AB 2161 Assembly Bill - Bill Analysis

BILL ANALYSIS

Subject matter was not heard in Assembly policy committee this
legislative
Session, should be noted in the last paragraph of the background
section of the
CSA analysis. Language will vary depending on the circumstance.
AB 2161
Page 1

CONCURRENCE IN SENATE AMENDMENTS
AB 2161 (Klehs)
As Amended August 28, 2006
2/3 vote. Urgency

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|ASSEMBLY: | |(May 31, 2006) |SENATE: |27-9 |(August 31, 2006) |
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(vote not relevant)

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|COMMITTEE VOTE: |6-0 |(August 31, 2006) |RECOMMENDATION: |Concur |
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Original Committee Reference: HUM. S.

SUMMARY : Allows the counting of new housing units, built outside
an Alameda County Redevelopment Agency project area, toward meeting
affordable housing requirements. Contains an urgency clause,
allowing this bill to take effect immediately upon enactment.

The Senate amendments

1)Delete the prior version of the bill as originally passed by the
Assembly.

2)Allow, only for the Mt. Eden Sub-Area of the Alameda County
Redevelopment Agency, the construction of new housing units
outside the project area and soon to be annexed by the City of
Hayward, to count toward meeting affordable housing requirements
if all of the following are met:

a) Units are affordable to low- or very low-income persons;

b) Units are to be affordable for not less than 55 years for
rental units and 45 years for home ownership units;

c) Units are located on parcels immediately contiguous to the
Mt. Eden Sub-Area of the Eden Redevelopment Project Area; and,

d) The City of Hayward shall not count any of the units toward
meeting its own production or replacement requirements.

3)Require the County of Alameda Redevelopment Agency to follow
existing law requirements with respect to building two units
outside a project area for every one unit it would otherwise be
required to build inside the project area.

4)Provide that these provisions sunset January 1, 2012.

5)Provide that AB 2161 is an urgency measure.

AS PASSED BY THE ASSEMBLY , Required the State Department of Social
Services (DSS), in consultation with county child welfare agencies,
foster parent associations and other interested parties to
implement a pilot project to streamline approval of adoptive
families.

FISCAL EFFECT : None

COMMENTS : The County of Alameda and the City of Hayward are
seeking special legislation to allow the County Redevelopment
Agency to build, on a two for one basis, affordable housing units
outside the project area and soon to be annexed to the City of
Hayward.

According to the Alameda County Redevelopment Agency, currently,
Eden Housing is in the process of trying to build a 78 unit
affordable housing project in the City of Hayward. The Eden
Housing project is contiguous to the County's Mt. Eden
Redevelopment Sub-Area, but not in the project area. A project has
also been recently approved to develop 150 residential units within
the Mt. Eden Sub-Area. To meet the affordability requirements, the
developer is proposing to contribute to the Eden Housing project.
AB 2161 would allow the County to count those units produced at the
Eden Housing project toward the County Redevelopment Agency's
affordable housing production requirement.

Redevelopment law requires that at least 15 percent of all new
dwelling units developed within a project area by a public or
private entity shall be available to persons and families of low
and moderate income. Existing law also requires that any
affordable units built outside a project area must be on a two for
one basis. In this case the addition of 150 market rate units
built inside the project area would trigger a requirement to build
at least 23 units inside or 45 units outside the project area.

Analysis Prepared by : Hubert Bower / H. & C.D. / (916) 319-2085

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