BILL ANALYSIS Ó
SB 384
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Date of Hearing: June 29, 2016
ASSEMBLY COMMITTEE ON HOUSING AND COMMUNITY DEVELOPMENT
David Chiu, Chair
SB
384 (Leyva) - As Amended June 21, 2016
SENATE VOTE: 38-0
SUBJECT: Veteran housing: multifamily units: underserved
veterans
SUMMARY: Requires that a percentage of state bond funds
allocated annually for purposes of the Veterans Housing and
Homeless Prevention (VHHP) Act of 2014 be reserved for housing
underserved veterans. Specifically, this bill:
1)Requires that, for all multifamily housing units acquired,
constructed, rehabilitated, or preserved on or after January
1, 2017, for the purpose of housing veterans, a percentage of
VHHP funds must be reserved for housing for underserved
veterans.
2)Provides that the percentage reserved for underserved veterans
shall be determined annually by the California Department of
Veterans Affairs (CalVet), the California Department of
Housing and Community Development (HCD) and the California
Housing Finance Agency (CalHFA), in consultation with the
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appropriate local agencies, with the first determination to be
made on July 1, 2017, and thereafter each year on July 1.
3)Defines "underserved veterans" as those veterans either
experiencing or at risk of experiencing homelessness at a
disproportionate rate to their veteran or nonveteran
counterparts, as determined by the most recent United States
Department of Housing and Urban Development Annual Homeless
Assessment Report (AHAR) that includes an assessment of
veteran homelessness, or other similar source CalVet, HCD, and
CalHFA deem appropriate.
4)Provides that if there are insufficient applications for
proposed housing projects for underserved veterans, as
specified, the reserved funding shall revert back to the
Housing for Veterans Fund and be available for other purposes
authorized by the VHHP.
EXISTING LAW:
1)Establishes the VHHP, an initiative measure enacted by the
voters as Proposition 41 at the June 3, 2014, primary
election, authorizing $600 million in bonds for the
acquisition, construction, rehabilitation, and preservation of
affordable multifamily supportive housing, affordable
multifamily transitional housing, or related facilities for
veterans and their families (Military and Veterans Code
Section 998.540, et seq.).
2)Requires CalVet, HCD, and CalHFA to work collaboratively to
carry out the duties and functions of the VHHP (Military and
Veterans Code Section 987.002).
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3)Requires the VHHP to do the following:
a) Leverage public, private, and nonprofit funding
sources.
b) Prioritize projects that combine housing and
supportive services, including but not limited to: job
training, mental health, drug treatment, case management,
care coordination, or physical rehabilitation.
c) Ensure that program guidelines and terms provide
requirements or scoring criteria to advance applicants
that combine permanent or transitional housing, or both,
with supportive services for veterans, or for partnering
with housing developers or service providers that offer
housing or services to veterans.
FISCAL EFFECT: According to the Senate Committee on
Appropriations:
1)Estimated CalVet costs of approximately $206,000 annually for
two PY of staff to establish the program, annually determine
the underserved veteran population, consult with local
agencies, and determine the percentage to reserve for these
purposes (Housing for Veterans Fund).
2)Unknown costs to HCD and CalHFA, likely less than $50,000, to
revise existing VHHP guidelines (Housing for Veterans Fund).
3)Potential delays in the allocation of VHHP bond revenues for
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projects that qualify for funding under the current program
guidelines. This would occur when there are insufficient
applicants to fully allocate reserved funds, in which case the
funds would revert back to the Housing for Veterans Fund for
other authorized VHHP purposes.
COMMENTS:
The VHHP:
AB 639 (Perez), Chapter 727, Statutes of 2013, established the
VHHP, an initiative enacted by the voters as Proposition 41 at
the June 3, 2014 primary election. The VHHP restructures $600
million of the $900 million in bonds approved by the voters for
the CalVet Home Loan Program in 2008 and uses them instead to
fund the acquisition, construction, rehabilitation, and
preservation of affordable multifamily supportive housing,
affordable multifamily transitional housing, or related
facilities for veterans and their families.
The VHHP tasks CalVet, CalHFA, and HCD with collaboratively
administering the program and explicitly restricts the use of
bond proceeds to those housing units designated for veterans and
their families. The focus of the program is on housing for
veterans who are homeless or at risk for homelessness and in
need of services such as mental health counseling, substance
abuse treatment, job training, and physical therapy to address
injuries. HCD released the first VHHP Program Notice of Funding
Availability (NOFA) in February 2015, announcing the
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availability of approximately $75 million in VHHP funding. In
June 2015, the administering departments awarded approximately
$63 million to 17 approved projects.
The departments solicited public stakeholder input to identify
lessons learned during the first round. In October 2015, in
response to that feedback, the departments revised their
guidelines. The application window for the second NOFA, which
announced a funding availability of $75 million and incorporated
the revised guidelines, closed in mid-December 2015. In April
2016, the administering departments awarded approximately $116
million to 28 approved projects. As of June 2016, a total of
31% of VHHP funds have been awarded, with $390,718,638 in
funding remaining.
Need for the bill: According to the author:
"California is home to over 1.8 million veterans. Women
comprise 10% of the state's veteran population making it the
second largest population of women veterans in the nation,
behind Texas. By 2030, the population is expected to be 15%.
"Veterans returning home from military service represent an
extremely vulnerable population. Many lack a supportive
family network when they return home and have
physical/psychological injuries related to their service. The
US Department of Veterans Affairs estimates that 1 in 5 women
have experienced sexual assault or harassment while serving in
the military.
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"California's vulnerable veteran population is more likely to
face homelessness due to a significant lack of affordable
housing, livable wage and access to necessary health care
services. A recent report by the Government Accountability
Office (GAO) found that women veterans identifying themselves
as homeless more than doubled, increasing by more than 140%
from 2006 to 2010. During the same time frame, there was a
45% increase in homelessness for male veterans.
"For female veterans, especially those who have suffered from
military sexual trauma, living in a housing facility that
houses mainly men poses serious safety and health risks.
Women do not feel comfortable or safe in these facilities.
Most (about 60%) of transitional housing facilities do not
allow young children. This limitation, combined with the
safety risks of living in male dominated facilities, makes
finding housing for female veterans with children nearly
impossible.
"SB 384 seeks to eliminate some of these barriers by ensuring
that funding is available for housing for underserved veterans
- allowing construction of facilities that serve this
vulnerable population.
Unique needs of female veterans: According to CalVet, female
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veterans make up 10% of all veterans nationwide, and 11% of all
veterans in California. There are higher rates of physical and
mental health problems (such as Military Sexual Trauma (MST) and
substance abuse) among female veterans that can be linked to an
overall increase in unemployment and homelessness. Female
veterans also experience barriers to receiving and utilizing
standard veterans benefits.
The 2011 California Women Veteran survey found that a majority
of female veterans do not self-identify as veterans, and have a
higher rate of underutilizing their veterans benefits or
participating in veterans organizations. The survey also found
that women veterans were more likely to have children or
dependents with them, and were not likely to use the Department
of Housing and Urban Development Veterans Affairs Supportive
Housing (HUD-VASH) program due to substandard housing conditions
and/or a failure to allow dependents.
A 2013 memorandum from the Women's Law Center provides empirical
support for sex-segregation in veteran-only housing facilities.
It identifies homeless women veterans as a high-risk, special
needs group based on their "significant history of multiple
traumas" such as MST. Women veterans, especially those who have
experienced MST and domestic violence, report feeling safer in a
female-only environment. Women veterans with Post-Traumatic
Stress Disorder report that "women-centered treatment was the
most important factor contributing to their comfort with VA
services."
Already allowed under existing law? The author points to the
importance of meeting the needs of underserved veterans, but
there is nothing under the current VHHP program guidelines that
would prevent the administering agencies from awarding funds to
projects that serve these subpopulations, including women
veterans. Program guidelines already include scoring criteria
to prioritize projects that combine housing and supportive
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services, such as job training, mental health, drug treatment,
case management, care coordination, or physical rehabilitation.
While there is no mention of "underserved" populations in the
program guidelines, it does address "vulnerable" populations.
Section 116 of the guidelines is entitled "Vulnerable
Populations Best Practices" and indicates best practices for
developers who seek participation in the VHHP. According to the
guidelines, "veterans experiencing low income or homelessness
are already vulnerable and within this population there are
those still more vulnerable than others, such as children,
elderly, and/or persons with a history of trauma (e.g. MST,
domestic violence)." The guidelines go on to provide best
practices for developments that serve these populations.
Definition of "underserved": The bill defines "underserved
veterans" as those veterans either experiencing or at risk of
experiencing homelessness at a disproportionate rate to their
veteran or nonveteran counterparts, as determined by the most
recent United States Department of Housing and Urban Development
Annual Homeless Assessment Report (AHAR) that includes an
assessment of veteran homelessness, or another similar source
CalVet, HCD, and CalHFA deem appropriate. This is a vague
definition and provides broad discretion to the agencies to
annually set-aside funding for as-yet-unknown veteran
subpopulations.
Guideline revision as an option? In October 2015, in response
to public stakeholder feedback, the administering departments
revised the VHHP guidelines. If clarity on how to best serve
underserved veterans is needed, then revising the guidelines
could be an option and would likely involve more input from
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stakeholders.
Related legislation:
AB 639 (Perez), Chapter 727, Statutes of 2013: Established the
VHHP, an initiative enacted by the voters as Proposition 41 at
the June 3, 2014 primary election.
SB 689 (Huff, 2015): Would require state agencies to prioritize
projects under the VHHP that, for the purposes of providing
mental health and drug services, either: 1) accept only
residents that are prequalified to receive services from the US
Department of Veterans Affairs (VA), or 2) if they accept
residents who receive services from agencies other than the VA,
employ on staff or contract for a qualified mental health
professional with at least two years' full-time relevant
experience providing services to veterans. This bill died in the
Senate Transportation and Housing Committee.
AB 253 (Hernández): Would require state agencies to give a
preference to applicants for funding under the VHHP that
demonstrate a multiyear commitment of Mental Health Services Act
Funding for the applicant's project funding plan. This bill is
currently in the Senate Transportation and Housing Committee.
SB 866 (Roth): Authorizes a housing developer or service
provider that receives bond moneys under the VHHP to provide
housing or services to veterans and their children in women-only
facilities in limited instances, as specified. This bill is
awaiting hearing in the Assembly Committee on Veterans Affairs.
Double-referred: This bill was also referred to the Committee on
Veterans Affairs, where it passed 8-0 on June 14, 2016.
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Committee amendments: The Committee may wish to consider the
following technical, clarifying amendments:
On page 2, in line 9 after "department" add:
,the California Housing Finance Agency, and the Department of
Housing and Community Development collectively and
On page 2, lines 16-17, strike:
,November 2015,
On page 2, line 26, strike 998.44 and add 998.544
On page 2, strike lines 29 through 31 and on page 3, strike
lines 1-3 and add:
be made using the most recent determination of underserved
veterans made pursuant to subdivision (b).
REGISTERED SUPPORT / OPPOSITION:
Support
American Legion, Department of California
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AMVETS, Department of California
California Association of County Veterans Service Officers
California State Commanders Veteran Council
California Women's Law Center
Military Officers Association of America - California Council of
Chapters
National Association of Social Workers, California Chapter
Veterans of Foreign Wars - Department of California
Vietnam Veterans of America, California State Council
Opposition
None on file
Analysis Prepared by:Rebecca Rabovsky / H. & C.D. / (961)
319-2085