BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                  SB 1392|
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                                    CONSENT


          Bill No:  SB 1392
          Author:   Steinberg (D)
          Amended:  4/22/10
          Vote:     21

           
           SENATE TRANSPORTATION & HOUSING COMMITTEE  :  8-0, 4/20/10
          AYES:  Lowenthal, Huff, Ashburn, DeSaulnier, Kehoe,  
            Oropeza, Pavley, Simitian
          NO VOTE RECORDED:  Harman

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8


           SUBJECT  :    Department of Housing and Community Development  

                      reporting requirements

           SOURCE  :     Author


           DIGEST  :    This bill requires the Department of Housing and  
          Community Development to include in its annual report for  
          each Proposition 1C program the amount of funds it awarded  
          and disbursed in the prior year on a per-project and  
          aggregate basis.

           ANALYSIS  :    Current law requires Department of Housing and  
          Community Development (HCD) to submit an annual report to  
          the Governor and both houses of the Legislature detailing  
          the operations and accomplishments of the housing programs  
          it administered in the previous fiscal year.  This report  
          must include: 
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          1. The number of units assisted by HCD programs.

          2. The number of individuals and households served and  
             their income levels.

          3. The distribution of units among various areas of the  
             state.

          4. The amount of other public and private funds leveraged.

          5. The extent to which the special housing needs of various  
             groups were met.

          6. Information on the activities of local agencies to  
             enforce the Employee Housing Act, which requires the  
             inspection of employee-owned housing.

          The Housing and Emergency Shelter Trust Fund Act of 2006  
          (Proposition 1C), SB 1689 (Perata), Chapter 27, Statutes of  
          2006, authorized the issuance of $2.85 billion in general  
          obligation bonds to finance various existing and new  
          housing programs.  For most, but not all of the programs  
          funded by Proposition 1C, the statute requires HCD to  
          include in its annual report information on how awardees  
          expended bond funds that HCD made available and allocated  
          in the prior year.  Because of a drafting issue, the  
          statute does not require HCD to report this information for  
          those programs that the Legislature amended into SB 1689  
          late in the process, namely the Infill Infrastructure Grant  
          Program, the Transit-Oriented Development Housing Program,  
          and the Housing-Related Parks Program.

          This bill requires HCD to include in its annual report the  
          following information for all of its Proposition 1C  
          programs:

          1. The amount of funds it made available and awarded in the  
             prior year on a per-project and aggregate basis.

          2. The amount of funds it encumbered in the prior year on a  
             per-project and aggregate basis.

           Comments







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           Purpose of the bill  .  Current law does not require HCD to  
          report on its specific activities for three of the biggest  
          Proposition 1C programs:  the Infill Infrastructure Grant  
          Program, the Transit-Oriented Development Housing Program,  
          and the Housing-Related Parks Program.  This bill ensures  
          that HCD reports on these programs and requires that HCD  
          include information on both the amount of funds awarded and  
          the amount of funds disbursed in the prior year on a  
          per-project and aggregate basis for each program.  This  
          allows the Legislature and the public to better track the  
          flow of Proposition 1C bond funds to construction projects.

           Related Legislation

           SB 608 (Ducheny) requires HCD to include in its annual  
          report cumulative information across years on programs  
          funded under the Housing and Emergency Shelter Trust Fund  
          Acts of 2002 and 2006.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No

          JJA:mw  5/11/10   Senate Floor Analyses 

                       SUPPORT/OPPOSITION:  NONE RECEIVED

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