AB 309 — Social Housing

AB 309 would lay the groundwork for creating a new, statewide social housing agency that would fund, build, and manage affordable, mixed-income social housing for both rental and homeownership opportunities.

This bill establishes the intent to create the California Housing Authority, an independent state agency with the ability to construct housing and lease it to a mix of household income ranges through both an ownership and rental model. The Authority would ensure rent and mortgage payments are affordable to residents at no more than 30% of their monthly income.

The Authority will also seek to be “revenue neutral” – that is, not require ongoing subsidies – through the use of cross-subsidies from the rent and mortgage payments of moderate- and above moderate-income households; these payments would be structured to subsidize the below-market rate rents paid by low-income households.

Countries with successful social housing programs have proven the effectiveness of the mixed-income, cross-subsidization model; the creation of a California Housing Authority would bring this model to our state, providing Californians of all income levels access to stable, affordable housing for rent and ownership.

Authors: Lee (D, AD 24), Carrillo (D, AD 52), Kalra (D, AD 25)

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