BILL ANALYSIS                                                                                                                                                                                                    Ó





                             SENATE JUDICIARY COMMITTEE
                         Senator Hannah-Beth Jackson, Chair
                             2015-2016  Regular Session


          AB 2176 (Campos)
          Version: June 16, 2016
          Hearing Date: June 28, 2016
          Fiscal: No
          Urgency: No
          TH   


                                        SUBJECT
                                           
                Shelter Crisis:  Emergency Bridge Housing Communities

                                      DESCRIPTION 

          This bill would, until January 1, 2022, authorize the City of  
          San Jose to develop and operate an emergency bridge housing  
          community for homeless residents upon declaration of a shelter  
          crisis by the city.  In lieu of state and local building,  
          housing, health, habitability, and safety standards, this bill  
          authorizes the city to enact local standards for an emergency  
          bridge housing community.  This bill requires the city to match  
          each resident of an emergency bridge housing community to an  
          affordable housing unit that will be available for the resident  
          to live in on or before January 1, 2022, to develop a plan to  
          provide on-site supportive services in a community, and to  
          report specific information regarding these communities to the  
          Legislature.

                                      BACKGROUND  

          The City of San Jose, like many other cities in California, is  
          experiencing a homelessness crisis.  Economic shifts in the  
          state have made even the most basic housing unaffordable for  
          many Californians, forcing them to live out in the open.   
          According to the Los Angeles Times, "Los Angeles city and county  
          have the most chronically homeless people in the nation, and  
          homelessness overall grew 12 [percent] from 2013 to 2015."   
          (Gale Holland, California Legislators Propose Spending $2  
          Billion to Build Housing for Homeless, Los Angeles Times  
          (January 4, 2016)  [as  
          of June 19, 2016].)

          In San Jose, "[m]ore than 4,060 people are homeless . . . and 69  
          percent of them are considered 'unsheltered' -- living on the  
          streets, in storage structures, cars or homeless encampments."   
          (Ramona Giwargis, San Jose Approves Mobile Showers for Homeless,  
          Looks to New Housing Projects, Mercury News (April 3, 2016)  
           [as of June 19,  
          2016].)  The City has taken several steps to assist its homeless  
          population, including approving "a mobile hygiene program called  
          Project WeHOPE for people living on the streets."  (Id.)   
          Through this program:

            [a] trailer called "Dignity on Wheels" will travel to various  
            locations in San Jose six days a week to offer 15-minute  
            showers and a washing machine for small loads.  City officials  
            estimate the truck will provide 30 showers and 18 laundry  
            loads each day it travels.  The program is expected to help  
            100 unsheltered persons.  (Id.)  

          However, "the city's ultimate goal is getting people housed,"  
          and "making sure they are not cost-burdened -- meaning they're  
          not paying more than 30 percent of their income for housing," a  
          category which "[r]oughly 44 percent of San Jose residents fall  
          into."  (Id.)  

          This bill authorizes, until January 1, 2022, the City of San  
          Jose to develop and operate emergency bridge housing  
          communities, which are housing communities comprised of  
          temporary structures, such as camping cabins or recreational  
          vehicles, that are reserved for homeless persons and families  
          and are located on property leased or owned by the city.  This  
          bill suspends state and local building, housing, health,  
          habitability, and safety standards for these communities,  
          provided the city has adopted health and safety standards for  
          the communities and those standards are complied with.

                                CHANGES TO EXISTING LAW
           
           Existing law  regulates the terms and conditions of residential  
          tenancies, and generally requires landlords to keep the rental  
          units in a condition fit for occupancy.  (Civ. Code Sec. 1940 et  







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          seq.)

           Existing law  , the Shelter Crisis Act, provides that the  
          governing body of a political subdivision may declare a shelter  
          crisis, and may take such action as is necessary to carry out  
          the provisions of the Act, upon a finding by that governing body  
          that a significant number of persons within the jurisdiction of  
          the governing body are without the ability to obtain shelter,  
          and that the situation has resulted in a threat to the health  
          and safety of those persons.  (Gov. Code Sec. 8698.2.)

           Existing law  authorizes a political subdivision to suspend  
          provisions of any state or local regulatory statute, regulation,  
          or ordinance prescribing standards of housing, health, or safety  
          during a declared shelter crisis to the extent strict compliance  
          would prevent, hinder, or delay the mitigation of the effects of  
          the shelter crisis.  Existing law authorizes political  
          subdivisions, in place of such standards, to enact municipal  
          health and safety standards to be operative during the housing  
          emergency consistent with ensuring minimal public health and  
          safety.  (Gov. Code Sec. 8698.1.)

           Existing law  provides that upon declaration of a shelter crisis,  
          a political subdivision shall be immune from liability for  
          ordinary negligence in the provision of emergency housing, as  
          specified.  This limitation of liability shall apply only to  
          conditions, acts, or omissions directly related to, and which  
          would not occur but for, the provision of emergency housing.   
          (Gov. Code Sec. 8698.1.)

           This bill  states that notwithstanding the above, upon a  
          declaration of a shelter crisis by the City of San Jose,  
          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 housing funds.

           This bill  states that, in lieu of state and local building,  
          housing, health, habitability, or safety standards and laws, the  
          city may enact local standards for emergency bridge housing  
          communities to be operative during the shelter crisis consistent  
          with ensuring minimal public health and safety, and that during  
          the shelter crisis, provisions of any state or local regulatory  
          statute, regulation, or ordinance prescribing standards of  







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          building, housing, health, 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.

           This bill  states that specified landlord tenant laws 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, as specified.

           This bill  specifies that an emergency bridge housing community  
          constructed or allowed by these provisions shall not be subject  
          to the Special Occupancy Parks Act, the Mobilehome Parks Act, or  
          the Mobilehome Residency Law.  This bill specifies that an  
          emergency bridge housing community that complies with the  
          applicable requirements of the federal Americans with  
          Disabilities Act shall be exempt from specified provisions in  
          the Civil Code pertaining to blind and other physically disabled  
          persons for the duration of the shelter crisis.

           This bill  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 shall be available  
          for the resident to live in on or before January 1, 2022.

           This bill  requires the city, or before July 1, 2017, to develop  
          a plan for every emergency bridge housing community to include  
          on-site supportive services, and to make the report publicly  
          available.

           This bill  requires the city to annually report specified  
          information concerning its emergency bridge housing communities  
          to the Legislature.

           This bill  states that its provisions shall remain in effect only  
          until January 1, 2022, and as of that date is repealed.

           This bill  defines "emergency bridge housing community" to mean  
          any new or existing facilities, including, but not limited to,  
          housing in temporary structures, such as camping cabins or  
          recreational vehicles that are reserved for homeless persons and  







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          families and located on property leased or owned by a political  
          subdivision.  Those facilities shall include supportive and  
          self-sufficiency development services, have the ultimate goal of  
          moving homeless persons to permanent housing as quickly as  
          reasonably possible, and 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.

           This bill  makes related findings and declarations.
          
                                        COMMENT
           
           1.Stated need for the bill  

          The author writes:

            In 2015 the City of San Jose conducted a survey to gain a more  
            comprehensive understanding of the experiences of homeless  
            persons.  This survey revealed that, although some improvement  
            was made since 2013, the homeless population was above 2011  
            numbers with over 4,000 homeless people.  The survey also  
            revealed that 33 [percent] of the homeless population was  
            under the age of 25, and that 69 [percent] of the homeless  
            were unsheltered.  Housing First is an approach to ending  
            homelessness that centers on providing people experiencing  
            homelessness with housing as quickly as possible - and then  
            providing services as needed.  This approach has already  
            proven successful around the country.  The State of Utah  
            reported in 2015 that the Housing First model reduced the  
            ranks of the chronically homeless by 91 [percent]. Studies in  
            New York City and in Utah have shown that every homeless  
            person housed in programs such as Housing First saves  
            taxpayers $10,000 and $8,000 a year, respectively.

            To apply this approach, the City of San Jose has developed a  
            long-term and a short-term plan to combat its homelessness  
            crisis.  In the long-term, the City has committed over $103  
            million in the development of new housing, with over 850 units  
            in the pipeline identified.  This permanent housing is  
            expected to reach completion 3-5 years from now.  In the  
            short-term, the City is exploring the possibility of  
            establishing an emergency "bridge" housing community to  
            provide stable housing to the homeless while permanent housing  







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            is built.  The envisioned emergency housing would include zero  
            footprint mini houses, compostable toilets and a community  
            center with shared facilities and services.  However, in  
            exploring this option, the City found that certain state codes  
            and regulations prevent them from developing the envisioned  
            emergency housing.  The City is willing to establish local  
            safety, health and habitability standards to ensure that an  
            emergency housing community can operate safely, but it first  
            needs the state to grant it the authority to do so.

            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" housing community.  This authorization  
            would expire in January, 2022, by which time the City would  
            finish transitioning residents to the permanent supportive  
            housing that is currently in the works.  This model would  
            provide the homeless community with a structured and stable  
            place to live while new permanent supportive housing, 3-5  
            years in the making, can be financed and constructed.  To  
            ensure safety and accountability, the bill also requires the  
            city to:
                 match each resident of the emergency housing community  
               to a permanent affordable housing unit identified in the  
               city's plan;
                 develop a plan for how [the city] will provide on-site  
               supportive services, and make it public; and
                 report data on its progress annually to the Legislature.

            Unlike models that propose to put people without dedicated  
            resources into environments not meant for long-term habitation  
            such as campgrounds, this emergency community alternative is a  
            much more sound option, since the proposed structures would  
            provide much better protection than tents.

           1.Innovative solutions for housing the homeless  

          This bill authorizes the City of San Jose to develop emergency  
          bridge housing communities for the city's homeless on land owned  
          or leased by the city.  The housing provided in these  
          communities, which would be co-located with on-site supportive  
          services, falls somewhere between lawful campgrounds and  
          low-income housing.  Recent media reports suggest that San Jose  
          is considering constructing so-called "tiny homes" to provide  







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          shelter for the homeless.  According to the Mercury News:

            These shed-sized homes are usually less than 300 square feet,  
            with a locking door, closets, full-size beds and small  
            kitchens.  The units can house up to two people.  The models  
            being explored by San Jose also could have composting toilets  
            and solar heating.
            The idea is unconventional, and there are questions about how  
            it might work, but officials say it's one of few short-term  
            solutions to San Jose's unprecedented housing crisis -- a  
            troubling epidemic fueled by rising rents, job uncertainties  
            and a housing shortage.
            . . .
            Portland was one of the first cities to create a tiny homes  
            community for the homeless.  The idea started two decades ago  
            with a homeless man, a raggedy tent and a few pieces of  
            plywood. . . .Today, Dignity Village is home to 60 tiny home  
            structures of all shapes and sizes -- from a makeshift castle  
            to a ranch with a white-picket fence.  Some have two or more  
            people inside, while most can only fit one or two.  Residents  
            pay $35 a month for water and electricity in common areas.  
            Residents use portable toilets and a shared space for showers  
            and washing dishes.

            Critics of the program say the residents get complacent and  
            stay too long, instead of transitioning to permanent housing  
            and allowing more people to use the tiny homes.  One Portland  
            man lived in his "tiny home" for more than a decade. . . . But  
            San Jose leaders want to see if the idea could work here,  
            especially since other housing options the city is pursuing --  
            using old motels for apartments or building new units -- could  
            take years to develop.  (Ramona Giwargis, San Jose: Could  
            'Tiny Homes' Solve the Homeless Problem?, Mercury News (June  
            18, 2016)  
             [as of June 19,  
            2016].)  

          By waiving state and local health and safety standards and laws,  
          and allowing the City of San Jose to enact special regulations  
          ensuring minimal public health and safety, this bill would  
          enable the city to develop "tiny home" communities for homeless  
          residents of the sort that have helped other cities house their  
          homeless populations.







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           2.Risk of creating substandard housing  

          While potentially transformative for the lives of homeless  
          residents who obtain housing in an emergency bridge housing  
          community, this bill could potentially authorize the City of San  
          Jose to construct de-facto favelas to house portions of its  
          homeless residents.  Under existing law, the Shelter Crisis Act  
          enables municipalities to open public facilities to homeless  
          residents for use as temporary shelter during a shelter crisis.   
          Like this bill, that Act suspends state and local rules  
          prescribing standards for housing, health, and safety, but does  
          so only "to the extent that strict compliance would in any way  
          prevent, hinder, or delay the mitigation of the effects of [a]  
          shelter crisis."  (Gov. Code Sec. 8698.1.)  This bill has no  
          such limitation.  Rather, it would allow waiver of these  
          ordinances and regulations in emergency bridge housing  
          communities for the duration of a declared shelter crisis, or  
          until January 1, 2022, whichever occurs first, provided the city  
          enacts its own local standards to ensure minimal public health  
          and safety.  Additionally, this bill would authorize the city to  
          collect rent and service fees from residents in these  
          communities, but would remove the duty to ensure that tenancies  
          are habitable, and would also suspend California's robust  
          disability access laws, retaining only those standards  
          established under the federal Americans with Disabilities Act.

          Given the pressing need to consider innovative approaches to  
          address San Jose's homeless crisis, the Committee may  
          nonetheless wish to consider whether the broad waivers of  
          housing, access, health, and safety standards proposed in this  
          bill ought to be more limited to ensure that California's  
          homeless residents receive appropriate housing - even on a  
          temporary or interim basis - that befits their dignity as human  
          persons.


           Support  :  Non-Profit Housing Association of Northern California;  
          Silicon Valley at Home

           Opposition  :  None Known

                                        HISTORY
           







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           Source  :  City of San Jose

           Related Pending Legislation  :  None Known

           Prior Legislation  :  None Known

           Prior Vote  :

          Senate Transportation and Housing Committee (Ayes 10, Noes 0)
          Assembly Floor (Ayes 77, Noes 0)
          Assembly Housing and Community Development Committee (Ayes 7,  
          Noes 0)

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