BILL NUMBER: SB 781	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Speier

                        FEBRUARY 25, 1999

   An act to add Chapter 18 (commencing with Section 50898) to Part 2
of Division 31 of the Health and Safety Code, relating to housing.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 781, as introduced, Speier.  Housing subsidies:  high-cost
counties.
   Existing law sets forth the duties of the Department of Housing
and Community Development in administering various housing programs
in the state.
   This bill would require the department to implement a housing
subsidy program to be administered by high-cost counties, as defined,
at their option, pursuant to which families who are successfully
meeting participation requirements under the welfare-to-work
component of the CalWORKs program and whose income is less than 150%
of the federal poverty level would receive subsidies for rent for up
to 3 years, at specified levels.  It would require a county applying
to provide subsidies to provide a 10% match, and would authorize the
county to develop criteria for eligibility for the program in
addition to that set forth in the bill, and to designate a local
agency or community-based organization to implement the program.
   Vote:  majority.  Appropriation:  no.  Fiscal committee:  yes.
State-mandated local program:  no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Chapter 18 (commencing with Section 50898) is added to
Part 2 of Division 31 of the Health and Safety Code, to read:

      CHAPTER 18.  HOUSING SUBSIDIES FOR HIGH-COST COUNTIES

   50898.  (a) (1) The Department of Housing and Community
Development shall implement a housing subsidy program to be
administered by high-cost counties, at their option.
   (2) For purposes of this section, a "high-cost county" is a county
in which the United States Department of Housing and Urban
Development Fair Market Rent (FMR) for a two bedroom apartment is 50
percent or higher above the statewide median for regions defined by
the federal department.
   (b) The subsidy provided under this section shall be applied for
the benefit of families who are successfully meeting participation
requirements under the welfare-to-work component of the CalWORKs
program pursuant to Article 3.2 (commencing with Section 11320) of
Chapter 2 of Part 3 of Division 9 of the Welfare and Institutions
Code, and whose income level is less than 150 percent of the federal
poverty level.
   (c) Individual subsidies under this section shall be limited to
rents totaling no more than 20 percent above the 1998 United States
Department of Housing and Urban Development Fair Market Rent (FMR)
for the region, and shall be applied for no longer than a total of
three years, as follows:
   (1) In the first year, 50 percent of the family's rent shall be
subsidized.
   (2) In the second year, 40 percent of the family's rent shall be
subsidized.
   (3) In the third year, 30 percent of the family's rent shall be
subsidized.
   (d) A county applying to provide subsidies through this section
shall provide a 10 percent match, which may include Temporary
Assistance for Needy Families block grant funds, or maintenance of
effort funds under the CalWORKs program, to the extent not in
conflict with federal law.
   (e) A county providing subsidies through this section may develop
criteria for eligibility for the program in addition to that set
forth in this section, and may designate a local agency or
community-based organization to implement the program.