BILL ANALYSIS Ó AB 2176 Page 1 ASSEMBLY THIRD READING AB 2176 (Campos) As Amended April 28, 2016 Majority vote ------------------------------------------------------------------ |Committee |Votes|Ayes |Noes | | | | | | | | | | | | | | | | |----------------+-----+----------------------+--------------------| |Housing |7-0 |Chiu, Steinorth, | | | | |Burke, Chau, Beth | | | | |Gaines, Lopez, Mullin | | | | | | | | | | | | ------------------------------------------------------------------ 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. AB 2176 Page 2 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, AB 2176 Page 3 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. AB 2176 Page 4 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 AB 2176 Page 5 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 AB 2176 Page 6 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