This bill would establish the California Housing Authority, an independent state body, and authorize this authority to construct housing and lease it to a mix of household income ranges through an ownership and rental model. The Authority would adjust the rent or mortgage payments so each household would pay no more than 30% of their income on rent or buy a home.
The operation of this Authority is required to be revenue neutral through cross-subsidization — meaning the revenue from the rents paid by moderate and above moderate-income households would subsidize the below-market rate rents paid by low-income households. This borrows best practices from the most successful social housing programs in the world to establish a durable and equitable funding source to house Californians of all income levels across the state, such as those in Singapore and Vienna.
Authors: Lee (D, AD 25)