moderate Income Housing Fund during each of the five
years.
   (iii) A description of how the housing program will implement the
requirement for expenditures of moneys in the Low and Moderate Income
Housing Fund over a 10-year period for various groups as required by
Section 33334.4. For project areas to which subdivision (b) of
Section 33413 applies, the 10-year period within which Section
33334.4 is required to be implemented shall be the same 10-year
period within which subdivision (b) of Section 33413 is required to
be implemented. Notwithstanding the first sentence of Section 33334.4
and the first sentence of this clause, in order to allow these two
10-year time periods to coincide for the first time period, the time
to implement the requirements of Section 33334.4 shall be extended
two years, and project areas in existence on December 31, 1993, shall
implement the requirements of Section 33334.4 on or before December
31, 2014, and each 10 years thereafter rather than December 31, 2012.
For project areas to which subdivision (b) of Section 33413 does not
apply, the requirements of Section 33334.4 shall be implemented on
or before December 31, 2014, and each 10 years thereafter.
   (iv) This requirement to include a description of how the housing
program will implement Section 33334.4 in the implementation plan
shall apply to implementation plans adopted pursuant to subdivision
(a) on or after December 31, 2002.
   (B) For each project area to which subdivision (b) of Section
33413 applies, the section addressing the agency developed and
project area housing shall contain:
   (i) Estimates of the number of new, substantially rehabilitated or
price restricted residential units to be developed or purchased
within one or more project areas, both over the life of the plan and
during the next 10 years.
   (ii) Estimates of the number of units of very low, low-, and
moderate-income households required to be developed within one or
more project areas in order to meet the requirements of paragraph (2)
of subdivision (b) of Section 33413, both over the life of the plan
and during the next 10 years.
   (iii) The number of units of very low, low-, and moderate-income
households which have been developed within one or more project areas
which meet the requirements of paragraph (2) of subdivision (b) of
Section 33413.
   (iv) Estimates of the number of agency developed residential units
which will be developed during the next five years, if any, which
will be governed by paragraph (1) of subdivision (b) of Section
33413.
   (v) Estimates of the number of agency developed units for very
low, low-, and moderate-income households which will be developed by
the agency during the next five years to meet the requirements of
paragraph (1) of subdivision (b) of Section 33413.
   (C) The section addressing Section 33333.10, if applicable, and
Section 33334.4 shall contain all of the following:
   (i) The number of housing units needed for very low income
persons, low-income persons, and moderate-income persons as each of
those needs have been identified in the most recent determination
pursuant to Section 65584 of the Government Code, and the proposed
amount of expenditures from the Low and Moderate Income Housing Fund
for each income group during each year of the implementation plan
period.
   (ii) The total population of the community and the population
under 65 years of age as reported in the most recent census of the
United States Census Bureau.
   (iii) A housing program that provides a detailed schedule of
actions the agency is undertaking or intends to undertake to ensure
expenditure of the Low and Moderate Income Housing Fund in the
proportions required by Section 33333.10, if applicable, and Section
33334.4.
   (iv) For the previous implementation plan period, the amounts of
Low and Moderate Income Housing Fund moneys utilized to assist units
affordable to, and occupied by, extremely low income households, very
low income households, and low-income households; the number, the
location, and level of affordability of units newly constructed with
other locally controlled government assistance and without agency
assistance and that are required to be affordable to, and occupied
by, persons of low, very low, or extremely low income for at least 55
years for rental housing or 45 years for homeownership housing, and
the amount of Low and Moderate Income Housing Fund moneys utilized to
assist housing units available to families with children, and the
number, location, and level of affordability of those units.
   (3) If the implementation plan contains a project that will result
in the destruction or removal of dwelling units that will have to be
replaced pursuant to subdivision (a) of Section 33413, the
implementation plan shall identify proposed locations suitable for
those replacement dwelling units.
   (4) For a project area that is within six years of the time limit
on the effectiveness of the redevelopment plan established pursuant
to Section 33333.2, 33333.6, 33333.7, or 33333.10, the portion of the
implementation plan addressing the housing responsibilities shall
specifically address the ability of the agency to comply, prior to
the time limit on the effectiveness of the redevelopment plan, with
subdivision (a) of Section 33333.8, subdivision (a) of Section 33413
with respect to replacement dwelling units, subdivision (b) of
Section 33413 with respect to project area housing, and the
disposition of the remaining moneys in the Low and Moderate Income
Housing Fund.
   (5) The implementation plan shall identify the fiscal year that
the agency expects each of the following time limits to expire:
   (A) The time limit for the commencement for eminent domain
proceedings to acquire property within the project area.
   (B) The time limit for the establishment of loans, advances, and
indebtedness to finance the redevelopment project.
   (C) The time limit for the effectiveness of the redevelopment
plan.
   (D) The time limit to repay indebtedness with the proceeds of
property taxes.
   (b) For a project area for which a redevelopment plan is adopted
on or after January 1, 1994, the implementation plan prepared
pursuant to subdivision (c) of Section 33352 shall constitute the
initial implementation plan and thereafter the agency after a public
hearing shall adopt an implementation plan every five years
commencing with the fifth year after the plan has been adopted.
Agencies may adopt implementation plans that include more than one
project area.
   (c) Every agency, at least once within the five-year term of the
plan, shall conduct a public hearing and hear testimony of all
interested parties for the purpose of reviewing the redevelopment
plan and the corresponding implementation plan for each redevelopment
project within the jurisdiction and evaluating the progress of the
redevelopment project. The hearing required by this subdivision shall
take place no earlier than two years and no later than three years
after the adoption of the implementation plan. For a project area
that is within three years of the time limit on the effectiveness of
the redevelopment plan established pursuant to Section 33333.2,
33333.6, 33333.7, or 33333.10, the review shall specifically address
those items in paragraph (4) of subdivision (a). An agency may hold
one hearing for two or more project areas if those project areas are
included within the same implementation plan.
   (d) Notice of public hearings conducted pursuant to this section
shall be published pursuant to Section 6063 of the Government Code,
mailed at least three weeks in advance to all persons and agencies
that have requested notice, and posted in at least four permanent
places within the project area for a period of three weeks.
Publication, mailing, and posting shall be completed not less than 10
days prior to the date set for hearing.
  SEC. 6.  Section 50517.10 of the Health and Safety Code is amended
to read:
   50517.10.  In addition to the purposes specified in subdivision
(a) of Section 50517.5, the department may make grants and loans
under the Joe Serna, Jr. Farmworker Housing Grant Program to local
public entities and nonprofit corporations in order to establish
capitalized operating reserves for short-term occupancy housing for
migrant farmworker households, purchase land for, and construct,
housing structures for short-term occupancy by migrant farmworker
households, lease or purchase existing structures for short-term
occupancy by migrant farmworker households, and, where the department
determines that extraordinary or emergency circumstances exist,
directly rent or lease housing for short-term occupancy by migrant
farmworker households.
  SEC. 6.5.  Section 50517.11 of the Health and Safety Code is
repealed.
  SEC. 7.  The heading of Chapter 8.5 (commencing with Section 50705)
of Part 2 of Division 31 of the Health and Safety Code, as added by
Section 2 of Chapter 652 of the Statutes of 2007, is amended and
renumbered to read:
      CHAPTER 8.3.  AFFORDABLE HOUSING REVOLVING DEVELOPMENT AND
ACQUISITION PROGRAM


  SEC. 8.  Section 50705 of the Health and Safety Code is amended to
read:
   50705.  (a) The Affordable Housing Revolving Development and
Acquisition Program is hereby established for the purpose of funding
the acquisition of property to develop or preserve affordable
housing. The program will be comprised of a Loan Fund and a
Practitioner Fund.
   (b) The department shall adopt guidelines for the operation of the
program. The guidelines shall not be subject to the requirements of
Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3
of Title 2 of the Government Code. The department shall adopt
regulations for the program prior to issuing any request for
qualifications funded with loan repayments or any other sources.
  SEC. 9.  Section 50802.1 of the Health and Safety Code is repealed.

  SEC. 10.  Section 53545 of the Health and Safety Code is amended to
read:
   53545.  The Housing and Emergency Shelter Trust Fund of 2006 is
hereby created in the State Treasury. The Legislature intends that
the proceeds of bonds deposited in the fund shall be used to fund the
housing-related programs described in this chapter over the course
of the next decade. The proceeds of bonds issued and sold pursuant to
this part for the purposes specified in this chapter shall be
allocated in the following manner:
   (a) (1) One billion five hundred million dollars ($1,500,000,000)
to be deposited in the Affordable Housing Account, which is hereby
created in the fund. Notwithstanding Section 13340 of the Government
Code, the money in the account shall be continuously appropriated in
accordance with the following schedule:
   (A) (i) Three hundred forty-five million dollars ($345,000,000)
shall be transferred to the Housing Rehabilitation Loan Fund to be
expended for the Multifamily Housing Program authorized by Chapter
6.7 (commencing with Section 50675) of Part 2. The priorities
specified in Section 50675.13 shall apply to the expenditure of funds
pursuant to this clause.
   (ii) Fifty million dollars ($50,000,000) shall be transferred to
the Housing Rehabilitation Loan Fund to be expended under the
Multifamily Housing Program authorized by Chapter 6.7 (commencing
with Section 50675) of Part 2 for housing meeting the definitions in
paragraphs (2) and (3) of subdivision (e) of Section 11139.3 of the
Government Code. The department may provide higher per-unit loan
limits as necessary to achieve affordable housing costs to the target
population. Any funds not encumbered for the purposes of this clause
by July 31, 2011, shall revert for general use in the Multifamily
Housing Program unless the department determines that funds should
revert sooner due to diminished demand.
   (B) One hundred ninety-five million dollars ($195,000,000) shall
be transferred to the Housing Rehabilitation Loan Fund to be expended
for the Multifamily Housing Program authorized by Chapter 6.7
(commencing with Section 50675) of Part 2, to be used for supportive
housing for individuals and households moving from emergency shelters
or transitional housing or those at risk of homelessness. The
Department of Housing and Community Development shall provide for
higher per-unit loan limits as reasonably necessary to achieve
housing costs affordable to those individuals and households. For
purposes of this subparagraph, "supportive housing" means housing
with no limit on length of stay, that is occupied by the target
population, as defined in subdivision (d) of Section 53260, and that
is linked to onsite or offsite services that assist the tenant to
retain the housing, improve his or her health status, maximize his or
her ability to live, and, when possible, work in the community. The
criteria for selecting projects shall give priority to:
   (i) Supportive housing for people with disabilities who would
otherwise be at high risk of homelessness where the applications
represent collaboration with programs that meet the needs of the
person's disabilities.
   (ii) Projects that demonstrate funding commitments from local
governments for operating subsidies or services funding, or both, for
five years or longer.
   (C) One hundred thirty-five million dollars ($135,000,000) shall
be transferred to the fund created by subdivision (b) of Section
50517.5 to be expended for the programs authorized by Chapter 3.2
(commencing with Section 50517.5) of Part 2.
   (D) Three hundred million dollars ($300,000,000) shall be
transferred to the Self-Help Housing Fund created by Section 50697.1.
These funds shall be available to the Department of Housing and
Community Development, to be expended for the purposes of enabling
households to become or remain homeowners pursuant to the CalHome
Program authorized by Chapter 6 (commencing with Section 50650) of
Part 2, except ten million dollars ($10,000,000) shall be expended
for construction management under the California Self-Help Housing
Program pursuant to subdivision (b) of Section 50696.
   (E) Two hundred million dollars ($200,000,000) shall be
transferred to the Self-Help Housing Fund created by Section 50697.1.
These funds shall be available to the California Housing Finance
Agency, to be expended for the purposes of the California Homebuyer's
Downpayment Assistance Program authorized by Chapter 11 (commencing
with Section 51500) of Part 3. Up to one hundred million dollars
($100,000,000) of these funds may be expended pursuant to subdivision
(b) of Section 51504.
   (F) One hundred million dollars ($100,000,000) shall be
transferred to the Affordable Housing Innovation Fund, which is
hereby created in the State Treasury, to be administered by the
Department of Housing and Community Development. Funds shall be
expended for competitive grants or loans to sponsoring entities that
develop, own, lend, or invest in affordable housing and used to
create pilot programs to demonstrate innovative, cost-saving
approaches to creating or preserving affordable housing. Specific
criteria establishing eligibility for and use of the funds shall be
established in statute as approved by a 2/3 vote of each house of the
Legislature. Any funds not encumbered for the purposes set forth in
this subparagraph within 30 months of availability shall revert to
the Self-Help Housing Fund created by Section 50697.1 and shall be
available for the purposes described in subparagraph (D).
   (G) One hundred twenty-five million dollars ($125,000,000) shall
be transferred to the Building Equity and Growth in Neighborhoods
Fund to be used for the Building Equity and Growth in Neighborhoods
(BEGIN) Program pursuant to Chapter 14.5 (commencing with Section
50860) of Part 1. Any funds not encumbered for the purposes set forth
in this subparagraph by November 17, 2011, shall revert for general
use in the CalHome Program unless the department determines that
funds should revert sooner due to diminished demand.
   (H) Fifty million dollars ($50,000,000) shall be transferred to
the Emergency Housing and Assistance Fund to be distributed in the
form of capital development grants under the Emergency Housing and
Assistance Program authorized by Chapter 11.5 (commencing with
Section 50800) of Part 2 of Division 31. The funds shall be
administered by the Department of Housing and Community Development
in a manner consistent with the restrictions and authorizations
contained in Provision 3 of Item 2240-105-0001 of the Budget Act of
2000, except that any appropriations in that item shall not apply.
The competitive system used by the department shall incorporate
priorities set by the designated local boards and their input as to
the relative merits of submitted applications from within the
designated local board's county in relation to those priorities. In
addition, the funding limitations contained in this section shall not
apply to the appropriation in that budget item.
   (2) The Legislature may, from time to time, amend the provisions
of law related to programs to which funds are, or have been,
allocated pursuant to this subdivision for the purpose of improving
the efficiency and effectiveness of the program, or for the purpose
of furthering the goals of the program.
   (3) With the revenues from bond proceeds issued and sold pursuant
to this part, the Bureau of State Audits shall conduct periodic
audits to ensure that bond proceeds are awarded in a timely fashion
and in a manner consistent with the requirements of this section, and
that awardees of bond proceeds are using funds in compliance with
applicable provisions of this section. The first audit shall be
conducted no later than one year from voter approval of this part.
   (4) In its annual report to the Legislature, the Department of
Housing and Community Development shall report how funds that were
made available pursuant to this subdivision and allocated in the
prior year were expended. The department shall make the report
available to the public on its Internet Web site.
   (b) Eight hundred fifty million dollars ($850,000,000) shall be
deposited in the Regional Planning, Housing, and Infill Incentive
Account, which is hereby created in the fund. Funds in the account
shall be available, upon appropriation by the Legislature, and
subject to such other conditions and criteria as the Legislature may
provide in statute, for the following purposes:
   (1) For infill incentive grants for capital outlay related to
infill housing development and other related infill development,
including, but not limited to, all of the following:
   (A) No more than two hundred million dollars ($200,000,000) for
park creation, development, or rehabilitation to encourage infill
development.
   (B) Water, sewer, or other public infrastructure costs associated
with infill development.
   (C) Transportation improvements related to infill development
projects.
   (D) Traffic mitigation.
   (2) For brownfield cleanup that promotes infill housing
development and other related infill development consistent with
regional and local plans.
   (c) Three hundred million dollars ($300,000,000) to be deposited
in the Transit-Oriented Development Account, which is hereby created
in the fund, for transfer to the Transit-Oriented Development
Implementation Fund, for expenditure, upon appropriation by the
Legislature, pursuant to the Transit-Oriented Development
Implementation Program authorized by Part 13 (commencing with Section
53560).
   (d) Two hundred million dollars ($200,000,000) shall be deposited
in the Housing Urban-Suburban-and-Rural Parks Account, which is
hereby created in the fund. Funds in the account shall be available
upon appropriation by the Legislature for housing-related parks
grants in urban, suburban, and rural areas, subject to the conditions
and criteria that the Legislature may provide in statute.
   SEC. 10.2.    Section 53545 of the   Health
and Safety Code   is amended to read: 
   53545.  The Housing and Emergency Shelter Trust Fund of 2006 is
hereby created in the State Treasury. The Legislature intends that
the proceeds of bonds deposited in the fund shall be used to fund the
housing-related programs described in this chapter over the course
of the next decade. The proceeds of bonds issued and sold pursuant to
this part for the purposes specified in this chapter shall be
allocated in the following manner:
   (a) (1) One billion five hundred million dollars ($1,500,000,000)
to be deposited in the Affordable Housing Account, which is hereby
created in the fund. Notwithstanding Section 13340 of the Government
Code, the money in the account shall be continuously appropriated in
accordance with the following schedule:
   (A) (i) Three hundred forty-five million dollars ($345,000,000)
shall be transferred to the Housing Rehabilitation Loan Fund to be
expended for the Multifamily Housing Program authorized by Chapter
6.7 (commencing with Section 50675) of Part 2. The priorities
specified in Section 50675.13 shall apply to the expenditure of funds
pursuant to this clause.
   (ii) Fifty million dollars ($50,000,000) shall be transferred to
the Housing Rehabilitation Loan Fund to be expended under the
Multifamily Housing Program authorized by Chapter 6.7 (commencing
with Section 50675) of Part 2 for housing meeting the definitions in
paragraphs (2) and (3) of subdivision (e) of Section 11139.3 of the
Government Code. The department may provide higher per-unit loan
limits as necessary to achieve affordable housing costs to the target
population. Any funds not encumbered for the purposes of this clause
by July 31, 2011, shall revert for general use in the Multifamily
Housing Program unless the department determines that funds should
revert sooner due to diminished demand.
   (B) One hundred ninety-five million dollars ($195,000,000) shall
be transferred to the Housing Rehabilitation Loan Fund to be expended
for the Multifamily Housing Program authorized by Chapter 6.7
(commencing with Section 50675) of Part 2, to be used for supportive
housing for individuals and households moving from emergency shelters
or transitional housing or those at risk of homelessness. The
Department of Housing and Community Development shall provide for
higher per-unit loan limits as reasonably necessary to achieve
housing costs affordable to those individuals and households. For
purposes of this subparagraph, "supportive housing" means housing
with no limit on length of stay, that is occupied by the target
population, as defined in subdivision (d) of Section 53260, and that
is linked to onsite or offsite services that assist the tenant to
retain the housing, improve his or her health status, maximize his or
her ability to live, and, when possible, work in the community. The
criteria for selecting projects shall give priority to:
   (i) Supportive housing for people with disabilities who would
otherwise be at high risk of homelessness where the applications
represent collaboration with programs that meet the
                          needs of the person's disabilities.
   (ii) Projects that demonstrate funding commitments from local
governments for operating subsidies or services funding, or both, for
five years or longer.
   (C) One hundred thirty-five million dollars ($135,000,000) shall
be transferred to the fund created by subdivision (b) of Section
50517.5 to be expended for the programs authorized by Chapter 3.2
(commencing with Section 50517.5) of Part 2.
   (D) Three hundred million dollars ($300,000,000) shall be
transferred to the Self-Help Housing Fund created by Section 50697.1.
These funds shall be available to the Department of Housing and
Community Development, to be expended for the purposes of enabling
households to become or remain homeowners pursuant to the CalHome
Program authorized by Chapter 6 (commencing with Section 50650) of
Part 2, except ten million dollars ($10,000,000) shall be expended
for construction management under the California Self-Help Housing
Program pursuant to subdivision (b) of Section 50696.
   (E) Two hundred million dollars ($200,000,000) shall be
transferred to the Self-Help Housing Fund created by Section 50697.1.
These funds shall be available to the California Housing Finance
Agency, to be expended for the purposes of the California Homebuyer's
Downpayment Assistance Program authorized by Chapter 11 (commencing
with Section 51500) of Part 3. Up to one hundred million dollars
($100,000,000) of these funds may be expended pursuant to subdivision
(b) of Section 51504.
   (F) One hundred million dollars ($100,000,000) shall be
transferred to the Affordable Housing Innovation Fund, which is
hereby created in the State Treasury, to be administered by the
Department of Housing and Community Development. Funds shall be
expended for competitive grants or loans to sponsoring entities that
develop, own, lend, or invest in affordable housing and used to
create pilot programs to demonstrate innovative, cost-saving
approaches to creating or preserving affordable housing. Specific
criteria establishing eligibility for and use of the funds shall be
established in statute as approved by a 2/3 vote of each house of the
Legislature. Any funds not encumbered for the purposes set forth in
this subparagraph within 30 months of availability shall revert to
the Self-Help Housing Fund created by Section 50697.1 and shall be
available for the purposes described in subparagraph (D).
   (G) One hundred twenty-five million dollars ($125,000,000) shall
be transferred to the Building Equity and Growth in Neighborhoods
Fund to be used for the Building Equity and Growth in Neighborhoods
(BEGIN) Program pursuant to Chapter 14.5 (commencing with Section
50860) of Part 1. Any funds not encumbered for the purposes set forth
in this subparagraph by November 17, 2011, shall revert for general
use in the CalHome Program unless the department determines that
funds should revert sooner due to diminished demand. 
   (H) Fifty million dollars ($50,000,000) shall be transferred to
the Emergency Housing and Assistance Fund for both of the following
purposes:  
   (H) Fifty million dollars ($50,000,000) shall be transferred to
the Emergency Housing and Assistance Fund to be distributed in the
form
    (i)   Distribution  of capital development
grants under the Emergency Housing and Assistance Program authorized
by Chapter 11.5 (commencing with Section 50800) of Part 2 of Division
31. The funds shall be administered by the Department of Housing and
Community Development in a manner consistent with the restrictions
and authorizations contained in Provision 3 of Item 2240-105-0001 of
the Budget Act of 2000, except that any appropriations in that item
shall not apply. The competitive system used by the department shall
incorporate priorities set by the designated local boards and their
input as to the relative merits of submitted applications from within
the designated local board's county in relation to those priorities.
In addition, the funding limitations contained in this section shall
not apply to the appropriation in that budget item. 
   (ii) The availability of funds for supportive housing purposes
specified in subparagraph (B). 
   (2) The Legislature may, from time to time, amend the provisions
of law related to programs to which funds are, or have been,
allocated pursuant to this subdivision for the purpose of improving
the efficiency and effectiveness of the program, or for the purpose
of furthering the goals of the program.
   (3)  The   With the revenues from bond
proceeds issued and sold pursuant to this part, the  Bureau of
State Audits shall conduct periodic audits to ensure that bond
proceeds are awarded in a timely fashion and in a manner consistent
with the requirements of this  subdivision  
section  , and that awardees of bond proceeds are using funds in
compliance with applicable provisions of this  subdivision
  section  . The first audit shall be conducted no
later than one year from voter approval of this part.
   (4) In its annual report to the Legislature, the Department of
Housing and Community Development shall report how funds that were
made available pursuant to this subdivision and allocated in the
prior year were expended. The department shall make the report
available to the public on its Internet Web site.
   (b) Eight hundred fifty million dollars ($850,000,000) shall be
deposited in the Regional Planning, Housing, and Infill Incentive
Account, which is hereby created in the fund. Funds in the account
shall be available, upon appropriation by the Legislature, and
subject to such other conditions and criteria as the Legislature may
provide in statute, for the following purposes:
   (1) For infill incentive grants for capital outlay related to
infill housing development and other related infill development,
including, but not limited to, all of the following:
   (A) No more than two hundred million dollars ($200,000,000) for
park creation, development, or rehabilitation to encourage infill
development.
   (B) Water, sewer, or other public infrastructure costs associated
with infill development.
   (C) Transportation improvements related to infill development
projects.
   (D) Traffic mitigation.
   (2) For brownfield cleanup that promotes infill housing
development and other related infill development consistent with
regional and local plans.
   (c) Three hundred million dollars ($300,000,000) to be deposited
in the Transit-Oriented Development Account, which is hereby created
in the fund, for transfer to the Transit-Oriented Development
Implementation Fund, for expenditure, upon appropriation by the
Legislature, pursuant to the Transit-Oriented Development
Implementation Program authorized by Part 13 (commencing with Section
53560).
   (d) Two hundred million dollars ($200,000,000) shall be deposited
in the Housing Urban-Suburban-and-Rural Parks Account, which is
hereby created in the fund. Funds in the account shall be available
upon appropriation by the Legislature for housing-related parks
grants in urban, suburban, and rural areas, subject to the conditions
and criteria that the Legislature may provide in statute.
  SEC. 10.5.  Section 50963 is added to the Health and Safety Code,
to read:
   50963.  (a) The agency shall report to the Legislature, on or
before December 31, 2011, and 2012, on the status of funding awarded
to the agency through the federal Housing Finance Agencies Innovation
Fund for the federal Hardest-Hit Housing Markets program.
   (b) A report to be submitted pursuant to subdivision (a) shall be
submitted in compliance with Section 9795 of the Government Code.
   (c) Pursuant to Section 10231.5 of the Government Code, this
section is repealed on December 31, 2015.
  SEC. 11.  The changes made to paragraph (1) of subdivision (c) of
Section 65583 of the Government Code made by Section 1 of this act
correct a technical error in the drafting of Section 1 of Chapter 724
of the Statutes of 2004.
   SEC. 12.    Section 1.9 of this bill incorporates
amendments to Section 65583 of the Government Code proposed by both
this bill and SB 812. It shall only become operative if (1) both
bills are enacted and become effective on or before January 1, 2011,
(2) each bill amends Section 65583 of the Government Code, and (3)
this bill is enacted after SB 812, in which case Section 1.8 of this
bill shall not become operative. 
   SEC. 13.    Section 10.2 of this bill incorporates
amendments to Section 53545 of the Health and Safety Code proposed by
both this bill and AB 2536. It shall only become operative if (1)
both bills are enacted and become effective on or before January 1,
2011, (2) each bill amends Section 53545 of the Health and Safety
Code, and (3) this bill is enacted after AB 2536, in which case
Section 10 of this bill shall not become operative. 
                                                  ____ CORRECTIONS
Text--Pages 3 and 8.
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