BILL ANALYSIS Ó
AB 483
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CONCURRENCE IN SENATE AMENDMENTS
AB 483 (Torres)
As Amended June 23, 2011
Majority vote
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|ASSEMBLY: |79-0 |(May 23, 2011) |SENATE: |33-0 |(July 1, 2011) |
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Original Committee Reference: H. & C.D.
SUMMARY : Changes the definition of "target population" for
purposes of the Supportive Housing component of the Multi-Family
Housing Program (MHP-SH).
The Senate amendments :
1)Require each development receiving Supportive Housing Program
funds to set aside at least 40% of units for chronically
homeless persons; homeless youth; and, individuals exiting
institutional settings (e.g., jails, hospitals, prisons, and
institutes of mental disease), who were homeless when entering
the institutional setting, who have a disability, and who
resided in that setting for a period of not less than 15 days.
2)Allow HCD to reduce the 40% set aside if it determines that
the program is undersubscribed after issuing at least one
Notice of Funding Availability.
3)Make technical and clarifying changes.
AS PASSED BY THE ASSEMBLY , this bill:
1)Changes the definition of "target population" for purposes of
MHP-SH to mean any of the following:
a) Persons, including families, who meet the definition of
"chronic homelessness" in the United States (U.S.)
Department of Housing and Urban Development Super Notice of
Funding Availability (SuperNOFA) for Continuum of Care or
Collaborative Applicant Program;
b) Young adults and emancipated youth 25 years of age and
younger experiencing homelessness; or,
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c) Individuals exiting from institutional settings,
including, but not limited to, jails, hospitals, prisons,
and institutes of mental disease, who were homeless when
entering the institutional setting, who have a disability,
and who resided in that setting for a period of not less
than 15 days.
2)Specifies that persons who have lived in supportive housing
for less than 12 months and who otherwise would have qualified
under any of the above definitions may also be included in the
target population.
3)Adds the following to the data that MHP-SH borrowers must
report annually to the Department of Housing and Community
Development (HCD):
a) If a resident moved during the reporting period, the
reason for the move and the type of housing to which the
resident moved, if known; and,
b) The resident's housing status prior to occupancy,
including the term of the resident's homelessness.
FISCAL EFFECT : None
COMMENTS : The Multi-Family Housing Program (MHP) funds the
construction, rehabilitation, and preservation of permanent and
transitional rental homes for lower-income households. The
state's last two housing bonds, Proposition 46 of 2002 and
Proposition 1C of 2006 provided funding for MHP. MHP-SH, a
subset of MHP, requires sponsors to provide supportive services
such as case management, health care, and vocational services
for residents of the development. MHP-SH dollars have helped
fund the creation of over 2,400 supportive housing units
statewide.
Supportive housing is a proven cost-effective approach to
reducing chronic homelessness. It allows people suffering from
severe barriers to housing stability to remain stably housed.
Among homeless people with mental illness and substance
addiction, 81% of supportive housing residents remain stably
housed after one year. These individuals decreased their jail
days by 76%, their emergency department visits by 58%, and their
inpatient days by 57%. However, it is not cost-effective for
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those who only need an affordable place to live to prevent
homelessness.
MHP-SH currently allows funded projects to serve anyone who is
homeless or at risk of homelessness. Under MHP-SH regulations,
a household is "at risk of homelessness" if household income is
at less than 20% of area median income or state median income
(AMI or SMI) and the household has no rental subsidy, or if
household income is between 20% and 30% of AMI or SMI and the
household is facing immediate eviction, release from an
institution, an overcrowded living situation, substandard
housing, or housing costs of over 50% of the household's income.
Because of the broad definition of the MHP-SH target population,
some MHP-SH projects have assisted people who would never have
become homeless without supportive housing. Many among the
eligible population needed a more affordable home but not
necessarily the supportive services to remain housed.
This bill changes the definition of "target population" for
purposes of MHP-SH to ensure that the program serves individuals
who need supportive services, particularly the chronically
homeless, to ensure that program funds are being used
effectively. The bill redefines "target population" as any of
the following:
1)Persons and families meeting the definition of "chronic
homelessness" in the U.S. Department of Housing and Urban
Development SuperNOFA for Continuum of Care or Collaborative
Applicant Program.
2)Young adults and emancipated youth 25 years of age and younger
experiencing homelessness, including homeless young adults
exiting the foster care system.
3)Individuals exiting institutional settings, including, but not
limited to, jails, hospitals, prisons, and institutes of
mental disease, who were homeless when entering the
institutional setting, who have a disability, and who resided
in that setting for a period of not less than 15 days.
4)Persons who have lived in supportive housing for less than 12
months and who otherwise would have qualified as part of one
the above subgroups.
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This bill also adds additional reporting requirements for
borrowers under MHP-SH, including information on where a
resident moves upon leaving a supportive housing project, the
reason for the move and the type of housing to which the
resident moves, and information on residents' housing status
prior to moving into the development, including the length of
homelessness.
Analysis Prepared by : Anya Lawler / H. & C.D. / (916)
319-2085
FN: 0001471