BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 1593
                                                                  Page  1

          Date of Hearing:   August 23, 2000

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS 
                              Carole Migden, Chairwoman

                   SB 1593 (Burton) - As Amended:  August 11, 2000 

          Policy Committee:                              Housing and  
          Community Development                         Vote: 6-0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:               

           SUMMARY  

          This bill implements numerous recommendations of the Senate Task  
          Force on Homelessness by making various changes to state housing  
          assistance programs, including: 

          1)Requiring the Department of Housing and Community Development  
            (HCD) to evaluate and report on the number of successful  
            applications funded within the Multifamily Housing Program for  
            each applicant type and make any needed adjustments to the  
            award process to ensure an equitable award distribution. 

          2)Requiring, to the extent feasible, that providers of emergency  
            shelter or transitional housing provide adequate facilities so  
            all members of a family may be housed together, regardless of  
            gender or age. 

          3)Requiring Emergency Housing And Assistance Program (EHAP)  
            funds allocated to nonurban counties, that are not expended  
            after two fiscal years, to be allocated to urban counties in  
            the following year. 

          4)Requiring HCD to consider increasing maximum EHAP grant limits  
            to $300,000 for operating grants and $500,000 for capital  
            grants, and increasing the amount that any eligible  
            organization within a region may receive in an EHAP funding  
            round from $500,000 to $1,000,000. 

          5)Adding veterans to the list of low-income individuals included  
            in the target population for the Supportive Housing Program.

           FISCAL EFFECT  








                                                                  SB 1593
                                                                  Page  2


          Negligible fiscal impact to HCD.

           COMMENTS  

           1)Purpose  .  This bill seeks to implement some of the  
            recommendations of the Senate Task Force on Homelessness that  
            are contained in the final report, released in June 2000.  The  
            task force examined a variety of state and federal programs  
            that have some contact with the homeless population and made a  
            set of recommendations as to how California might improve its  
            services for the homeless.  The task force was convened by  
            Senators Burton and Johnson, and was made up of 17 members  
            representing private, public and nonprofit sectors, the  
            faith-based community, as well as client advocacy  
            organizations and service providers.  

           2)Background  .  The Multifamily Housing Program provides deferred  
            payment loans for the construction, rehabilitation, or  
            acquisition of transitional or rental housing.  The Emergency  
            Housing and Assistance Program allocates funds to counties on  
            a formula grant basis to provide a variety of services, such  
            as emergency shelter or transitional housing, counseling, and  
            residential rental assistance or housing vouchers.  The  
            Supportive Housing Program awards competitive grants to either  
            local or nonprofit agencies that provide integrated housing  
            and support services to very low-income Californians.  

           3)Budget Funding  .  The 2000-01 Budget Act provided the following  
            funding levels for the housing programs impacted by this bill:  
             $188 million for the Multi-Family Housing Program;  $39  
            million for the Emergency Housing Assistance  
            Program-consisting of $14 million for operating grants and $25  
            million for capital grants; and $25 million for the Supportive  
            Housing Program.

           Analysis Prepared by  :    Chuck Nicol / APPR. / (916)319-2081