SENATE COMMITTEE ON APPROPRIATIONS

Senator Anthony Portantino, Chair

2019 - 2020 Regular Session

AB 3269 (Chiu) - State and local agencies: homelessness plan

Bill Summary:

AB 3269 would establish the Housing and Homelessness Inspector General (Inspector General), require the Homeless Coordinating and Financing Council (HCFC) to conduct a specified needs and gaps analysis, require local governments to develop actionable plans to address homelessness, and create a public right of action for the Inspector General to compel compliance with those new plans, as specified.

Fiscal Impact:

• HCFC estimates that the costs to develop and conduct the specified needs and gaps analysis would be in the range of $5 million (federal funds or General Fund). HCFC would incur first year costs of $167,000 in the first year and $159,000 in the second year for 1 PY of staff (2-year, limited term) to coordinate with an external consultant and the federal Department of Housing and Urban Development (HUD) and to assist in the gathering of data necessary to complete the analysis (General Fund). HCFC assumes that it would secure a technical assistance grant from HUD to fund the production of the needs and gaps analysis. To the extent federal funding is not available, costs for the analysis would be from the General Fund.
  
• The Department of Housing and Community Development (HCD) estimates costs of approximately $2.15 million in the first year and $2.04 million annually thereafter for 9.5 PY of staff related to specified duties prescribed in the bill, including the following: setting benchmark goals to reduce homelessness for the state and local agencies, based on the gap analyses, and review those benchmarks annually; review and make recommendations on adopted plans submitted by the state and local jurisdictions; monitor implementation of the adopted plans and progress in accordance with the plans; and notify the state or local agency and the Inspector General if a respective entity is out of compliance. (General Fund)
  
• Costs for the new Inspector General position and staffing necessary to support the specified duties of the Inspector General are unknown, but at least in the low millions annually, and potentially over ten million annually to operate effectively. Staff would be necessary to monitor state and local progress for meeting benchmarks, provide technical assistance, conduct audits of state and local entities to determine compliance, bring court actions to compel compliance, and investigate complaints and issue civil penalties, as specified.
  
• Unknown, likely major state-reimbursable costs, at least in the tens of millions, and potentially in the hundreds of millions for local agencies to develop and submit a specified actionable county-level plan, including local gaps analyses, for meeting specific annual benchmarks to HCD by January 1, 2022. Each city in the local agency’s jurisdiction is mandated to participate in the county-level plan. The magnitude of state-reimbursable costs would be subject to a determination by the Commission on State Mandates, should a local agency file a claim. (General Fund)
  
• Unknown, potentially-significant workload cost pressures to the courts to adjudicate alleged violations of noncompliance brought by the Inspector General.  While the superior courts are not funded on a workload basis, an increase in workload could result in delayed court services and would put pressure on the General Fund to fund additional staff and resources.  For example, the Budget Act of 2020 appropriated $273.8 million from the General Fund to backfill continued reduction in fine and fee revenue for trial court operations.  (General Fund / Trial Court Trust Fund) 

Background:

The federal Department of Housing and Urban Development (HUD) administers the Continuum of Care Program as part of the McKinney-Vento Homeless Assistance Act. This competitive grant program is designed to encourage cities and counties to address the problems of housing and homelessness in a coordinated and strategic fashion. The fundamental components of a continuum of care include prevention, outreach, emergency shelter, transitional housing, permanent housing, permanent supportive housing, and supportive services. Among other requirements, a continuum of care (CoC) must collect anonymous data on the homeless clients served within the continuum and maintain the data in a homeless management information system (HMIS). Currently, there are 43 CoCs in California, covering all of the state except for a few small, rural counties. HUD collects HMIS data nationwide and compiles it in the Annual Homeless Assessment Report to Congress.

HUD provides technical assistance to states and CoCs to complete needs analyses, following an application process. HHUD has funded technical assistance to complete local needs analyses in a number of jurisdictions across California, and is currently prioritizing technical assistance requests from states and jurisdictions that have large unsheltered populations, such as California. The HUD technical assistance grants typically cover the full costs of the needs analyses.

Existing law establishes the Homeless Coordinating and Financing Council within the Business, Consumer Services, and Housing Agency to oversee the implementation of “Housing First” policies, guidelines, and regulations to reduce the prevalence and duration of homelessness in California. Housing First is an evidence-based model that focuses on the idea that homeless individuals should be provided shelter and stability before underlying issues can be successfully addressed. Housing First utilizes a tenant screening process that promotes accepting applicants regardless of their sobriety, use of substances or participation in services. This approach contrasts to the “housing readiness” model where people are required to address predetermined goals before obtaining housing. The federal government has shifted its focus to Housing First over the last decade, and housing programs under HUD utilize core components of this strategy. Existing law requires agencies and departments administering state programs created on or after July 1, 2017 to incorporate the core components of Housing First.

In 2019, the Governor appointed a Council of Regional Homeless Advisors, made up of local elected officials and leading organizations that work on homelessness in the state. In January 2020, the Governor’s Council issued a number of recommendations to reduce and prevent homelessness, including the creation of an enforceable, results-based accountability mandate to end homelessness.

Proposed Law:

AB 3269 would create a new Housing and Homelessness Inspector General independent position within HCD, require the HCFC to conduct a specified needs and gaps analysis, require local governments to develop actionable plans to address homelessness, and create a public right of action for the Inspector General to compel compliance with those new plans, among other things. Specifically, this bill would:

• Require the HCFC, or an entity the HCFC contracts with for this purpose, upon appropriation or upon receiving technical assistance from HUD, if available, to do all of the following:
  • Conduct, or contract with an entity to conduct, a statewide needs and gaps analysis to identify state programs that provide housing or services to persons experiencing homelessness and create a financial model that will assess the investment needs required to move those persons into permanent housing, as specified.
  • Evaluate all available data necessary for the needs and gaps analysis, as specified. To the extent specific data are unavailable, estimates may be calculated based on national or local data, as specified.
  • Seek assistance and input from the state departments or agencies that are members of HCFC on the direction of, design of data collection for, and items to be included in the specified gaps and needs analysis. State entities must provide necessary data within 180 days and remove any personally identifying information.
• Specify that HCFC’s obligation to conduct the statewide needs and gaps analysis is fulfilled if a HUD technical assistance provider conducts the analysis, in which case the HCFC would work with the technical assistance provider to complete the analysis.
• Require the HCFC to submit a report on the final needs and gaps analysis to the Legislature by July 31, 2021.
• Authorize local governments to collaborate with the HCFC or the entity conducting the statewide analysis to share available local data to conduct a sampling of geographically diverse regions, as specified, upon appropriation or the provision of HUD technical assistance triggering the requirement for the HCFC, or specified contractor, to conduct the statewide needs and gaps analysis.
• Require each local agency to submit a specified actionable county-level plan, including local gaps analyses, for meeting specific annual benchmarks to HCD by January 1, 2022. Each city in the local agency’s jurisdiction is mandated to participate in the county-level plan, and the local agency must seek active participation of all homeless CoCs serving the area.
• Require HCD to set a benchmark goal to reduce homelessness for the state, based on the statewide gaps and needs analysis, and to work with local agencies to identify appropriate benchmark goals to reduce homelessness for each local agency and their cities, based on the county-level plan for meeting annual benchmarks. The benchmark goals must be based on the 2019 homeless point-in-time count and establish the minimum targets for people becoming homeless and those moving into permanent housing, as specified, by December 31, 2028.
• Require the state and each local agency to submit an annual progress report to HCD regarding progress and implementation of the adopted plan, as well as any proposed amendments.
• Require HCD to review and provide feedback on the county-level plans, monitor the each state and local agency’s progress in adopting a plan or making progress in accordance with the plan, and notify the state or local agency and the Inspector General that the respective entity is out of compliance, as specified.
• Establish an independent officer of the Housing and Homelessness Inspector General within HCD, as specified, and require the Inspector General to:
  • Oversee the implementation of this bill.
  • Monitor the implementation and progress of state and local agency plans for meeting specified benchmarks.
  • Provide technical assistance to the state, local agencies, and cities to achieve compliance with the bill’s requirements.
  • Audit the state, local agencies, and cities to determine compliance with adopted plans.
  • Bring actions against the state, local agencies, and cities to compel compliance with their respective adopted plans.
  • Investigate complaints and issue specified civil penalties.
• Authorize the Inspector General, on or after January 1, 2022, to bring an action against the state, a local agency, or a city to compel compliance with this bill, as specified. If a court finds that the state or local agency is not in substantial compliance, it may issue an order or judgement directing the state, local agency, or city to substantially comply, as specified. If the court issues an order or judgment, it shall retain jurisdiction for no more than 24 months to ensure its order or judgment is carried out. The Inspector General and a court would be prohibited from pursuing any action within 18 months of HCD approving a plan.
• Prohibit the state, a local agency, or a city from deliberately and intentionally transporting a homeless individual or household to a different jurisdiction unless those individuals and households choose to move.
• Authorize any person to file a complaint with the Inspector General if the state, a local agency, or a city violates this prohibition. The Inspector General must investigate any such complaints and impose a civil penalty of up to $100,000 per individual transported to a different jurisdiction, as specified.

Related Legislation:

AB 1845 (Luz Rivas), which is pending in this Committee, would establish the Office to End Homelessness, to be headed by the newly created Secretary on Housing Insecurity and Homelessness, to serve as the lead entity for ending homelessness in California.

AB 2329 (Chiu), which was held on the Assembly Appropriations Committee’s Suspense File, would require the HCFC to conduct a homelessness statewide gaps and needs assessment by July 31, 2021. The contents of that bill were amended into AB 3269.

AB 2405 (Burke), which is pending in this Committee, would declare it a state policy that every individual in California has the right to safe, decent, and affordable housing, as specified.

AB 2746 (Gabriel), which is pending in this Committee, would impose a number of reporting requirements on recipients of state homeless funding.

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SENATE COMMITTEE ON HOUSING

Senator Scott Wiener, Chair

2019 - 2020 Regular

Bill No: AB 3269 Hearing Date: 8/6/2020

SUBJECT: State and local agencies: homelessness plan

DIGEST: This bill establishes the Housing and Homelessness Inspector General (HHIG) to oversee state and local actions to address homelessness; imposes new requirements on local governments to develop action plans to address homelessness; and creates a public right of action for the HHIG to compel compliance with the new plans.

ANALYSIS:

Existing law:

1. Establishes the Homeless Coordinating and Financing Council (HCFC), with the purpose of coordinating the state’s response to homelessness by utilizing Housing First practices.
2. Requires agencies and departments administering state programs created on or after July 1, 2017 to incorporate the core components of Housing First.
3. Defines “Housing First” to mean the evidence-based model that uses housing as a tool, rather than a reward, for recovery and that centers on providing or connecting homeless people to permanent housing as quickly as possible. Housing First providers offer services as needed and requested on a voluntary basis and that do not make housing contingent on participation in services.
4. Establishes the Homeless Emergency Aid Program (HEAP) to provide one-time grant funds to address the immediate homelessness challenges of local cities and counties. HEAP is administered by the HCFC.
5. Establishes the Homeless Housing Assistance and Prevention Program (HHAPP) to build on HEAP and provide funds to help local jurisdictions combat homelessness. HHAPP is also administered by the HCFC.

This bill:

1. Requires the Homeless Coordinating and Financing Council (HCFC), or an entity the HCFC contracts with for this purpose, upon appropriation or upon receiving technical assistance from the US Department of Housing and Urban Development (HUD), to do all of the following:
   1. Conduct a statewide needs and gaps analysis, as specified.
   2. Evaluate all data, as specified. To the extent specific data are unavailable, estimates may be calculated based on national or local data, as specified.
   3. Seek input from HCFC members on the direction of, design of data collection for, and items to be included in, the gaps and needs analysis.
2. Authorizes a local government, upon appropriation or upon receiving technical assistance from HUD, to collaborate with the HCFC or the entity conducting the gap analysis, as specified. Requires the HCFC to report on the final gap analysis by July 31, 2021, to the Legislature, as specified.
3. Requires HCD, based on the gap analysis, to set a benchmark goal to reduce homelessness in California. Requires HCD to approve or work with local agencies to identify benchmark goals to reduce homelessness for each local agency and cities within each local agency, based on the 2019 homeless point-in-time count, as specified, by December 31, 2028.
4. Requires each local agency, on or before January 1, 2022, to submit to HCD an actionable county-level plan for meeting specific annual benchmarks, as specified. Requires each city in the agency’s jurisdiction to participate and requires the local agency to actively seek the participation of all Continuums of Care (CoCs) that serve its jurisdiction. Requires the governing body of each agency, city, and CoC to approve the plan. Authorizes a local agency to use or incorporate an existing gaps or needs analysis, as specified.
5. Requires the state and each local agency to submit an annual progress report to HCD regarding progress and implementation of the adopted plan, as well as any proposed amendments. Requires HCD to review the plans and provide feedback and recommended revisions. Requires an agency to adopt recommended revisions or adopt findings as to why they are not needed.
6. Establishes the position of Housing and Homelessness Inspector General (HHIG) in HCD.
7. Requires HCD to monitor the progress of plans and, if it determines that the state or a local agency has not adopted an actionable plan, or has failed within a reasonable timeframe to make progress in accordance with the plan, requires HCD to notify the agency and the HHIG that the agency is not in substantial compliance.
8. Authorizes the HHIG, on or after January 1, 2022, to bring an action against the state, a local agency, or a city to compel compliance with this bill, as specified. If a court finds that the state or local agency is not in substantial compliance, it may issue an order or judgement directing the state, local agency, or city to substantially comply, as specified. If the court issues an order or judgment, it shall retain jurisdiction for no more than 24 months to ensure its order or judgment is carried out. Provides that the HHIG and a court shall not pursue any action within 18 months of HCD approving a plan.
9. Prohibits the state, a local agency, or a city from deliberately and intentionally transporting a homeless individual or household to a different jurisdiction unless those individuals and households choose to move. Authorizes any person to file a complaint with the HHIG if the state, a local agency, or a city violates this prohibition. Requires the HHIG to investigate such complaints. Requires the HHIG to impose a civil penalty of up to $100,000 per individual transported outside the jurisdiction.

COMMENTS

1. Author’s statement. “Homelessness is the moral crisis of our time. The COVID-19 pandemic has intensified an already intense challenge. The state and local governments lack a mechanism to hold each other accountable for reducing homelessness and as a result there is no clear strategy for responding. Local homeless advocates have sued and continue to sue cities and counties for what they see as a lack of response and urgency in responding to homelessness. Rather than waiting for coronavirus outbreaks or expensive, time-consuming lawsuits to force the question of how to address homelessness, AB 3269 would proactively establish plans, metrics, accountability and enforcement of progress towards plans. By holding all governments levels accountable based on benchmarks, AB 3269 would move California towards finally addressing the moral crisis of our day.”
2. Homelessness in California. According to the US Department of Housing and Urban Development (HUD) 2019 Annual Homeless Assessment Report to Congress, in January 2019 California had 27% of the nation’s homeless population (about 151,278 individuals). California also contains 53% of the nation’s unsheltered homeless population (108,432), including people living in vehicles, abandoned buildings, parks, or on the street. Los Angeles contains the highest number of homeless people in the state, at 56,257, where 76% of those are unsheltered. People experiencing homelessness face a variety of challenges including food and income insecurity, as well as health problems; the homeless population faces a higher risk of exposure to communicable diseases such as COVID-19, influenza, strep throat, sexually transmitted diseases, Hepatitis C, HIV/AIDS, and tuberculosis, among others.
3. The HCFC and Housing First. The HCFC was created in 2017 (SB 1380, Mitchell, Chapter 847, 2016) to oversee the implementation of “Housing First” policies, guidelines, and regulations to reduce the prevalence and duration of homelessness in California. Housing First is an evidence-based model that focuses on the idea that homeless individuals should be provided shelter and stability before underlying issues can be successfully addressed. Housing First utilizes a tenant screening process that promotes accepting applicants regardless of their sobriety, use of substances or participation in services. This approach contrasts to the “housing readiness” model where people are required to address predetermined goals before obtaining housing. The federal government has shifted its focus to Housing First over the last decade, and housing programs under HUD utilize core components of this strategy. Housing First was embraced by California in 2015 through SB 1380, which requires all state housing programs to adopt this model.
4. Lawsuits against local governments. The landmark case of Martin v. Boise challenged the city of Boise’s enforcement of its Camping and Disorderly Conduct Ordinances against individuals experiencing homelessness – those who need to sleep in public in the absence of adequate housing or shelter. Last year, a panel of the 9^th Circuit held that “as long as there is no option of sleeping indoors, the government cannot criminalize indigent, homeless people for sleeping outdoors, on public property, on the false premise they had a choice in the matter.” Following that ruling, the City of Boise petitioned the entire 9^th Circuit to rehear the case, which was rejected in April 2019. The city then asked the Supreme Court to hear the case. The Court rejected that request, affirming that within the 9^th Circuit, “the Eighth Amendment preclude[s] the enforcement of a statute prohibiting sleeping outside against homeless individuals with no access to alternative shelter.”

Orange County, along with the cities of Costa Mesa, Anaheim, and Orange, were recently sued by advocates who argued that people experiencing homelessness in those jurisdictions were effectively criminalized due to the lack of shelter beds at the time, coupled with anti-camping ordinances, was resulting in numerous tickets and eventually jail time for individuals with nowhere else to sleep. The lawsuit was filed as a result of the county clearing out an encampment in the Santa Ana Riverbed. Attorneys have since filed suit against other cities in the county. The suits filed in federal court are under the supervision of Judge David Carter, who has entered into court-enforced agreements to require these municipalities to develop emergency shelters. While the federal court under Judge Carter successfully held local governments accountable to provide emergency shelters, the process was complex, expensive, and time-consuming for both litigants and local governments. Attorneys have since filed lawsuits in, or sent demand letters to, Los Angeles, San Diego, Santa Cruz, Sacramento, San Francisco, and other jurisdictions.

1. Governor’s Council of Regional Homeless Advisors. In 2019, the Governor appointed a Council of Regional Homeless Advisors, made up of local elected officials and leading organizations that work on homelessness in the state. In January 2020, the Governor’s Council issued a number of recommendations to reduce and prevent homelessness. One of the key recommendations – which this bill aims to address – was to create an enforceable, results-based accountability mandate to end homelessness. Sacramento Mayor Darrell Steinberg, co-chair of the Governor’s Council, is a co-sponsor of this bill.
2. 2020 homeless bills. There are four bills currently pending in the Senate Housing Committee and the Senate Human Services Committee that take overlapping approaches to addressing homelessness (see table below).

1. Opposition concerns. The League of California Cities states that while it agrees with the need for a gap analysis and the need to develop actionable plans to address homelessness, this bill does not provide funding to local governments to cover the costs of developing these plans. Counties (California State Association of Counties, Rural County Representatives of California, and Urban Counties Caucus) state that while they also agree with the need for a gap analysis, the lack of funding for implementation is a significant concern. They express concern that counties will be held responsible if individual cities choose not to participate, or if a city or CoC chooses not to adopt a homeless action plan. They also express concerns about setting a statewide homeless reduction goal before local plans are developed, and request that the January 1, 2022 due date for local plans be extended by six months.
2. Triple referral. Due to the COVID-19 Pandemic and the unprecedented nature of the 2020 Legislative Session, all Senate Policy Committee are working under a compressed timeline. This timeline does not allow this bill to be referred and heard by more than one committee as a typical timeline would allow. In order to fully vet the contents of this measure for the benefit of Senators and the public, this analysis includes information from the Senate Human Services Committee.

According to the Senate Judiciary Committee:

“There are two components of this bill that would ordinarily trigger consideration before the Senate Judiciary Committee. First, the bill confers upon the HHIG the authority to involve the California courts in enforcement of the bill’s provisions through use of the writ of mandate process. Under the bill, if the HHIG determines based on specified criteria that the state or a local jurisdiction has failed to carry out its planning obligations or failed to make sufficient progress toward stated goals, the HHIG can seek a court order requiring the state or local jurisdiction to take remedial actions. The bill spells out an expansive but finite set of orders that the court may hand down at the HHIG’s request. They range from forcing the state or local jurisdiction to adopt plans, to requiring re-zoning, or the dedication of resources to addressing homelessness. Finally, the bill specifies that a court order under these provisions may be appealed, and that, if it is the courts shall hear the appeal on an “expedited basis.” Though “expedited basis” is not further defined in the bill, it presumably implies that such appeals would be given some priority over other cases. Historically, the Senate Judiciary Committee has been hesitant about legislation that purports to determine for the judiciary branch how it should prioritize its caseload given that other urgent matters could be inadvertently forced aside as a result.

Second, the bill prohibits local governments from attempting to reduce their homeless population by simply transporting homeless people elsewhere. To enforce this prohibition, the bill establishes civil penalties of $100,000 for each individual so transported. It also creates an administrative regime under the auspices of the HHIG for receiving and investigating allegations of violations. It is noteworthy that the bill does not spell out any specific process for how these civil penalties would be imposed by the HHIG. In order to satisfy procedural due process requirements, the HHIG would almost certainly have to provide the local jurisdictions with, at a minimum, notice and a hearing before handing down the civil penalty. (Mathews v. Eldridge (1976) 424 U.S. 319, 333.)”

Related Legislation:

AB 1845 (Luz Rivas, 2020) — establishes the Office to End Homelessness, to be headed by the newly created Secretary on Housing Insecurity and Homelessness, to serve as the lead entity for ending homelessness in California. This bill is pending in the Senate Human Services Committee.

AB 2329 (Chiu, 2020) — requires the HCFC to conduct a homelessness statewide gaps and needs assessment by July 31, 2021. This bill was held on suspense in the Senate Appropriations Committee. Its contents were amended into AB 3269.

AB 2405 (Burke, 2020) — declares a state policy that every individual in California has the right to safe, decent, and affordable housing. This bill will be heard today in this committee.

AB 2746 (Gabriel, 2020) — imposes a number of reporting requirements on recipients of state homeless funding. This bill is pending in the Senate Human Services Committee.

FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: Yes

POSITIONS: (Communicated to the committee before noon on Friday,

July 24, 2020.)

SUPPORT:

City of Sacramento Mayor Darrel Steinberg (Sponsor)
Corporation for Supportive Housing (Co-Sponsor)
Housing California (Co-Sponsor)
All Home
Brilliant Corners

City of San Jose Mayor Sam Liccardo
Disability Rights California
Downtown Women's Center

San Francisco Bay Area Rapid Transit District (BART)
San Gabriel Valley Consortium on Homelessness
Shelter Partnership
St. Joseph Center
United Way of Greater Los Angeles

OPPOSITION:

California State Association of Counties
City of Beverly Hills
City of Placentia
City of Santa Clarita
League of California Cities
Rural County Representatives of California
Urban Counties Caucus

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ASSEMBLY THIRD READING

ATR Bill Id:AB 3269

Author:(Chiu and Santiago)

As Amended Ver:June 4, 2020

Majority vote

SUMMARY:

Creates the Office of the Housing and Homelessness Inspector General to provide greater accountability for state and local actions to address homelessness, imposes new requirements on local governments to develop actionable plans address homelessness, and creates a public right of action for the Inspector General to compel compliance with those new plans.

Major Provisions

1. Requires the Homelessness Coordinating and Financing Council to conduct a statewide gaps and needs analysis to determine existing resources to address homelessness.
2. Gives the Housing and Homelessness Inspector General the following duties:
3. Monitor the implementation and progress of the state and local agencies based on adopted plans;
4. Offer technical assistance to state and local agencies to comply with actionable plans to address homelessness;
5. Audit state and local agencies to determine compliance with adopted plans;
6. Bring actions against a state or local agency to compel compliance with their respective adopted plans; and
7. Investigate complaints and issue civil penalties.
8. Requires the Department of Housing and Community Development (HCD) to set benchmark goals to reduce homelessness for each state and local agency. The benchmark goal will set a minimum percentage reduction of homelessness within the state or local agency's jurisdiction by December 21, 2028, based on the 2019 point-in-time count.
9. Requires each state and local agency to develop an actionable plan to achieve the benchmarks that includes the following:
10. A description and the amount of funding of all sources that the state or local agency has earmarked or committed to reducing and addressing homelessness in their jurisdiction;
11. The estimated amount of additional funding needed to meet the homelessness reduction goals;
12. Timelines for the state and local agencies to utilize existing funding identified; and
13. Specific actions that the state or local agency will take to meet the goal of reducing homelessness by moving people to permanent housing.
14. Requires a county and city to adopt an actionable plan by resolution.
15. Requires each state and local agency to transmit the plan to HCD by January 1, 2022.
16. Requires each state and local agency to summit an annual progress report to the HCD that details the progress and implementation of the adopted plan and any amendments to the plan.
17. Requires HCD, upon receipt of the plan, to review the plan and offer feedback and recommended revisions.
18. Requires a state or local agency to adopt the recommended revisions to their plan received from the HCD or make a finding as to why the revisions are not needed.
19. Requires HCD to monitor the progress of each state and local agency to adopt and implement a plan and, if the Council determines that either has failed to adopt a plan or to make progress in accordance with the plan, to notify the state and local agency as well as the Inspector General.
20. Provides that if new resources to address homelessness are identified in a progress report, then the HCD shall update the benchmark goal.
21. Provides that, on or after January 1, 2022, the Inspector General may bring an action against a state or local agency to compel compliance with the actionable plan.
22. Requires any action against the state shall be brought in the Superior Court of the County of Sacramento and any action against a local agency shall be brought in the superior court of the county or county within which a city is located.
23. Provides that if the court finds that a state or local agency has not substantially complied with the actionable plan, the Inspector General may request that the court issue an order or judgement directing the state or local agency to substantially comply with the actionable plan by taking the following actions:
24. If a state or local agency has not adopted an actionable plan within the specified time period, require a plan be adopted;
25. Dedicate resources identified in the plan to reduce the number of individuals experiencing homelessness;
26. Coordinate with other state or local agencies to reduce the number of individuals experiencing homelessness;
27. Pool resources identified in the plan with other resources in other jurisdictions in order to address regional challenges or reducing homelessness;
28. Require local agencies to rezone sites to permit the construction of housing and emergency shelters; and
29. Order a jurisdiction to establish coordinated entry points for homeless individuals and those at imminent risk of becoming homeless.

COMMENTS:

Governor's Council of Regional Homeless Advisors (Governor's Council) In 2019, the Governor appointed a Council of Regional Homeless Advisors (Governor's Council) made up of local elected officials and leading organizations that work on homelessness in the state. In January of 2020, the Governor's Council issued several recommendations to reduce and prevent homelessness. One of the key recommendations of the Governor's Council was to create an enforceable, results-based accountability mandate to end homelessness.

Lawsuits against local governments: Local governments are coming under increasing pressure from advocates and the business community to address homelessness. The landmark case of Martin v. Boise challenged the City of Boise's enforcement of its Camping and Disorderly Conduct Ordinances against persons experiencing homelessness—those who need to sleep in public in the absence of adequate housing or shelter. Last year, a panel of the 9th Circuit held that "as long as there is no option of sleeping indoors, the government cannot criminalize indigent, homeless people for sleeping outdoors, on public property, on the false premise they had a choice in the matter." Following that ruling, the City of Boise petitioned the entire 9th Circuit to rehear the case, which was rejected in April 20l9. Boise then asked the Supreme Court to hear the case and the Court rejected that request, thereby affirming that within the 9th Circuit, "the Eighth Amendment preclude[s] the enforcement of a statute prohibiting sleeping outside against homeless individuals with no access to alternative shelter."

Orange County, along with the cities of Costa Mesa, Anaheim, and Orange, were recently sued by advocates who argued that the people experiencing homelessness in those jurisdictions were effectively criminalized because the lack of shelter beds at the time, coupled with anti-camping ordinances, would result in numerous tickets and eventually jail time for individuals with nowhere else to sleep. The lawsuit was filed as a result of the county clearing out an encampment in the Santa Ana Riverbed. Attorneys have since filed suit against other cities in the county. The suits filed in the Federal Court are under the supervision of Judge David Carter, who has entered into court-enforced agreements to require the municipalities to develop emergency shelters. While the federal court under Judge David Carter successfully held local governments accountable to provide emergency shelters, the process was complex, expensive, and time-consuming for both litigants and local governments. Attorneys have since filed lawsuits in or sent demand letters to Los Angeles, San Diego, Santa Cruz, Sacramento, San Francisco and other jurisdictions.

Gaps and needs analysis: This bill would require the Council to complete a statewide homelessness gaps and needs analysis to determine the available resources at the local and state level to address homelessness.

Public right of action: The Housing and Homelessness Inspector General can take action against a state or local government for failing to submit a plan or for not following a plan. The court can order the adoption of a plan, dedicate the resources in the plan toward reducing the number of people experiencing homelessness, coordinate with other state and local agencies to reduce the number of people who are homelessness, require sites be rezoned for emergency shelter, pool resources for homelessness between jurisdictions to create a regional response, and order a jurisdiction to establish coordinated entry points for people experiencing homelessness.

According to the Author:

According to the author, "Homelessness is the moral crisis of our time. The COVID-19 pandemic has intensified an already intense crisis. The state and local governments lack a mechanism to hold each other accountable for reducing homelessness and as a result there is no clear strategy for responding. Local homeless advocates have sued and continue to sue cities and counties for what they see as a lack of response and urgency in responding to homelessness. Rather than waiting for coronavirus outbreaks or expensive, time-consuming lawsuits to force the question of how to address homelessness, AB 3269 would proactively establish plans, metrics, accountability and enforcement of progress towards plans. By holding all governments levels accountable based on benchmarks, AB 3269 would move California towards finally addressing the moral crisis of our day.

Arguments in Support:

According to a supporters, "AB 3269 is a bold step establishing real accountability that will compel urgent action by every level of government to bring people indoors with the services they need to reclaim their lives. Following a statewide gaps analysis of available resources that can utilized to reduce homelessness, the bill requires the Homeless Coordinating and Finance Council to establish aggressive but reasonable timelines for cities, the county and the state to get thousands of unsheltered people off the street with the goal of reducing homelessness by 90 percent of the 2019 Point-in-Time (PIT) Counts. Additionally, this bill establishes desperately needed accountability by creating a public right of action to be exercised by the Housing and Homelessness Inspector General with the authority to seek remedial action for recalcitrant jurisdictions failing to meet the requirements of those plans. These actions, including requiring jurisdictions to permit construction of interim and permanent housing or to consolidate their resources with neighboring jurisdictions, are intended to achieve results, not penalize jurisdictions.

Arguments in Opposition:

None on file.

FISCAL COMMENTS:

According to the Assembly Committee on Appropriations:

1. Office of the Housing and Homelessness Inspector General (Office):

Estimated initial costs in the low millions of dollars (GF) to tens of millions of dollars (GF) annually ongoing to BCSH to establish the Office and provide staff to carry out the duties required in the bill. Specifically, the Office would require staffing to provide oversight and enforcement over state and local agencies that fail to adopt an actionable homelessness reduction plans as well as civil enforcement authority over state or local agencies. Staff would also monitor the progress of jurisdictions in adopting their plans, investigate complaints and provide technical assistance for local compliance.

1. Gaps and Needs Analysis:

Estimated one-time costs in the range of the high hundreds of thousands of dollars to the low millions of dollars (GF) to the Council to contract with an external consultant to develop and conduct a statewide needs and gaps analysis. These costs could be offset to the extent a technical assistance grant from the United States (U.S.) Department of Housing and Urban Development (HUD) is secured to fund the analysis.

The U.S. Department of Housing and Urban Development (HUD) provides technical assistance to states and CoCs to complete needs analyses. States can access this technical assistance by completing an application requesting the assistance. The HUD has funded technical assistance to complete local needs analyses in a number of jurisdictions across California, and is currently prioritizing technical assistance requests from states and jurisdictions that have large unsheltered populations, such as California. The HUD technical assistance grants pay for the full costs of the needs analyses.

1. Department of Housing and Community Development:

Estimated costs of $1.485 million (GF) in the first year and $1.405 million (GF) in the second year and ongoing to HCD for seven additional positions. Required duties include setting benchmark goals, based on the gap analysis, for over 500 state and local agencies to reduce homelessness; receiving, reviewing and recommending revisions to each state and local agency's adopted plan; monitoring the progress of each state and local agency; receiving annual progress reports regarding each adopted plan; and notifying the Inspector General if a state or local agency is out of compliance.

1. State-mandated Local Costs.

State-mandated local costs, of an unknown amount but likely significant statewide, for each local agency to develop and implement a homelessness plan. These costs are potentially reimbursable by the state, subject to a determination by the Commission on State Mandates, should a local agency file a claim.

VOTES:

ASM HOUSING AND COMMUNITY DEVELOPMENT: 6-1-1

YES: Chiu, Gabriel, Gloria, Limón, Maienschein, Quirk-Silva

NO: Kiley

ABS, ABST OR NV: Diep

ASM APPROPRIATIONS: 12-0-6

YES: Gonzalez, Bauer-Kahan, Bloom, Bonta, Calderon, Carrillo, Chau, Eggman, Gabriel, Eduardo Garcia, McCarty, Robert Rivas

ABS, ABST OR NV: Bigelow, Megan Dahle, Diep, Fong, Petrie-Norris, Voepel

UPDATED:

VERSION: June 4, 2020

CONSULTANT: Lisa Engel / H. & C.D. / (916) 319-2085 FN: 0003020

Date of Hearing: June 2, 2020

ASSEMBLY COMMITTEE ON APPROPRIATIONS

Lorena Gonzalez, Chair

ABPCA Bill Id:AB 3269

Author:(Chiu) – As Amended Ver:May 22, 2020

Urgency: No State Mandated Local Program: Yes Reimbursable: Yes

SUMMARY:

This bill creates the Office of the Housing and Homelessness Inspector General, requires the Homelessness Coordinating and Financing Council (Council) to conduct a needs and gaps analysis, requires local governments to develop actionable plans to address homelessness, and creates a public right of action for the Inspector General to compel compliance with those new plans, among other things. Specifically, this bill:

1. Creates the Office of the Housing and Homelessness Inspector General as an independent office within the Business, Consumer Services and Housing Agency (BCSH) under the supervision of the Housing and Homelessness Inspector General (Inspector General).
2. Requires the Inspector General to do the following:
3. Monitor the implementation and progress of the state and local agencies based on adopted plans.
4. Offer technical assistance to state and local agencies to comply with actionable plans to address homelessness.
5. Audit state and local agencies to determine compliance with adopted plans.
6. Bring actions against a state or local agency to compel compliance with their respective adopted plans.
7. Investigate complaints and issue civil penalties.
8. Requires the Council to conduct a gaps and needs analysis to summarize the current inventory of services for persons experiencing homelessness and to quantify the need for additional interventions and the associated cost for those interventions.
9. Requires the Department of Housing and Community Development (HCD) to set a benchmark by January 1, 2028 to reduce homelessness, based on the needs and gaps analysis performed by the Council.
10. Requires each state and local agency to develop an actionable plan to achieve the benchmark goal to reduce homelessness set by HCD and transmit the plan to HCD by January 1, 2022.

FISCAL EFFECT:

1. Office of the Housing and Homelessness Inspector General (Office):

Estimated initial costs in the low millions of dollars (GF) to tens of millions of dollars (GF) annually ongoing to BCSH to establish the Office and provide staff to carry out the duties required in the bill. Specifically, the Office would require staffing to provide oversight and enforcement over state and local agencies that fail to adopt an actionable homelessness reduction plans as well as civil enforcement authority over state or local agencies. Staff would also monitor the progress of jurisdictions in adopting their plans, investigate complaints and provide technical assistance for local compliance.

1. Gaps and Needs Analysis:

Estimated one-time costs in the range of the high hundreds of thousands of dollars to the low millions of dollars (GF) to the Council to contract with an external consultant to develop and conduct a statewide needs and gaps analysis. These costs could be offset to the extent a technical assistance grant from the U.S. Department of Housing and Urban Development (HUD) is secured to fund the analysis.

The U.S. Department of Housing and Urban Development (HUD) provides technical assistance to states and CoCs to complete needs analyses. States can access this technical assistance by completing an application requesting the assistance. The HUD has funded technical assistance to complete local needs analyses in a number of jurisdictions across California, and is currently prioritizing technical assistance requests from states and jurisdictions that have large unsheltered populations, such as California. The HUD technical assistance grants pay for the full costs of the needs analyses.

1. Department of Housing and Community Development:

Estimated costs of $1.485 million (GF) in the first year and $1.405 million (GF) in the second year and ongoing to HCD for seven additional positions. Required duties include setting benchmark goals, based on the gap analysis, for over 500 state and local agencies to reduce homelessness; receiving, reviewing and recommending revisions to each state and local agency’s adopted plan; monitoring the progress of each state and local agency; receiving annual progress reports regarding each adopted plan; and notifying the Inspector General if a state or local agency is out of compliance.

1. State-mandated Local Costs.

State-mandated local costs, of an unknown amount but likely significant statewide, for each local agency to develop and implement a homelessness plan. These costs are potentially reimbursable by the state, subject to a determination by the Commission on State Mandates, should a local agency file a claim.

COMMENTS:

1. Purpose. This bill seeks to ensure that local governments and relevant state agencies are held accountable for addressing homelessness by requiring goal-based action plans subject to enforcement by the Inspector General. According to the author:

State and local governments lack a mechanism to hold each other accountable for reducing homelessness and as a result there is no clear strategy for responding. Local homeless advocates have sued and continue to sue cities and counties for what they see as a lack of response and urgency in responding to homelessness. Rather than waiting for coronavirus outbreaks or expensive, time-consuming lawsuits to force the question of how to address homelessness, [this bill] would proactively establish plans, metrics, accountability and enforcement of progress towards plans. By holding all governments levels accountable based on benchmarks, [this bill] would move California towards finally addressing the moral crisis of our day.

1. Background. In 2019, on a single night, 151,278 people experienced homelessness in California. California has 24% of the people in the nation experiencing homelessness. Nearly half of all unsheltered people in the country were in California. The number of people experiencing homelessness increased by 17% from 2018 to 2019.

The COVID-19 pandemic has intensified the homelessness crisis. Due to the highly contagious nature of the COVID-19 virus, unsheltered people, living outdoors in close quarters without access to sanitation, face increased risk of exposure and illness. Local governments are working to bring people indoors to reduce the health risk to people experiencing homelessness, as well as others. This requires identifying new housing or reconfiguring existing emergency shelters to accommodate the need for social distancing. Recently, economists predicted that homelessness could rise by 20% as a result of the pandemic as unemployment and high housing cost push more people into homelessness.

1. Lawsuits. Orange County, along with the cities of Costa Mesa, Anaheim, and Orange, were recently sued by advocates who argued that the people experiencing homelessness in those jurisdictions were effectively criminalized because the lack of shelter beds at the time, coupled with anti-camping ordinances, would result in numerous tickets and eventually jail time for individuals with nowhere to sleep. The federal court held local governments accountable to provide emergency shelters, but the process was complex, expensive, and time-consuming for both litigants and local governments. Attorneys have since filed lawsuits in or sent demand letters to the cities of Los Angeles, San Diego, Santa Cruz, Sacramento, San Francisco and other jurisdictions.

In part to alleviate additional litigation, this bill requires each local government to develop an actionable plan to address homelessness and submit it to HCD for review and recommendations. Local governments will be responsible for meeting goals set forth in their plans and will be accountable to the Inspector General.

1. Related Legislation.

AB 1845 (l. Rivas), of this legislative session, creates the Governor’s Office to End Homelessness under the direction of the Secretary of Housing Insecurity and Homelessness, and moves the Council from BCSH to the Office to End Homelessness.

AB 2329 (Chiu), of this legislative session, requires the Council to perform a homelessness statewide gaps and needs analysis by July 31, 2021.

Analysis Prepared by: Jennifer Swenson / APPR. / (916) 319-2081

Date of Hearing: May 20, 2020

ASSEMBLY COMMITTEE ON HOUSING AND COMMUNITY DEVELOPMENT

David Chiu, Chair

ABPCA Bill Id:AB 3269 (

Author:Chiu) – As Amended Ver:May 4, 2020

SUBJECT: State and local agencies: homelessness plan

SUMMARY: Creates the Office of the Housing and Homelessness Inspector General to create greater accountability for state and local actions to address homelessness, imposes new requirements on local governments to develop actionable plans address homelessness, and creates a public right of action for the Inspector General to compel compliance with those new plans, among other things. Specifically, this bill:

1. Creates the Office of the Housing and Homelessness Inspector General in the Business, Consumer Services, and Housing Agency under the supervision of the Housing and Homelessness Inspector General.
2. Gives the Housing and Homelessness Inspector General the following duties:
3. Monitor the implementation and progress of the state and local agencies based on adopted plans;
4. Offer technical assistance to state and local agencies to comply with actionable plans to address homelessness;
5. Audit state and local agencies to determine compliance with adopted plans;
6. Bring actions against a state or local agency to compel compliance with their respective adopted plans; and
7. Investigate complaints and issue civil penalties.
8. Requires the Homelessness Coordinating and Financing Council (Council) conduct a gaps and needs analysis to identify the housing and services needed statewide to address homelessness.
9. Requires the Council, based on the gaps and needs analysis, to set a benchmark goal to reduce homelessness for each state and local agency. The benchmark goal will set a minimum percentage reduction of homelessness within the state or local agency’s jurisdiction by December 21, 2028, based on the 2019 point-in-time count.
10. States that it is the intent of the Legislature that:
    1. A state and local agency shall aim to reduce homelessness in their jurisdiction by 90 percent by December 31, 2028, based on the 2019 homeless point-in-time count pursuant to Section 578.3 of Title 24 of the Code of Federal Regulations; and
    2. A state or local agency is only accountable for reducing homelessness to the extent that it has available resources to address homelessness, and that the state or local agency should not be required to expend additional funds not contained in its actionable plan in order to meet the benchmark goal set by the Council.
11. Requires each state and local agency to develop an actionable plan to achieve the benchmarks that includes the following:
12. A description and the amount of funding of all sources that the state or local agency has earmarked or committed to reducing and addressing homelessness in their jurisdiction;
13. The estimated amount of additional funding needed to meet the homelessness reduction goals;
14. Timelines for the state and local agencies to utilize existing funding identified; and
15. Specific actions that the state or local agency will take to meet the goal of reducing homelessness by moving people to permanent housing.
16. Requires a county and city to adopt an actionable plan by resolution.
17. Requires each state and local agency to transmit the plan to the Council by January 1, 2022.
18. Requires each state and local agency to summit an annual progress report to the Council that details the progress and implementation of the adopted plan and any amendments to the plan.
19. Requires the Council, upon receipt of the plan, to review the plan and offer feedback and recommended revisions.
20. Requires a state or local agency to adopt the recommended revisions to their plan received from the Council or make a finding as to why the revisions are not needed.
21. Requires the Council to monitor the progress of each state and local agency to adopt and implement a plan and, if the Council determines that either has failed to adopt a plan or to make progress in accordance with the plan, to notify the state and local agency as well as the Inspector General.
22. Provides that if new resources to address homelessness are identified in a progress report, then the Council shall update the benchmark goal.
23. Provides that, on or after January 1, 2022, the Inspector General may bring an action against a state or local agency to compel compliance with the actionable plan.
24. Requires any action against the state shall be brought in the Superior Court of the County of Sacramento and any action against a local agency shall be brought in the superior court of the county or county within which a city is located.
25. Provides that if the court finds that a state or local agency has not substantially complied with the actionable plan, the Inspector General may request that the court issue an order or judgement directing the state or local agency to substantially comply with the actionable plan by taking the following actions:
26. If a state or local agency has not adopted an actionable plan within the specified time period, require a plan be adopted;
27. Dedicate resources identified in the plan to reduce the number of individuals experiencing homelessness;
28. Coordinate with other state or local agencies to reduce the number of individuals experiencing homelessness;
29. Pool resources identified in the plan with other resources in other jurisdictions in order to address regional challenges or reducing homelessness;
30. Require local agencies to rezone sites to permit the construction of housing and emergency shelters; and
31. Order a jurisdiction to establish coordinated entry points for homeless individuals and those at imminent risk of becoming homeless.
32. Limits the remedies available to the court to those outlined above in 16).
33. Provides that the court shall retain jurisdiction of the case for no more than 12 months to ensure that the order or judgment is carried out.
34. Prohibits a state or local agency from deliberately and intentionally transporting a homeless individual to a different jurisdiction in order to reduce the number of homeless individuals in their jurisdiction.
35. Provides that any person may file a complaint with the Inspector General that a state or local agency has deliberately and intentionally transported a homeless individual to a different jurisdiction.
36. Authorizes the Inspector General to impose a fine on any state or local jurisdiction found to have deliberately and intentionally transported a homeless individual to a different jurisdiction, not to exceed $10,000 per individual transported.

EXISTING LAW:

FISCAL EFFECT: Unknown.

COMMENTS:

Author’s statement: According to the author, “Homelessness is the moral crisis of our time. The COVID-19 pandemic has intensified an already intense crisis. The state and local governments lack a mechanism to hold each other accountable for reducing homelessness and as a result there is no clear strategy for responding. Local homeless advocates have sued and continue to sue cities and counties for what they see as a lack of response and urgency in responding to homelessness. Rather than waiting for coronavirus outbreaks or expensive, time-consuming lawsuits to force the question of how to address homelessness, AB 3269 would proactively establish plans, metrics, accountability and enforcement of progress towards plans. By holding all governments levels accountable based on benchmarks, AB 3269 would move California towards finally addressing the moral crisis of our day.

Background: California is facing a homelessness and affordable housing crisis. In 2019, on a single night in January, 151,278 people experienced homelessness in California. California has 24 percent of the people in the nation experiencing homelessness. Nearly half of all unsheltered people in the country are in California. The number of people experiencing homelessness increased by 17 percent from 2018 to 2019.

The homeless crisis is driven, in part by the lack of affordable rental housing for lower income people. In the current market, 2.2 million extremely low-income and very low-income renter households are competing for 664,000 affordable rental units. Of the six million renter households in the state, 1.7 million are paying more than 50 percent of their income toward rent. The National Low Income Housing Coalition estimates that the state needs an additional 1.5 million housing units affordable to very-low income Californians.

The COVID-19 pandemic has intensified an already intense homelessness crisis. Due to the highly contagious quality of the virus, unsheltered people, living outdoors in close quarters without access to sanitation, face increased risk of exposure and illness. Local governments are working to bring people in doors to reduce the health risk to people experiencing homelessness, as well as others. This requires identifying new housing or reconfiguring existing emergency shelters to accommodate the need for social distancing. This has led to a fresh suite of lawsuits to hold local governments accountable for safely housing the unsheltered during the pandemic. Recently, economists predicted that homelessness could rise by 20 percent as a result of the pandemic as unemployment and high housing cost push more people into homelessness.

Lawsuits against local governments: Local governments are coming under increasing pressure from advocates and the business community to address homelessness. The landmark case of Martin v. Boise challenged the City of Boise’s enforcement of its Camping and Disorderly Conduct Ordinances against persons experiencing homelessness—those who need to sleep in public in the absence of adequate housing or shelter.  Last year, a panel of the 9^th Circuit held that “as long as there is no option of sleeping indoors, the government cannot criminalize indigent, homeless people for sleeping outdoors, on public property, on the false premise they had a choice in the matter.” Following that ruling, the City of Boise petitioned the entire 9^th Circuit to rehear the case, which was rejected in April 20l9. Boise then asked the Supreme Court to hear the case and the Court rejected that request, thereby affirming that within the 9^th Circuit, “the Eighth Amendment preclude[s] the enforcement of a statute prohibiting sleeping outside against homeless individuals with no access to alternative shelter.”

Orange County, along with the cities of Costa Mesa, Anaheim, and Orange, were recently sued by advocates who argued that the people experiencing homelessness in those jurisdictions were effectively criminalized because the lack of shelter beds at the time, coupled with anti-camping ordinances, would result in numerous tickets and eventually jail time for individuals with nowhere else to sleep. The lawsuit was filed as a result of the county clearing out an encampment in the Santa Ana Riverbed. Attorneys have since filed suit against other cities in the county. The suits filed in the Federal Court are under the supervision of Judge David Carter, who has entered into court-enforced agreements to require the municipalities to develop emergency shelters. While the federal court under Judge David Carter successfully held local governments accountable to provide emergency shelters, the process was complex, expensive, and time-consuming for both litigants and local governments. Attorneys have since filed lawsuits in or sent demand letters to Los Angeles, San Diego, Santa Cruz, Sacramento, San Francisco and other jurisdictions.

Purpose of this bill: This bill would require the state and local governments to assess available resources to address homelessness and provide that analysis to the Council. The Council would review and provide feedback to the entity submitting the analysis. Based on the gaps and needs analysis, the Council will develop benchmarks goals for each state and local agency to reduce homelessness. Based on those goals, the state and local government will develop an actionable plan and submit it to the Council by January 1, 2022. Each year the plan will be updated and resubmitted. State and local governments are only accountable for the resources they have available to them at the time the plan is adopted and submitted.

Public right of action: The Housing and Homelessness Inspector General can take action against a state or local government for failing to submit a plan or for not following a plan. The court can order the adoption of a plan, dedicate the resources in the plan toward reducing the number of people experiencing homelessness, coordinate with other state and local agencies to reduce the number of people who are homelessness, require sites be rezoned for emergency shelter, pool resources for homelessness between jurisdictions to create a regional response, and order a jurisdiction to establish coordinated entry points for people experiencing homelessness.

Governor’s Council of Regional Homeless Advisors (Governor’s Council) In 2019, the Governor appointed a Council of Regional Homeless Advisors (Governor’s Council) made up of local elected officials and leading organizations that work on homelessness in the state. In January of 2020, the Governor’s Council issued several recommendations to reduce and prevent homelessness. One of the key recommendations of the Governor’s Council was to create an enforceable, results-based accountability mandate to end homelessness. Below is the recommendation:

There are few other areas of important public policy where government efforts to achieve a compelling societal objective are purely voluntary. We have a renewable energy mandate in California that requires public agencies to achieve a quantifiable increase of renewable energy sources according to specific timetables. This requirement is changing California’s energy use in dramatic fashion. California mandates free public education for all of its children and subsidized health insurance for its low-income residents. It requires its subdivisions to provide services to people with developmental disabilities and foster children.

Homelessness is a crisis of epic and increasing magnitude. Yet everything that state, county and city governments do to alleviate this crisis is voluntary. There is no mandate to ensure people can live indoors, no legal accountability for failing to do so, no enforceable housing production standard and no requirement to consolidate and coordinate funding streams across jurisdictions. The results speak for themselves.

Advocates, providers, and government have attempted to use moral persuasion and economic incentives to change the current reality. Neither has had the essential impact to bring all of our neighbors inside. It is past time to now REQUIRE what we all know is fair, compassionate, and necessary to save lives.

We propose that both state and local governments be held legally accountable to achieve the aims of dramatically reducing homelessness and creating avenues to rapid resolution. A legally enforceable, results-based, accountability mandate will require state and local governments to provide resources for, and reduce barriers to, the creation of both interim and permanent housing that is high quality, low barrier and complies with fair housing rules.

In order to create genuine accountability, the legal mandate must be enforceable through a public right of action that requires state and local governments to create the capacity to bring unsheltered homeless people under a roof, including both funding and rapid approval and siting of interim housing, permanent housing, supportive services, and targeted prevention to reduce homelessness by the tens of thousands. Sweeps and criminalization have been shown not to work in this effort. Strategies that explicitly or implicitly encourage these actions will be unacceptable.

The mandate must include strict and regular reporting by the state, cities, and counties on the number of homeless people; the jurisdiction’s capacity and rapid progress to both house them and address the underlying issues which caused or exacerbated their homelessness; respective efforts to prevent them re-entering or becoming newly homeless; steps taken to ensure that exits from jails, hospitals, and foster care do not result in homelessness; and the steps being taken to close deficits in these areas.

 Enacting a legally enforceable, results-based accountability mandate will require a constitutional amendment because of its fiscal impact relating to state mandate laws. The task force recommends the constitutional amendment creating the enforceable mandate be placed on the ballot by the Legislature in 2020.

Here is how the enforceable accountability mandate could work under law: Within one year of establishing the mandate, the responsible governments would be required to develop an enforceable plan to house the vast majority of their homeless populations within an aggressive but reasonable period of time, based on the jurisdiction’s last Point-In-Time Count.

To be clear, the obligation lies with government to strategize, plan, and implement. Homeless people will be the beneficiaries of that government action.

These plans would include specific benchmarks and timelines that jurisdictions would have to meet for moving people into permanent housing through both services offered in interim interventions and creation of housing opportunities. One year after enactment, designated public officials as identified by the legislation would have the authority to file a public right of action requesting the Superior Court in any non-compliant jurisdiction to either appropriate existing resources, consolidate resources with neighboring jurisdictions, override any siting restrictions, and/or effectuate any actions that would move the jurisdiction toward compliance. Any appeals would be heard by higher courts on an expedited basis.

While more state resources will undoubtedly be required, the state must first assess the existing funding available for homelessness, housing, mental health and substance abuse treatment, and the extent to which these resources could be reprioritized to end street homelessness. The Governor and Legislature, with the guidance of this task force, should spend the first months of 2020 developing a better integration of existing and additional funding sources to meet this mandate. The state should reserve the right, and enforce through the courts, the right to require remedial reprioritization of existing resources by cities, counties and the state to ensure a commitment to the mandate.

In order to expand access to mental health and substance abuse treatment for individuals experiencing homelessness, the state should work in tandem with counties to ensure that existing funding, funding proposed in the Governor’s budget, and proposed Medi-Cal reforms align with the state’s goals to improve access to treatment for the estimated 25% of homeless individuals living with a serious mental illness or substance use disorder while at the same time not reducing the levels of funding directed at core prevention and Medi-Cal behavioral health services.

There is still much work to be done to negotiate the parameters of an enforceable obligation, shared by the state and local governments, including identifying the responsibilities of the respective stakeholders and timelines for action, in addition to how the obligation would be enforced. The task force proposes to work with you, the Legislature and relevant stakeholders over the next months to design the specific elements of the legally enforceable, results-based accountability mandate. 

The elected leaders of the task force commit to working with the Administration to establish as many local enforceable mandate pilots in their own jurisdictions as possible prior to the eventual constitutional amendment taking effect.

Committee amendments:

1. Move the Housing and Homelessness Inspector General to the Department of Housing and Community Development from the Homelessness Coordinating and Financing Council.
2. Require the actionable plan to be developed collaboratively by a county, cities, and Continuum of Care.
3. Add additional intent language.

REGISTERED SUPPORT / OPPOSITION:

Support

Mayor Darrell Steinberg, City of Sacramento (Sponsor)
City of San Diego
Corporation for Supportive Housing
Housing California

Mayor Libby Schaaf, City of Oakland
National Association of Social Workers, California Chapter

5 Individuals

Opposition

None on file

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