BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    AB 2176


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          ASSEMBLY THIRD READING


          AB  
          2176 (Campos)


          As Amended  April 28, 2016


          Majority vote


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          |Committee       |Votes|Ayes                  |Noes                |
          |                |     |                      |                    |
          |                |     |                      |                    |
          |                |     |                      |                    |
          |----------------+-----+----------------------+--------------------|
          |Housing         |7-0  |Chiu, Steinorth,      |                    |
          |                |     |Burke, Chau, Beth     |                    |
          |                |     |Gaines, Lopez, Mullin |                    |
          |                |     |                      |                    |
          |                |     |                      |                    |
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          SUMMARY:  Authorizes the City of San Jose to operate an  
          emergency bridge housing community for homeless persons during a  
          declared shelter crisis.  Specifically, this bill:  


          1)Defines "emergency bridge housing community" to mean any new  
            or existing facilities reserved for homeless persons and  
            families that are located on property leased or owned by a  
            political subdivision, including, but not limited to,  
            temporary housing structures, such as camping cabins or  
            recreational vehicles.









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          2)Requires an emergency bridge housing community to:


             a)   Include supportive and self-sufficiency development  
               services;


             b)   Have the ultimate goal of moving homeless persons to  
               permanent housing as quickly as reasonably possible; and


             c)   Limit rents and service fees to an ability-to-pay  
               formula reasonably consistent with the United States  
               Department of Housing and Urban Development's requirements  
               for subsidized housing for low-income persons.


          3)Provides that the following apply during a shelter crisis  
            declared by the City of San Jose:


             a)   Emergency housing may include an emergency bridge  
               housing community for the homeless located or constructed  
               on any city-owned or city-leased land, including land  
               acquired with low- and moderate-income redevelopment  
               housing funds.


             b)   The city may, in lieu of state and local building,  
               housing, health, habitability, or safety standards and  
               laws, enact local standards for emergency bridge housing  
               communities to be operative during the shelter crisis  
               consistent with ensuring minimal public health and safety.


             c)   During the shelter crisis, provisions of any state or  
               local regulatory statute, regulation, or ordinance  
               prescribing standards of building, housing, health,  








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               habitability, or safety shall be suspended for the  
               emergency bridge housing communities provided that the City  
               has adopted health and safety standards for emergency  
               bridge housing communities and those standards are complied  
               with. 


             d)   Landlord tenant laws codified in Civil Code Sections  
               1941 to 1942.5, inclusive, providing a cause of action for  
               habitability or tenantability, shall be suspended for the  
               emergency bridge housing communities provided that the city  
               has adopted health and safety standards for emergency  
               bridge housing communities and those standards are complied  
               with. 


             e)   Provisions b) through-d) above, apply only to a public  
               facility or an emergency bridge housing community reserved  
               for the homeless pursuant to this chapter.


          4)Exempts an emergency bridge housing community, as defined,  
            from the Special Occupancy Parks Act (Part 2.3 (commencing  
            with Section 18860) of Division 13 of the Health and Safety  
            Code), the Mobilehome Parks Act (Part 2.1 (commencing with  
            Section 18200) of Division 13 of the Health and Safety Code),  
            and the Mobilehome Residency Law (Chapter 2.5 (commencing with  
            Section 798) of Title 2 of Part 2 of Division 2 of the Civil  
            Code).


          5)Exempts an emergency bridge housing community that complies  
            with the applicable requirements of the Americans with  
            Disabilities Act (ADA) of 1990 (Public Law 101-336), as  
            amended by ADA Amendments Act of 2008 (Public Law 110-325),  
            from Part 2.5 (commencing with Section 54) of Division 1 of  
            the Civil Code and actions thereunder for the duration of the  
            shelter crisis.









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          6)Requires the City to match each resident of an emergency  
            bridge housing community to an affordable housing unit  
            identified in the City's housing plan that will be available  
            to live in on or before January 1, 2022.


          7)Requires the City to develop a plan for every emergency bridge  
            housing community to include on-site supportive services by  
            July 1, 2017.


          8)Requires the City to report annually to the Legislature on the  
            number of residents in every emergency bridge housing  
            community, the number of residents who have moved from an  
            emergency bridge housing community into permanent affordable  
            housing, the average time required for a resident to receive a  
            permanent affordable housing unit, and the actual and  
            projected number of permanent affordable housing units  
            available through January 1, 2022.


          9)Provides that these provisions remain in effect only until  
            January 1, 2022.


          FISCAL EFFECT:  None.  


          COMMENTS:  


          Shelter Crisis Act:  The Shelter Crisis Act allows a  
          jurisdiction to declare a shelter crisis and provides that upon  
          such declaration, the jurisdiction's liability for the provision  
          of emergency housing is limited.  It also provides that the  
          jurisdiction may allow homeless persons to occupy designated  
          public facilities for the duration of the crisis.  Further, the  
          Act suspends state and local housing, health, and safety  








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          standards for public facilities to the extent full compliance  
          would hamper mitigation of the effects of the shelter crisis.


          Emergency housing is typically provided as shelter beds allowing  
          for an overnight stay.  There are concerns that because Shelter  
          Crisis Act does not address protection from habitability rules  
          and their impact on landlord tenant law, a jurisdiction would  
          potentially incur liability in providing anything beyond  
          transient shelter beds in facilities designated under the Act.  


          Tiny homes:  Tiny homes are typically less than 400 square feet,  
          with some as small as 80 square feet.  These units often do not  
          have running water, electricity or sewer connections.  Instead,  
          communal facilities provide for these and other basic services  
          typically required by state and local building standards.  The  
          minimalist design of these structures has been reported to  
          provide significant time and cost savings.  Opportunity Village,  
          a tiny home community housing homeless persons in Eugene,  
          Oregon, reports that whereas a traditional federally funded  
          housing unit may cost $200,000 to construct, they were able to  
          build a total of 30 tiny homes for less than half that amount.  


          Need for the bill:  The City of San Jose's Affordable Housing  
          Investment Plan states that since the 1980's, the city has  
          created 18,000 units of affordable rental units.  The City  
          currently manages a $750 million multifamily loan portfolio  
          which provides $6.5 million in residual receipts annually that  
          is available for additional affordable housing investments.  The  
          City's Affordable Housing Investment Plan identifies several  
          additional funding streams and a variety of affordable housing  
          projects in various stages of development.  However, there are  
          still nearly 4,000 homeless individuals currently in need of  
          housing within the city.  According to the author:  "AB 2176  
          would authorize the City of San Jose to prepare local building,  
          housing, health, habitability, or safety standards, in lieu of  
          such state laws, for the development of an emergency bridge  








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          housing community.  In doing so, AB 2176 would provide the City  
          of San Jose the necessary tools for it to try new and innovative  
          ways to provide housing now, while new permanent supportive  
          housing, which can be years in the making, can be financed and  
          constructed."


          This bill authorizes a pilot program for the City of San Jose to  
          address its shelter crisis through the construction and  
          operation of emergency bridge housing community for homeless  
          persons.  This bill would allow the City to enact local  
          standards for the community in lieu of state and local laws and  
          standards.    




          Analysis Prepared by:                                             
                          Ken Spence / H. & C.D. / (916) 319-2085  FN:  
          0002850