SB 802: Housing finance and development: Sacramento Regional Housing and Homelessness Joint Powers Authority Act.
- Session Year: 2025-2026
- House: Senate
- Latest Version Date: 2026-09-20
Current Status:
Passed
(2026-09-20: Chaptered by Secretary of State. Chapter 417, Statutes of 2026.)
Introduced
In Committee
Awaiting First Chamber Vote
Passed First Chamber
In Committee
Awaiting Second Chamber Vote
Passed Second Chamber
Enacted
What does this bill do?
The bill requires Sacramento County and the cities of Sacramento, Elk Grove, Rancho Cordova, Citrus Heights, and Folsom to form a joint powers authority to coordinate regional housing and homelessness services. The authority would bring the Sacramento City and County Continuum of Care — the local system that coordinates homeless services — under its oversight and direct the lead agency, set system goals, oversee data (like HMIS and the Point‑in‑Time Count), coordinate prevention, outreach, shelter and housing, and have a board of the six jurisdictions’ elected officials, while local governments keep final control of funding, land use and local programs.
The summary is provided by generative AI which can make mistakes. For original language, please view the details in the table below.
(1)Existing law, the Joint Exercise of Powers Act, authorizes 2 or more public agencies, by agreement, to form a joint powers authority to exercise any power common to the contracting parties, as specified. Existing law authorizes the agreement to set forth the manner by which the joint powers authority will be exercised.
This bill, by January 1, 2028, would require the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom to participate in and work together to establish a joint powers authority, pursuant to the Joint Exercise of Powers Act, designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento. In this regard, the bill would require the above-specified local governments together to, among other things, bring the oversight and functions of the Sacramento City and County Continuum of Care under the jurisdiction of the joint powers authority, while maintaining the federally required composition and integrity of the continuum of care. The bill would require the joint powers authority to, among other things, provide direction to the continuum of care lead agency. The bill would specify that a local jurisdiction retains oversight and accountability over funding decisions, projects, and programs administered by the jurisdiction, including contracting for prevention, outreach, sheltering, and housing. The bill would declare that these provisions are severable. The bill would make findings and declarations relating to its provisions.
By requiring the above-described local governments to establish the joint powers authority, this bill would impose a state-mandated local program.
This bill would make legislative findings and declarations as to the necessity of a special statute for County of Sacramento. The bill would make additional related findings and declarations.
(2)The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
(1)Existing law, the Joint Exercise of Powers Act, authorizes 2 or more public agencies, by agreement, to form a joint powers authority to exercise any power common to the contracting parties, as specified. Existing law authorizes the agreement to set forth the manner by which the joint powers authority will be exercised.
This bill, by January 1, 2028, would require the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom to participate in and work together to establish a joint powers authority, pursuant to the Joint Exercise of Powers Act, designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento. In this regard, the bill would require the above-specified local governments together to, among other things, bring the oversight and functions of the Sacramento City and County Continuum of Care under the jurisdiction of the joint powers authority, while maintaining the federally required composition and integrity of the continuum of care. The bill would require the joint powers authority to, among other things, provide direction to the continuum of care lead agency. The bill would specify that a local jurisdiction retains oversight and accountability over funding decisions, projects, and programs administered by the jurisdiction, including contracting for prevention, outreach, sheltering, and housing. The bill would declare that these provisions are severable. The bill would make findings and declarations relating to its provisions.
By requiring the above-described local governments to establish the joint powers authority, this bill would impose a state-mandated local program.
This bill would make legislative findings and declarations as to the necessity of a special statute for County of Sacramento. The bill would make additional related findings and declarations.
(2)The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
(1)Existing law, the Joint Exercise of Powers Act, authorizes 2 or more public agencies, by agreement, to form a joint powers authority to exercise any power common to the contracting parties, as specified. Existing law authorizes the agreement to set forth the manner by which the joint powers authority will be exercised.
This bill bill, by January 1, 2028, would require the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom to participate in and work together to establish a joint powers authority, pursuant to the Joint Exercise of Powers Act, designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento. In this regard, the bill would require the above-specified local governments together to, among other things, bring the oversight and functions of the Sacramento City and County Continuum of Care under the jurisdiction of the joint powers authority, while maintaining the federally required composition and integrity of the continuum of care. The bill would require the joint powers authority to, among other things, provide direction to the continuum of care lead agency. The bill would specify that a local jurisdiction retains oversight and accountability over funding decisions, projects, and programs administered by the jurisdiction, including contracting for prevention, outreach, sheltering, and housing. The bill would declare that these provisions are severable. The bill would make findings and declarations relating to its provisions.
By requiring the above-described local governments to establish the joint powers authority, this bill would impose a state-mandated local program.
This bill would make legislative findings and declarations as to the necessity of a special statute for County of Sacramento. The bill would make additional related findings and declarations.
(2)The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
(1)Existing law, the Joint Exercise of Powers Act, authorizes 2 or more public agencies, by agreement, to form a joint powers authority to exercise any power common to the contracting parties, as specified. Existing law authorizes the agreement to set forth the manner by which the joint powers authority will be exercised.
This bill would require the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom to participate in and work together to establish a joint powers authority, pursuant to the Joint Exercise of Powers Act, designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento. In this regard, the bill would require the above-specified local governments together to, among other things, bring the oversight and functions of the Sacramento City and County Continuum of Care under the jurisdiction of the joint powers authority, while maintaining the federally required composition and integrity of the continuum of care. The bill would require the joint powers authority to, among other things, be designated as the federally recognized continuum of care. provide direction to the continuum of care lead agency. The bill would specify that a local jurisdiction retains oversight and accountability over funding decisions, projects, and programs administered by the jurisdiction, including contracting for prevention, outreach, sheltering, and housing. The bill would declare that these provisions are severable. The bill would make findings and declarations relating to its provisions.
By requiring the above-described local governments to establish the joint powers authority, this bill would impose a state-mandated local program.
This bill would make legislative findings and declarations as to the necessity of a special statute for County of Sacramento. The bill would make additional related findings and declarations.
(2)The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
(1)Existing law, the Joint Exercise of Powers Act, authorizes 2 or more public agencies, by agreement, to form a joint powers authority to exercise any power common to the contracting parties, as specified. Existing law authorizes the agreement to set forth the manner by which the joint powers authority will be exercised.
This bill would require that the joint powers authority currently operating as the Sacramento Housing and Redevelopment Agency be restructured, expanded, amended, and renamed as the Sacramento Area Housing and Homelessness Agency, as provided. The bill would require the agency to include the County of Sacramento and qualified local agencies, as specified and defined, and would make the agency the regional authority for prescribed activities, including developing and preserving affordable housing and coordinating and administering homelessness prevention and response services. The bill would require the updated joint powers agreement to provide for a governing board and an executive director, as provided. The bill would require the agency to adopt a comprehensive strategic plan to address housing and homelessness no later than 3 years from the date the restructured joint powers agreement takes effect. The bill would also require the agency to establish and maintain a standing advisory board, as provided.Under the bill, the Sacramento Area Housing and Homelessness Agency would retain its legal identity as the public housing authority and redevelopment successor entity and continue to administer all existing housing, homelessness, and redevelopment programs in compliance with specified law. The bill would require the agency to be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement, except as specified, and require that the agency be deemed a regional entity for the purposes of statewide housing and homelessness funding programs. The bill would require the agency to be the successor employer to the Sacramento Housing and Redevelopment Agency for all labor relations purposes, as provided. The bill would establish within the Sacramento Area Housing and Homelessness Agency the Homelessness Division and require the agency to coordinate its operations with the housing and homelessness departments of each participating jurisdiction, as specified, to ensure alignment of local priorities and effective delivery of services.This bill would prohibit the agency from acquiring property by eminent domain. The bill would define terms for its purposes and declare its provisions are severable.By adding to the duties of local officials with respect to the activities of the Sacramento Housing and Homelessness Agency, this bill would impose a state-mandated local program.This bill would require the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom to participate in and work together to establish a joint powers authority, pursuant to the Joint Exercise of Powers Act, designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento. In this regard, the bill would require the above-specified local governments together to, among other things, bring the oversight and functions of the Sacramento City and County Continuum of Care under the jurisdiction of the joint powers authority, while maintaining the federally required composition and integrity of the continuum of care. The bill would require the joint powers authority to, among other things, be designated as the federally recognized continuum of care. The bill would specify that a local jurisdiction retains oversight and accountability over funding decisions, projects, and programs administered by the jurisdiction, including contracting for prevention, outreach, sheltering, and housing. The bill would make findings and declarations relating to its provisions.
By requiring the above-described local governments to establish the joint powers authority, this bill would impose a state-mandated local program.
This bill would make legislative findings and declarations as to the necessity of a special statute for County of Sacramento. The bill would make additional related findings and declarations.
(2)The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
(1)Existing law, the Joint Exercise of Powers Act, authorizes 2 or more public agencies, by agreement, to form a joint powers authority to exercise any power common to the contracting parties, as specified. Existing law authorizes the agreement to set forth the manner by which the joint powers authority will be exercised.
This bill would require that the joint powers authority currently operating as the Sacramento Housing and Redevelopment Agency be restructured, expanded, amended, and renamed as the Sacramento Area Housing and Homelessness Agency, as provided. The bill would require the agency to include the County of Sacramento and qualified local agencies, as specified and defined, and would make the agency the regional authority for prescribed activities, including developing and preserving affordable housing and coordinating and administering homelessness prevention and response services. The bill would require the updated joint powers agreement to provide for a governing board and an executive director, as provided. The bill would require the agency to adopt a comprehensive strategic plan to address housing and homelessness no later than 3 years from the date the restructured joint powers agreement takes effect. The bill would also require the agency to establish and maintain a standing advisory board, as provided.
Under the bill, the Sacramento Area Housing and Homelessness Agency would retain its legal identity as the public housing authority and redevelopment successor entity and continue to administer all existing housing, homelessness, and redevelopment programs in compliance with specified law. The bill would require the agency to be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement, except as specified, and require that the agency be deemed a regional entity for the purposes of statewide housing and homelessness funding programs. The bill would require the agency to be the successor employer to the Sacramento Housing and Redevelopment Agency for all labor relations purposes, as provided. The bill would establish within the Sacramento Area Housing and Homelessness Agency the Homelessness Division and require the agency to coordinate its operations with the housing and homelessness departments of each participating jurisdiction, as specified, to ensure alignment of local priorities and effective delivery of services.
This bill would prohibit the agency from acquiring property by eminent domain. The bill would define terms for its purposes and declare its provisions are severable.
By adding to the duties of local officials with respect to the activities of the Sacramento Housing and Homelessness Agency, this bill would impose a state-mandated local program.
This bill would make legislative findings and declarations as to the necessity of a special statute for County of Sacramento. The bill would make additional related findings and declarations.
(2)Existing law establishes various housing programs administered by the Department of Housing and Community Development, including the Homeless Housing, Assistance, and Prevention program (HHAP) and the Multifamily Housing Program. Existing law establishes the Homeless Housing, Assistance, and Prevention program for the purpose of providing jurisdictions with grant funds to support regional coordination and expand or develop local capacity to address their immediate homelessness challenges, as specified. Existing law establishes the Multifamily Housing Program to provide financial assistance in the form of deferred payment loans to pay for the eligible costs of development of specified types of housing projects. Existing law requires that specified funds appropriated to provide housing for individuals and families who are experiencing homelessness or who are at risk of homelessness and who are inherently impacted by or at increased risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases be disbursed in accordance with the Multifamily Housing Program for specified uses. This disbursement program is referred to as Homekey.This bill would require the department, upon appropriation for the above-specified programs, to ensure that former foster youth and extremely low income, very low income, and lower income households, as specified, are given consideration.(3)(2)The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
(1)Existing law, the Joint Exercise of Powers Act, authorizes 2 or more public agencies, by agreement, to form a joint powers authority to exercise any power common to the contracting parties, as specified. Existing law authorizes the agreement to set forth the manner by which the joint powers authority will be exercised.
This bill would require that the joint powers authority currently operating as the Sacramento Housing and Redevelopment Agency be restructured, expanded, amended, and renamed as the Sacramento Area Housing and Homelessness Agency, as provided. The bill would require the agency to include the County of Sacramento and qualified local agencies, as specified and defined, and would make the agency the regional authority for prescribed activities, including developing and preserving affordable housing and coordinating and administering homelessness prevention and response services. The bill would require the updated joint powers agreement to provide for a governing board and an executive director, as provided. The bill would require the agency to adopt a comprehensive strategic plan to address housing and homelessness no later than 3 years from the date the restructured joint powers agreement takes effect. The bill would also require the agency to establish and maintain a standing advisory board, as provided.
Under the bill, the Sacramento Area Housing and Homelessness Agency would retain its legal identity as the public housing authority and redevelopment successor entity and continue to administer all existing housing, homelessness, and redevelopment programs in compliance with specified law. The bill would require the agency to be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement, as specified, and require that the agency be deemed a regional entity for the purposes of statewide housing and homelessness funding programs. The bill would require the agency to be the successor employer to the Sacramento Housing and Redevelopment Agency for all labor relations purposes, as provided. The bill would establish within the Sacramento Area Housing and Homelessness Agency the Homelessness Division and require the agency to coordinate its operations with the housing and homelessness departments of each participating jurisdiction, as specified, to ensure alignment of local priorities and effective delivery of services.
This bill would prohibit the agency from acquiring property by eminent domain. The bill would define terms for its purposes and declare its provisions are severable.
By adding to the duties of local officials with respect to the activities of the Sacramento Housing and Homelessness Agency, this bill would impose a state-mandated local program.
This bill would make legislative findings and declarations as to the necessity of a special statute for County of Sacramento. The bill would make additional related findings and declarations.
(2)Existing law establishes various housing programs administered by the Department of Housing and Community Development, including the Homeless Housing, Assistance, and Prevention program (HHAP) and the Multifamily Housing Program. Existing law establishes the Homeless Housing, Assistance, and Prevention program for the purpose of providing jurisdictions with grant funds to support regional coordination and expand or develop local capacity to address their immediate homelessness challenges, as specified. Existing law establishes the Multifamily Housing Program to provide financial assistance in the form of deferred payment loans to pay for the eligible costs of development of specified types of housing projects. Existing law requires that specified funds appropriated to provide housing for individuals and families who are experiencing homelessness or who are at risk of homelessness and who are inherently impacted by or at increased risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases be disbursed in accordance with the Multifamily Housing Program for specified uses. This disbursement program is referred to as Homekey.
This bill would require the department, upon appropriation for the above-specified programs, to ensure that former foster youth and extremely low income, very low income, and lower income households, as specified, are given consideration.
(3)The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
(1)Existing law, the Joint Exercise of Powers Act, authorizes 2 or more public agencies, by agreement, to form a joint powers authority to exercise any power common to the contracting parties, as specified. Existing law authorizes the agreement to set forth the manner by which the joint powers authority will be exercised.
This bill would require that the joint powers authority currently operating as the Sacramento Housing and Redevelopment Agency be restructured, expanded, amended, and renamed as the Sacramento Area Housing and Homelessness Agency, as provided. The bill would require the agency to include the County of Sacramento and qualified local agencies, as specified and defined, and would make the agency the regional authority for prescribed activities, including developing and preserving affordable housing and coordinating and administering homelessness prevention and response services. The bill would require the updated joint powers agreement to provide for a governing board and an executive director, as specified, and require the Sacramento Local Agency Formation Commission to form and appoint an independent task force to consolidate all entities for purposes of establishing the agency, as provided. The bill would require the agency to adopt a comprehensive strategic plan to address housing and homelessness no later than 3 years from the date the restructured joint powers agreement takes effect. The bill would also require the agency to establish and maintain a standing advisory board, as provided.
Under the bill, the Sacramento Area Housing and Homelessness Agency would retain its legal identity as the public housing authority and redevelopment successor entity and continue to administer all existing housing, homelessness, and redevelopment programs in compliance with specified law. The bill would require the agency to be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement, as specified, and require that the agency be deemed a regional entity for the purposes of statewide housing and homelessness funding programs. The bill would require the agency to be the successor employer to the Sacramento Housing and Redevelopment Agency for all labor relations purposes, as provided. The bill would establish within the Sacramento Area Housing and Homelessness Agency the Homelessness Division and require the agency to coordinate its operations with the housing and homelessness departments of each participating jurisdiction, as specified, to ensure alignment of local priorities and effective delivery of services.
This bill would prohibit the agency from acquiring property by eminent domain. The bill would define terms for its purposes and declare its provisions are severable.
By adding to the duties of local officials with respect to the activities of the Sacramento Housing and Homelessness Agency, this bill would impose a state-mandated local program.
This bill would make legislative findings and declarations as to the necessity of a special statute for County of Sacramento. The bill would make additional related findings and declarations.
(2)Existing law establishes various housing programs administered by the Department of Housing and Community Development, including the Homeless Housing, Assistance, and Prevention program (HHAP) and the Multifamily Housing Program. Existing law establishes the Homeless Housing, Assistance, and Prevention program for the purpose of providing jurisdictions with grant funds to support regional coordination and expand or develop local capacity to address their immediate homelessness challenges, as specified. Existing law establishes the Multifamily Housing Program to provide financial assistance in the form of deferred payment loans to pay for the eligible costs of development of specified types of housing projects. Existing law requires that specified funds appropriated to provide housing for individuals and families who are experiencing homelessness or who are at risk of homelessness and who are inherently impacted by or at increased risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases be disbursed in accordance with the Multifamily Housing Program for specified uses. This disbursement program is referred to as Homekey.
This bill would require the department, upon appropriation for the above-specified programs, to ensure that former foster youth and extremely low income, very low income, and lower income households, as specified, are given consideration.
(3)The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
(1)Existing law, the Joint Exercise of Powers Act, authorizes 2 or more public agencies, by agreement, to form a joint powers authority to exercise any power common to the contracting parties, as specified. Existing law authorizes the agreement to set forth the manner by which the joint powers authority will be exercised.
This bill would require that the joint powers authority currently operating as the Sacramento Housing and Redevelopment Agency be restructured, expanded, amended, and renamed as the Sacramento Area Housing and Homelessness Agency, as provided. The bill would require the agency to include the County of Sacramento and qualified local agencies, as specified and defined, and would make the agency the regional authority for prescribed activities, including developing and preserving affordable housing and coordinating and administering homelessness prevention and response services. The bill would require the updated joint powers agreement to provide for a governing board and an exectuve executive director, as specified, and require the Sacramento Local Agency Formation Commission to form and appoint an independent task force to consolidate all entities for purposes of establishing the agency, as provided. The bill would require the agency to adopt a comprehensive strategic plan to address housing and homelessness no later than 3 years from the date the restructured joint powers agreement takes effect. The bill would also require the agency to establish and maintain a standing advisory board, as provided.
Under the bill, the Sacramento Area Housing and Homelessness Agency would retain its legal identity as the public housing authority and redevelopment successor entity and continue to administer all existing housing, homelessness, and redevelopment programs in compliance with specified law. The bill would require the agency to be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement, as specified, and require that the agency be deemed a regional entity for the purposes of statewide housing and homelessness funding programs. The bill would require the agency to be the successor employer to the Sacramento Housing and Redevelopment Agency for all labor relations purposes, as provided. The bill would establish within the Sacramento Area Housing and Homelessness Agency the Homelessness Division and require the agency to coordinate its operations with the housing and homelessness departments of each participating jurisdiction, as specified, to ensure alignment of local priorities and effective delivery of services.
Existing law, the Planning and Zoning Law, requires each county and each city to adopt a comprehensive, long-term general plan for the physical development of the county or city, and specified land outside its boundaries, that includes, among other specified mandatory elements, a housing element. For the 4th and subsequent revisions of the housing element, existing law requires the Department of Housing and Community Development to determine the existing and projected need for housing for each region, and requires the appropriate council of governments, or the department for cities and counties without a council of governments, to adopt a final regional housing need plan that allocates a share of the regional housing need to each city, county, or city and county, as provided. Existing law requires that a countys or citys housing element include an assessment of housing needs and an inventory of resources and constraints that are relevant to the meeting of these needs, including an analysis of population and employment trends and documentation of projections and a quantification of the localitys existing and projected housing needs for all income levels that includes the localitys share of the regional housing need. This bill would require that the regional housing needs allocations for all participating entities within the Sacramento Area Housing and Homelessness Agency be consolidated into a single regional goal to be administered by the agency. The bill would also require that the total regional housing needs assessment allocation for the joint powers agreement be reduced by 20% from the aggregate of the allocations that would otherwise apply to the participating entities individually.The California Constitution, with respect to any taxes levied on taxable property in a redevelopment project established under the Community Redevelopment Law, as it then read or may be amended, authorizes the Legislature to provide for the division of those taxes under a redevelopment plan between the taxing agencies and the redevelopment agency, as provided. Existing law dissolved redevelopment agencies as of February 1, 2012, and designates successor agencies to act as successor entities to the dissolved redevelopment agencies. Existing law also provides for the designation of a housing successor to assume the housing assets, as defined, and functions of a former redevelopment agency and requires that any funds transferred to the housing successor, together with any funds generated from housing assets, be maintained in a separate Low and Moderate Income Housing Asset Fund of the housing successor, to be used as specified, including to meet the enforceable obligations of the housing successor. This bill would require that housing tax increment revenues derived from former redevelopment areas and allocated to participating cities or to the County of Sacramento be transferred to the Sacramento Area Housing and Homelessness Agency. The bill would require that these revenues be used exclusively for the development, preservation, and administration of affordable housing projects. The bill would authorize the agency to issue bonds secured by these revenues to finance current and future housing initiatives.This bill would define terms for its purposes and declare its provisions are severable.
By adding to the duties of local officials with respect to the activities of the Sacramento Housing and Homelessness Agency, this bill would impose a state-mandated local program.
This bill would make legislative findings and declarations as to the necessity of a special statute for County of Sacramento. The bill would make additional related findings and declarations.
(2)Existing law establishes various housing programs administered by the Department of Housing and Community Development, including the Homeless Housing, Assistance, and Prevention program (HHAP) and the Multifamily Housing Program. Existing law establishes the Homeless Housing, Assistance, and Prevention program for the purpose of providing jurisdictions with grant funds to support regional coordination and expand or develop local capacity to address their immediate homelessness challenges, as specified. Existing law establishes the Multifamily Housing Program to provide financial assistance in the form of deferred payment loans to pay for the eligible costs of development of specified types of housing projects. Existing law requires that specified funds appropriated to provide housing for individuals and families who are experiencing homelessness or who are at risk of homelessness and who are inherently impacted by or at increased risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases be disbursed in accordance with the Multifamily Housing Program for specified uses. This disbursement program is referred to as Homekey.
This bill would require the department, upon appropriation for the above-specified programs, to ensure that former foster youth and extremely low income, very low income, and lower income households, as specified, are given consideration.
(3)The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
(1)Existing law, the Joint Exercise of Powers Act, authorizes 2 or more public agencies, by agreement, to form a joint powers authority to exercise any power common to the contracting parties, as specified. Existing law authorizes the agreement to set forth the manner by which the joint powers authority will be exercised.
This bill would require that the joint powers authority currently operating as the Sacramento Housing and Redevelopment Agency be restructured, expanded, amended, and renamed as the Sacramento Area Housing and Homelessness Agency, as provided. The bill would require the agency to include the County of Sacramento and qualified local agencies, as specified and defined, and would make the agency the regional authority for prescribed activities, including developing and preserving affordable housing and coordinating and administering homelessness prevention and response services. The bill would require the updated joint powers agreement to provide for a governing board and an exectuve director, as specified, and require the Sacramento Local Agency Formation Commission to form and appoint an independent task force to consolidate all entities for purposes of establishing the agency, as provided. The bill would require the agency to adopt a comprehensive strategic plan to address housing and homelessness no later than 3 years from the date the restructured joint powers agreement takes effect. The bill would also require the agency to establish and maintain a standing advisory board, as provided.
Under the bill, the Sacramento Area Housing and Homelessness Agency would retain its legal identity as the public housing authority and redevelopment successor entity and continue to administer all existing housing, homelessness, and redevelopment programs in compliance with specified law. The bill would require the agency to be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement, and require that the agency be deemed a regional entity for the purposes of statewide housing and homelessness funding programs. The bill would require the agency to coordinate its operations with the housing and homelessness departments of each participating jurisdiction, as specified, to ensure alignment of local priorities and effective delivery of services.
Existing law, the Planning and Zoning Law, requires each county and each city to adopt a comprehensive, long-term general plan for the physical development of the county or city, and specified land outside its boundaries, that includes, among other specified mandatory elements, a housing element. For the 4th and subsequent revisions of the housing element, existing law requires the Department of Housing and Community Development to determine the existing and projected need for housing for each region, and requires the appropriate council of governments, or the department for cities and counties without a council of governments, to adopt a final regional housing need plan that allocates a share of the regional housing need to each city, county, or city and county, as provided. Existing law requires that a countys or citys housing element include an assessment of housing needs and an inventory of resources and constraints that are relevant to the meeting of these needs, including an analysis of population and employment trends and documentation of projections and a quantification of the localitys existing and projected housing needs for all income levels that includes the localitys share of the regional housing need.
This bill would require that the regional housing needs allocations for all participating entities within the Sacramento Area Housing and Homelessness Agency be consolidated into a single regional goal to be administered by the agency. The bill would also require that the total regional housing needs assessment allocation for the joint powers agreement be reduced by 20% from the aggregate of the allocations that would otherwise apply to the participating entities individually.
The California Constitution, with respect to any taxes levied on taxable property in a redevelopment project established under the Community Redevelopment Law, as it then read or may be amended, authorizes the Legislature to provide for the division of those taxes under a redevelopment plan between the taxing agencies and the redevelopment agency, as provided. Existing law dissolved redevelopment agencies as of February 1, 2012, and designates successor agencies to act as successor entities to the dissolved redevelopment agencies. Existing law also provides for the designation of a housing successor to assume the housing assets, as defined, and functions of a former redevelopment agency and requires that any funds transferred to the housing successor, together with any funds generated from housing assets, be maintained in a separate Low and Moderate Income Housing Asset Fund of the housing successor, to be used as specified, including to meet the enforceable obligations of the housing successor.
This bill would require that housing tax increment revenues derived from former redevelopment areas and allocated to participating cities or to the County of Sacramento be transferred to the Sacramento Area Housing and Homelessness Agency. The bill would require that these revenues be used exclusively for the development, preservation, and administration of affordable housing projects. The bill would authorize the agency to issue bonds secured by these revenues to finance current and future housing initiatives.
By adding to the duties of local officials with respect to the activities of the Sacramento Housing and Homelessness Agency, this bill would impose a state-mandated local program.
This bill would make legislative findings and declarations as to the necessity of a special statute for County of Sacramento. The bill would make additional related findings and declarations.
Existing(2)Existing law establishes various housing programs administered by the Department of Housing and Community Development, including the Homeless Housing, Assistance, and Prevention program (HHAP) and the Multifamily Housing Program. Existing law establishes the Homeless Housing, Assistance, and Prevention program for the purpose of providing jurisdictions with grant funds to support regional coordination and expand or develop local capacity to address their immediate homelessness challenges, as specified. Existing law establishes the Multifamily Housing Program to provide financial assistance in the form of deferred payment loans to pay for the eligible costs of development of specified types of housing projects. Existing law requires that specified funds appropriated to provide housing for individuals and families who are experiencing homelessness or who are at risk of homelessness and who are inherently impacted by or at increased risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases be disbursed in accordance with the Multifamily Housing Program for specified uses. This disbursement program is referred to as Homekey.
This bill would require the department, upon appropriation for the above-specified programs, to ensure that former foster youth and extremely low income, very low income, and lower income households, as specified, are given consideration.
(3)The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.
Existing law establishes various housing programs administered by the Department of Housing and Community Development, including the Homeless Housing, Assistance, and Prevention program (HHAP) and the Multifamily Housing Program. Existing law establishes the Homeless Housing, Assistance, and Prevention program for the purpose of providing jurisdictions with grant funds to support regional coordination and expand or develop local capacity to address their immediate homelessness challenges, as specified. Existing law establishes the Multifamily Housing Program to provide financial assistance in the form of deferred payment loans to pay for the eligible costs of development of specified types of housing projects. Existing law requires that specified funds appropriated to provide housing for individuals and families who are experiencing homelessness or who are at risk of homelessness and who are inherently impacted by or at increased risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases be disbursed in accordance with the Multifamily Housing Program for specified uses. This disbursement program is referred to as Homekey.
This bill would require the department, upon appropriation, appropriation for the above-specified programs, to ensure that former foster youth, homeless persons, youth and specified extremely low income, very low income, and lower-income households lower income households, as specified, are given consideration relative to the above-specified programs. consideration.
Existing law establishes various housing programs administered by the Department of Housing and Community Development, including the Homeless Housing, Assistance, and Prevention program (HHAP) and the Multifamily Housing Program. Existing law establishes the Homeless Housing, Assistance, and Prevention program for the purpose of providing jurisdictions with grant funds to support regional coordination and expand or develop local capacity to address their immediate homelessness challenges, as specified. Existing law establishes the Multifamily Housing Program to provide financial assistance in the form of deferred payment loans to pay for the eligible costs of development of specified types of housing projects. Existing law requires that specified funds appropriated to provide housing for individuals and families who are experiencing homelessness or who are at risk of homelessness and who are inherently impacted by or at increased risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases be disbursed in accordance with the Multifamily Housing Program for specified uses. This disbursement program is referred to as Homekey.
This bill would require the department, upon appropriation, to ensure that foster youth, homeless persons, and specified extremely low income, very low income, and lower-income households are given consideration relative to the above-specified programs.
Existing law, the Housing Authorities Law, establishes a housing authority within each county and city to undertake specified activities relating to housing for persons of low income, subject to the adoption of a resolution by the governing body of the county or city declaring the need for an authority.This bill would make nonsubstantive changes to the provisions specifying the title of the law.Existing law, the Housing Authorities Law, establishes a housing authority within each county and city to undertake specified activities relating to housing for persons of low income, subject to the adoption of a resolution by the governing body of the county or city declaring the need for an authority.
This bill would make nonsubstantive changes to the provisions specifying the title of the law.
The Legislature finds and declares all of the following:
(a)Over the past 4.5 years, the State of California has given the City and County of Sacramento and Sacramento Steps Forward nearly $450,000,000 to address homelessness.
(b)Despite these investments, Sacramento Countys population of chronically homeless individuals was the third highest in the nation in 2023, according to the United States Department of Housing and Urban Development (HUD).
(c)HUDs assessment found that around 72 percent of the people experiencing homelessness in Sacramento County are unsheltered, the fifth-highest percentage in the nation.
(d)The homelessness population of the County of Sacramento has increased 13 percent from 2024 to 2026, according to the most recent point-in-time count.
(e)On any given night, over 7,500 people experience homelessness in the County of Sacramento.
(f)Sacramento has also faced a steep rise in student homelessness, with a 19-percent increase from 2023 to 2024far surpassing the states increase of 9 percent in student homelessness.
(g)To address these issues, the City and County of Sacramento themselves recommended a joint powers authority (JPA) in 2010.
(h)In September 2010, the Sacramento City Council passed a resolution to implement a JPA with a staff recommendation to create it by the end of the 201011 fiscal year. However, no JPA was formed.
(i)In November 2010, the Sacramento Steps Forward published a report highlighting its goal of forming a JPA by 2011. However, no JPA was formed.
(j)In December 2010, the City and County of Sacramento adopted a resolution to form a JPA. However, no JPA was formed.
(k)A Sacramento city managers report in March 2011 outlined a planned JPA timeline, including the JPA board being seated in March 2012. However, no JPA was formed.
(l)In November 2011, the County of Sacramento presented at a city council meeting, outlining the countys roles and responsibilities, how it would collaborate with Sacramento Steps Forward, and why a JPA model should be implemented. However, no JPA was formed.
(m)In 2019, the Sacramento Grand Jury reported that a Sacramento JPA is vital and recommended the city and county reconsider a JPA. Still, no JPA was formed.
(n)In November 2022, frustrated Sacramento voters passed Measure O, the Emergency Shelter and Enforcement Act, which required the city and county to work together to expand services and address encampments.
(o)In December 2022, the City and County of Sacramento signed a binding contract to work together to address homelessness. The agreement established shared coordination, joint operational teams, shared planning, and collaboration on funding. However, no consolidation of resources and staffing has been established and no JPA was formed.
(p)Despite this agreement, in the 202223 Grand Jury Report, the Grand Jury again recommended that the county and the seven incorporated cities implement a JPA to address homelessness by December 1, 2023. Still, no JPA was formed.
(q)In 2023, the City of Sacramento was sued by the Sacramento District Attorney, alleging that the city failed to enforce its homelessness laws. The litigation remains unresolved.
(r)In 2023, Governor Newsom and Attorney General Bonta sued the City of Elk Grove for violating state fair housing laws, reaching a settlement that included requiring the city to identify and rezone a site for affordable housing and undergo state monitoring to ensure compliance with housing laws.
(s)A 2023 Grand Jury report cited that a lack of a regional authority is a major barrier to progress, noting that efforts are often duplicative, data systems are siloed, and strategic planning is inconsistent across jurisdictions. Again, no joint powers authority was formed.
(t)Homelessness and housing affordability are regional challenges requiring coordinated action among local governments.
(u)The County of Sacramento and the cities located in the county share responsibility for the planning, funding, and delivery of housing and homelessness services.
(v)Improved coordination, accountability, and performance oversight are necessary to maximize the effectiveness of state and federal investments and improve outcomes for individuals experiencing homelessness.
(w)Since the introduction of this act, significant progress has been made toward a more coordinated regional approach to homelessness and housing.
(x)The County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom, Sacramento Steps Forward, the Sacramento City and County Continuum of Care, and other stakeholders have responded to this act.
(y)The framework proposed by this act is now reflected in conversations between local jurisdictions.
(z)While concepts and timelines have been proposed, no final governance agreement has been approved, and the path forward remains dependent on future negotiations amongst multiple jurisdictions and stakeholders.
(aa)Therefore, this act remains an imperative legislative tool, key to the City of Sacramentos accountability and coordination on the successful implementation of services related to housing and homelessness.
SEC. 2.Article 1.5 (commencing with Section 6539.9.5) is added to Chapter 5 of Division 7 of Title 1 of the Government Code, to read:1.5.Sacramento Regional Housing and Homelessness Joint Powers Authority Act6539.9.5.(a)This article shall be known, and may be cited, as the Sacramento Regional Housing and Homelessness Joint Powers Authority Act.
(b)By January 1, 2028, the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom shall participate in and work together to establish a joint powers authority, pursuant to the Joint Exercise of Powers Act (Article 1 (commencing with Section 6500)), designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento.
(c)The County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom together shall do all of the following:
(1)Bring elected officials from across the region together through the joint powers authority that provides program and policy guidance and establishes shared goals to improve the efficacy of the regions homeless response system and affordable housing resources.
(2)Bring the oversight and functions of the Sacramento City and County Continuum of Care under the jurisdiction of the joint powers authority, while maintaining the federally required composition and integrity of the continuum of care.
(3)Work collaboratively with the Sacramento Housing and Redevelopment Authority to develop goals and action plans that address homelessness, affordable housing, and advance a true housing continuum regionally.
(d)The joint powers authority shall do all of the following:
(1)Set system performance goals and, at a minimum, regularly review state and federal performance metrics to address housing and homelessness.
(2)Collaborate to update the regionally coordinated homelessness action plan as necessary and oversee implementation of the plan.
(3)Coordinate on delivery of prevention, outreach, shelter, and housing programs, with local jurisdictions retaining oversight, accountability, and control over land use decisions and programs administered by the local jurisdictions.
(4)Explore better integration with other systems working in homelessness and housing, including county-administered behavioral health, child and adult welfare, and social safety net services.
(5)Align regional funding for housing and homelessness, with local jurisdictions retaining final control and approval over local, state, and federal funds eligible to be administered by local jurisdictions.
(6)Comply with the requirements set forth in the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5).
(7)Provide direction to the continuum of care lead agency.
(8)Provide oversight over continuum of care functions, including all of the following:
(A)The Homeless Management Information System.
(B)The Coordinated Access System.
(C)The Point-in-Time Count.
(9)Develop a committee structure to ensure community voice continues to be incorporated.
(10)Include the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom.
(11)Be developed as a formal, robust joint powers authority.
(12)Have a board that consists solely of the elected officials representing the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom.
(13)Target both housing and homelessness.
(14)Incorporate meaningful resources to provide services.
(15)Have a governance structure that includes the lead entities, respectively, from both the Continuum of Care and the Sacramento Housing and Redevelopment Agency.
(16)Hold monthly public meetings and incorporate public participation.
(e)A local jurisdiction shall retain oversight and accountability over funding decisions, projects, and programs administered by the local jurisdiction, including contracting for prevention, outreach, sheltering, and housing.
(f)The provisions of this article are severable. If any provision of this article or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.
SEC. 3.The Legislature finds and declares, with respect to Section 2 of this act, that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique and urgent housing and homelessness conditions in the County of Sacramento and its major cities.
SEC. 4.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
The Legislature finds and declares all of the following:
(a)Over the past 4.5 years, the State of California has given the City and County of Sacramento and Sacramento Steps Forward nearly $450,000,000 to address homelessness.
(b)Despite these investments, Sacramento Countys population of chronically homeless individuals was the third highest in the nation in 2023, according to the United States Department of Housing and Urban Development (HUD).
(c)HUDs assessment found that around 72 percent of the people experiencing homelessness in Sacramento County are unsheltered, the fifth-highest percentage in the nation.
(d)The homelessness population of the County of Sacramento has increased 13 percent from 2024 to 2026, according to the most recent point-in-time count.
(e)On any given night, over 7,500 people experience homelessness in the County of Sacramento.
(f)Sacramento has also faced a steep rise in student homelessness, with a 19-percent increase from 2023 to 2024far surpassing the states increase of 9 percent in student homelessness.
(g)To address these issues, the City and County of Sacramento themselves recommended a joint powers authority (JPA) in 2010.
(h)In September 2010, the Sacramento City Council passed a resolution to implement a JPA with a staff recommendation to create it by the end of the 201011 fiscal year. However, no JPA was formed.
(i)In November 2010, the Sacramento Steps Forward published a report highlighting its goal of forming a JPA by 2011. However, no JPA was formed.
(j)In December 2010, the City and County of Sacramento adopted a resolution to form a JPA. However, no JPA was formed.
(k)A Sacramento city managers report in March 2011 outlined a planned JPA timeline, including the JPA board being seated in March 2012. However, no JPA was formed.
(l)In November 2011, the County of Sacramento presented at a city council meeting, outlining the countys roles and responsibilities, how it would collaborate with Sacramento Steps Forward, and why a JPA model should be implemented. However, no JPA was formed.
(m)In 2019, the Sacramento Grand Jury reported that a Sacramento JPA is vital and recommended the city and county reconsider a JPA. Still, no JPA was formed.
(n)In November 2022, frustrated Sacramento voters passed Measure O, the Emergency Shelter and Enforcement Act, which required the city and county to work together to expand services and address encampments.
(o)In December 2022, the City and County of Sacramento signed a binding contract to work together to address homelessness. The agreement established shared coordination, joint operational teams, shared planning, and collaboration on funding. However, no consolidation of resources and staffing has been established and no JPA was formed.
(p)Despite this agreement, in the 202223 Grand Jury Report, the Grand Jury again recommended that the county and the seven incorporated cities implement a JPA to address homelessness by December 1, 2023. Still, no JPA was formed.
(q)In 2023, the City of Sacramento was sued by the Sacramento District Attorney, alleging that the city failed to enforce its homelessness laws. The litigation remains unresolved.
(r)In 2023, Governor Newsom and Attorney General Bonta sued the City of Elk Grove for violating state fair housing laws, reaching a settlement that included requiring the city to identify and rezone a site for affordable housing and undergo state monitoring to ensure compliance with housing laws.
(s)A 2023 Grand Jury report cited that a lack of a regional authority is a major barrier to progress, noting that efforts are often duplicative, data systems are siloed, and strategic planning is inconsistent across jurisdictions. Again, no joint powers authority was formed.
(t)Homelessness and housing affordability are regional challenges requiring coordinated action among local governments.
(u)The County of Sacramento and the cities located in the county share responsibility for the planning, funding, and delivery of housing and homelessness services.
(v)Improved coordination, accountability, and performance oversight are necessary to maximize the effectiveness of state and federal investments and improve outcomes for individuals experiencing homelessness.
(w)Since the introduction of this act, significant progress has been made toward a more coordinated regional approach to homelessness and housing.
(x)The County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom, Sacramento Steps Forward, the Sacramento City and County Continuum of Care, and other stakeholders have responded to this act.
(y)The framework proposed by this act is now reflected in conversations between local jurisdictions.
(z)While concepts and timelines have been proposed, no final governance agreement has been approved, and the path forward remains dependent on future negotiations amongst multiple jurisdictions and stakeholders.
(aa)Therefore, this act remains an imperative legislative tool, key to the City of Sacramentos accountability and coordination on the successful implementation of services related to housing and homelessness.
SEC. 2.Article 1.5 (commencing with Section 6539.9.5) is added to Chapter 5 of Division 7 of Title 1 of the Government Code, to read:1.5.Sacramento Regional Housing and Homelessness Joint Powers Authority Act6539.9.5.(a)This article shall be known, and may be cited, as the Sacramento Regional Housing and Homelessness Joint Powers Authority Act.
(b)By January 1, 2028, the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom shall participate in and work together to establish a joint powers authority, pursuant to the Joint Exercise of Powers Act (Article 1 (commencing with Section 6500)), designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento.
(c)The County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom together shall do all of the following:
(1)Bring elected officials from across the region together through the joint powers authority that provides program and policy guidance and establishes shared goals to improve the efficacy of the regions homeless response system and affordable housing resources.
(2)Bring the oversight and functions of the Sacramento City and County Continuum of Care under the jurisdiction of the joint powers authority, while maintaining the federally required composition and integrity of the continuum of care.
(3)Work collaboratively with the Sacramento Housing and Redevelopment Authority to develop goals and action plans that address homelessness, affordable housing, and advance a true housing continuum regionally.
(d)The joint powers authority shall do all of the following:
(1)Set system performance goals and, at a minimum, regularly review state and federal performance metrics to address housing and homelessness.
(2)Collaborate to update the regionally coordinated homelessness action plan as necessary and oversee implementation of the plan.
(3)Coordinate on delivery of prevention, outreach, shelter, and housing programs, with local jurisdictions retaining oversight, accountability, and control over land use decisions and programs administered by the local jurisdictions.
(4)Explore better integration with other systems working in homelessness and housing, including county-administered behavioral health, child and adult welfare, and social safety net services.
(5)Align regional funding for housing and homelessness, with local jurisdictions retaining final control and approval over local, state, and federal funds eligible to be administered by local jurisdictions.
(6)Comply with the requirements set forth in the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5).
(7)Provide direction to the continuum of care lead agency.
(8)Provide oversight over continuum of care functions, including all of the following:
(A)The Homeless Management Information System.
(B)The Coordinated Access System.
(C)The Point-in-Time Count.
(9)Develop a committee structure to ensure community voice continues to be incorporated.
(10)Include the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom.
(11)Be developed as a formal, robust joint powers authority.
(12)Have a board that consists solely of the elected officials representing the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom.
(13)Target both housing and homelessness.
(14)Incorporate meaningful resources to provide services.
(15)Have a governance structure that includes the lead entities, respectively, from both the Continuum of Care and the Sacramento Housing and Redevelopment Agency.
(16)Hold monthly public meetings and incorporate public participation.
(e)A local jurisdiction shall retain oversight and accountability over funding decisions, projects, and programs administered by the local jurisdiction, including contracting for prevention, outreach, sheltering, and housing.
(f)The provisions of this article are severable. If any provision of this article or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.
SEC. 3.The Legislature finds and declares, with respect to Section 2 of this act, that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique and urgent housing and homelessness conditions in the County of Sacramento and its major cities.
SEC. 4.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
The Legislature finds and declares all of the following:
(a)Over the past 4.5 years, the State of California has given the City and County of Sacramento and Sacramento Steps Forward nearly $450,000,000 to address homelessness.
(b)Despite these investments, Sacramento Countys population of chronically homeless individuals was the third highest in the nation in 2023, according to the United States Department of Housing and Urban Development (HUD).
(c)HUDs assessment found that around 72 percent of the people experiencing homelessness in Sacramento County are unsheltered, the fifth-highest percentage in the nation.
(d)The homelessness population of the County of Sacramento has increased 13 percent from 2024 to 2026, according to the most recent point-in-time count.
(e)On any given night, over 7,500 people experience homelessness in the County of Sacramento.
(f)Sacramento has also faced a steep rise in student homelessness, with a 19-percent increase from 2023 to 2024far surpassing the states increase of 9 percent in student homelessness.
(g)To address these issues, the City and County of Sacramento themselves recommended a joint powers authority (JPA) in 2010.
(h)In September 2010, the Sacramento City Council passed a resolution to implement a JPA with a staff recommendation to create it by the end of the 201011 fiscal year. However, no JPA was formed.
(i)In November 2010, the Sacramento Steps Forward published a report highlighting its goal of forming a JPA by 2011. However, no JPA was formed.
(j)In December 2010, the City and County of Sacramento adopted a resolution to form a JPA. However, no JPA was formed.
(k)A Sacramento city managers report in March 2011 outlined a planned JPA timeline, including the JPA board being seated in March 2012. However, no JPA was formed.
(l)In November 2011, the County of Sacramento presented at a city council meeting, outlining the countys roles and responsibilities, how it would collaborate with Sacramento Steps Forward, and why a JPA model should be implemented. However, no JPA was formed.
(m)In 2019, the Sacramento Grand Jury reported that a Sacramento JPA is vital and recommended the city and county reconsider a JPA. Still, no JPA was formed.
(n)In November 2022, frustrated Sacramento voters passed Measure O, the Emergency Shelter and Enforcement Act, which required the city and county to work together to expand services and address encampments.
(o)In December 2022, the City and County of Sacramento signed a binding contract to work together to address homelessness. The agreement established shared coordination, joint operational teams, shared planning, and collaboration on funding. However, no consolidation of resources and staffing has been established and no JPA was formed.
(p)Despite this agreement, in the 202223 Grand Jury Report, the Grand Jury again recommended that the county and the seven incorporated cities implement a JPA to address homelessness by December 1, 2023. Still, no JPA was formed.
(q)In 2023, the City of Sacramento was sued by the Sacramento District Attorney, alleging that the city failed to enforce its homelessness laws. The litigation remains unresolved.
(r)In 2023, Governor Newsom and Attorney General Bonta sued the City of Elk Grove for violating state fair housing laws, reaching a settlement that included requiring the city to identify and rezone a site for affordable housing and undergo state monitoring to ensure compliance with housing laws.
(s)A 2023 Grand Jury report cited that a lack of a regional authority is a major barrier to progress, noting that efforts are often duplicative, data systems are siloed, and strategic planning is inconsistent across jurisdictions. Again, no joint powers authority was formed.
(t)Homelessness and housing affordability are regional challenges requiring coordinated action among local governments.
(u)The County of Sacramento and the cities located in the county share responsibility for the planning, funding, and delivery of housing and homelessness services.
(v)Improved coordination, accountability, and performance oversight are necessary to maximize the effectiveness of state and federal investments and improve outcomes for individuals experiencing homelessness.
(w)Since the introduction of this act, significant progress has been made toward a more coordinated regional approach to homelessness and housing.
(x)The County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom, Sacramento Steps Forward, the Sacramento City and County Continuum of Care, and other stakeholders have responded to this act.
(y)The framework proposed by this act is now reflected in conversations between local jurisdictions.
(z)While concepts and timelines have been proposed, no final governance agreement has been approved, and the path forward remains dependent on future negotiations amongst multiple jurisdictions and stakeholders.
(aa)Therefore, this act remains an imperative legislative tool, key to the City of Sacramentos accountability and coordination on the successful implementation of services related to housing and homelessness.
SEC. 2.Article 1.5 (commencing with Section 6539.9.5) is added to Chapter 5 of Division 7 of Title 1 of the Government Code, to read:1.5.Sacramento Regional Housing and Homelessness Joint Powers Authority Act6539.9.5.(a)This article shall be known, and may be cited, as the Sacramento Regional Housing and Homelessness Joint Powers Authority Act.
(b)The By January 1, 2028, the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom shall participate in and work together to establish a joint powers authority, pursuant to the Joint Exercise of Powers Act (Article 1 (commencing with Section 6500)), designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento.
(c)The County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom together shall do all of the following:
(1)Bring elected officials from across the region together through the joint powers authority that provides program and policy guidance and establishes shared goals to improve the efficacy of the regions homeless response system and affordable housing resources.
(2)Bring the oversight and functions of the Sacramento City and County Continuum of Care under the jurisdiction of the joint powers authority, while maintaining the federally required composition and integrity of the continuum of care.
(3)Work collaboratively with the Sacramento Housing and Redevelopment Authority to develop goals and action plans that address homelessness, affordable housing, and advance a true housing continuum regionally.
(d)The joint powers authority shall do all of the following:
(1)Set system performance goals and, at a minimum, regularly review state and federal performance metrics to address housing and homelessness.
(2)Collaborate to update the regionally coordinated homelessness action plan as necessary and oversee implementation of the plan.
(3)Coordinate on delivery of prevention, outreach, shelter, and housing programs, with local jurisdictions retaining oversight, accountability, and control over land use decisions and programs administered by the local jurisdictions.
(4)Explore better integration with other systems working in homelessness and housing, including county-administered behavioral health, child and adult welfare, and social safety net services.
(5)Align regional funding for housing and homelessness, with local jurisdictions retaining final control and approval over local, state, and federal funds eligible to be administered by local jurisdictions.
(6)Comply with the requirements set forth in the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5).
(7)Provide direction to the continuum of care lead agency.
(8)Provide oversight over continuum of care functions, including all of the following:
(A)The Homeless Management Information System.
(B)The Coordinated Access System.
(C)The Point-in-Time Count.
(9)Develop a committee structure to ensure community voice continues to be incorporated.
(10)Include the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom.
(11)Be developed as a formal, robust joint powers authority.
(12)Have a board that consists solely of the elected officials representing the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom.
(13)Target both housing and homelessness.
(14)Incorporate meaningful resources to provide services.
(15)Have a governance structure that includes the lead entities, respectively, from both the Continuum of Care and the Sacramento Housing and Redevelopment Agency.
(16)Hold monthly public meetings and incorporate public participation.
(e)A local jurisdiction shall retain oversight and accountability over funding decisions, projects, and programs administered by the local jurisdiction, including contracting for prevention, outreach, sheltering, and housing.
(f)The provisions of this article are severable. If any provision of this article or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.
SEC. 3.The Legislature finds and declares, with respect to Section 2 of this act, that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique and urgent housing and homelessness conditions in the County of Sacramento and its major cities.
SEC. 4.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
The Legislature finds and declares all of the following:
(a)Over the past 4.5 years, the State of California has given the City and County of Sacramento and Sacramento Steps Forward nearly $450,000,000 to address homelessness.
(b)Despite these investments, Sacramento Countys population of chronically homeless individuals was the third highest in the nation in 2023, according to the United States Department of Housing and Urban Development (HUD).
(c)HUDs assessment found that around 72 percent of the people experiencing homelessness in Sacramento County are unsheltered, the fifth-highest percentage in the nation.
(d)The homelessness population of the County of Sacramento has increased 13 percent from 2024 to 2026, according to the most recent Point in Time Count. point-in-time count.
(e)On any given night, over 7,500 people experience homelessness in the County of Sacramento.
(f)Sacramento has also faced a steep rise in student homelessness, with a 19-percent increase from 2023 to 2024far surpassing the states increase of 9 percent in student homelessness.
(g)To address these issues, the City and County of Sacramento themselves recommended a joint powers authority (JPA) in 2010.
(h)In September 2010, the Sacramento City Council passed a resolution to implement a JPA with a staff recommendation to create it by the end of the 201011 fiscal year. However, no JPA was formed.
(i)In November 2010, the Sacramento Steps Forward published a report highlighting its goal of forming a JPA by 2011. However, no JPA was formed.
(j)In December 2010, the City and County of Sacramento adopted a resolution to form a JPA. However, no JPA was formed.
(k)A Sacramento city managers report in March 2011 outlined a planned JPA timeline, including the JPA board being seated in March 2012. However, no JPA was formed.
(l)In November 2011, the County of Sacramento presented at a city council meeting, outlining the countys roles and responsibilities, how it would collaborate with Sacramento Steps Forward, and why a JPA model should be implemented. However, no JPA was formed.
(m)In 2019, the Sacramento Grand Jury reported that a Sacramento JPA is vital and recommended the city and county reconsider a JPA. Still, no JPA was formed.
(n)In November 2022, frustrated Sacramento voters passed Measure O, the Emergency Shelter and Enforcement Act, which required the city and county to work together to expand services and address encampments.
(o)In December 2022, the City and County of Sacramento signed a binding contract to work together to address homelessness. The agreement established shared coordination, joint operational teams, shared planning, and collaboration on funding. However, no consolidation of resources and staffing has been established and no JPA was formed.
(p)Despite this agreement, in the 202223 Grand Jury Report, the Grand Jury again recommended that the county and the seven incorporated cities implement a JPA to address homelessness by December 1, 2023. Still, no JPA was formed.
(q)In 2023, the City of Sacramento was sued by the Sacramento District Attorney, alleging that the city failed to enforce its homelessness laws. The litigation remains unresolved.
(r)In 2023, Governor Newsom and Attorney General Bonta sued the City of Elk Grove for violating state fair housing laws, reaching a settlement that included requiring the city to identify and rezone a site for affordable housing and undergo state monitoring to ensure compliance with housing laws.
(s)A 2023 Grand Jury report cited that a lack of a regional authority is a major barrier to progress, noting that efforts are often duplicative, data systems are siloed, and strategic planning is inconsistent across jurisdictions. Again, no joint powers authority was formed.
(t)Homelessness and housing affordability are regional challenges requiring coordinated action among local governments.
(u)The County of Sacramento and the cities located in the county share responsibility for the planning, funding, and delivery of housing and homelessness services.
(v)Improved coordination, accountability, and performance oversight are necessary to maximize the effectiveness of state and federal investments and improve outcomes for individuals experiencing homelessness.
(w)Since the introduction of this act, significant progress has been made toward a more coordinated regional approach to homelessness and housing.
(x)The County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom, Sacramento Steps Forward, the Sacramento City and County Continuum of Care, and other stakeholders have responded to this act.
(y)The framework proposed by this act is now reflected in conversations between local jurisdictions.
(z)While concepts and timelines have been proposed, no final governance agreement has been approved, and the path forward remains dependent on future negotiations amongst multiple jurisdictions and stakeholders.
(aa)Therefore, this act remains an imperative legislative tool, key to the City of Sacramentos accountability and coordination on the successful implementation of services related to housing and homelessness.
SEC. 2.Article 1.5 (commencing with Section 6539.9.5) is added to Chapter 5 of Division 7 of Title 1 of the Government Code, to read:1.5.Sacramento Regional Housing and Homelessness Joint Powers Authority Act6539.9.5.(a)This article shall be known, and may be cited, as the Sacramento Regional Housing and Homelessness Joint Powers Authority Act.
(b)The County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom shall participate in and work together to establish a joint powers authority, pursuant to the Joint Exercise of Powers Act (Article 1 (commencing with Section 6500)), designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento.
(c)The County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom together shall do all of the following:
(1)Bring elected officials from across the region together through the joint powers authority that provides program and policy guidance and establishes shared goals to improve the efficacy of the regions homeless response system and affordable housing resources.
(2)Bring the oversight and functions of the Sacramento City and County Continuum of Care under the jurisdiction of the joint powers authority, while maintaining the federally required composition and integrity of the continuum of care.
(3)Work collaboratively with the Sacramento Housing and Redevelopment Authority to develop goals and action plans that address homelessness, affordable housing, and advance a true housing continuum regionally.
(d)The joint powers authority shall do all of the following:
(1)Set system performance goals and, at a minimum, regularly review state and federal performance metrics to address housing and homelessness.
(2)Collaborate to update the regionally coordinated homelessness action plan as necessary and oversee implementation of the plan.
(3)Coordinate on delivery of prevention, outreach, shelter, and housing programs, with local jurisdictions retaining oversight, accountability, and control over land use decisions and programs administered by the local jurisdictions.
(4)Explore better integration with other systems working in homelessness and housing, including county-administered behavioral health, child and adult welfare, and social safety net services.
(5)Align regional funding for housing and homelessness, with local jurisdictions retaining final control and approval over local, state, and federal funds eligible to be administered by local jurisdictions.
(6)Comply with the requirements set forth in the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5).
(7)Be designated as the federally recognized continuum of care. (8)(7)Provide direction to the continuum of care lead agency.
(9)(8)Provide oversight over continuum of care functions, including all of the following:
(A)The Homeless Management Information System.
(B)The Coordinated Access System.
(C)The Point-in-Time Count.
(10)(9)Develop a committee structure to ensure community voice continues to be incorporated.
(11)(10)Include the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom.
(12)(11)Be developed as a formal, robust joint powers authority.
(13)(12)Have a board that consists solely of the elected officials representing the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom.
(14)(13)Target both housing and homelessness.
(15)(14)Incorporate meaningful resources to provide services.
(16)(15)Have a governance structure that includes the lead entities, respectively, from both the Continuum of Care and the Sacramento Housing and Redevelopment Agency.
(17)(16)Hold monthly public meetings and incorporate public participation.
(e)A local jurisdiction shall retain oversight and accountability over funding decisions, projects, and programs administered by the local jurisdiction, including contracting for prevention, outreach, sheltering, and housing.
(f)The provisions of this article are severable. If any provision of this article or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.
SEC. 3.The Legislature finds and declares, with respect to Section 2 of this act, that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique and urgent housing and homelessness conditions in the County of Sacramento and its major cities.
SEC. 4.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
The Legislature finds and declares all of the following:
(a)Over the past 4.5 years, the State of California has given the City and County of Sacramento over $400,000,000 and Sacramento Steps Forward nearly $450,000,000 to address homelessness.
(b)According to the State of Californias Accountability tool, the Sacramento area was awarded $173,300,000 from 2019 to 2025 in Homeless Housing, Assistance and Prevention funding alone.(c)(b)Despite these investments, Sacramento Countys population of chronically homeless individuals was the third highest in the nation in 2023, according to the United States Department of Housing and Urban Development (HUD).
(d)(c)HUDs assessment found that around 72 percent of the people experiencing homelessness in Sacramento County are unsheltered, the fifth-highest percentage in the nation.
(d)The homelessness population of the County of Sacramento has increased 13 percent from 2024 to 2026, according to the most recent Point in Time Count.
(e)On any given night, over 7,500 people experience homelessness in the County of Sacramento.
(e)(f)Sacramento has also faced a steep rise in student homelessness, with a 19-percent increase from 2023 to 2024far surpassing the states increase of 9 percent in student homelessness.
(f)(g)To address these issues, the City and County of Sacramento themselves recommended a joint powers authority (JPA) in 2010.
(g)(h)In September 2010, the Sacramento City Council passed a resolution to implement a JPA with a staff recommendation to create it by the end of the 201011 fiscal year. However, no JPA was formed.
(h)(i)In November 2010, the Sacramento Steps Forward published a report highlighting its goal of forming a JPA by 2011. However, no JPA was formed.
(i)(j)In December 2010, the City and County of Sacramento adopted a resolution to form a JPA. However, no JPA was formed.
(j)(k)A Sacramento city managers report in March 2011 outlined a planned JPA timeline, including the JPA board being seated in March 2012. However, no JPA was formed.
(k)(l)In November 2011, the County of Sacramento presented at a city council meeting, outlining the countys roles and responsibilities, how it would collaborate with Sacramento Steps Forward, and why a JPA model should be implemented. However, no JPA was formed.
(l)(m)In 2019, the Sacramento Grand Jury reported that a Sacramento JPA is vital and recommended the city and county reconsider a JPA. Still, no JPA was formed.
(m)(n)In November 2022, frustrated Sacramento voters passed Measure O, the Emergency Shelter and Enforcement Act, which required the city and county to work together to expand services and address encampments.
(n)(o)In December 2022, the City and County of Sacramento signed a binding contract to work together to address homelessness. The agreement established shared coordination, joint operational teams, shared planning, and collaboration on funding. However, no consolidation of resources and staffing has been established and no JPA was formed.
(o)(p)Despite this agreement, in the 202223 Grand Jury Report, the Grand Jury again recommended that the county and the seven incorporated cities implement a JPA to address homelessness by December 1, 2023. Still, no JPA was formed.
(p)(q)In 2023, the City of Sacramento was sued by the Sacramento District Attorney, alleging that the city failed to enforce its homelessness laws. The litigation remains unresolved.
(q)(r)In 2023, Governor Newsom and Attorney General Bonta sued the City of Elk Grove for violating state fair housing laws, reaching a settlement that included requiring the city to identify and rezone a site for affordable housing and undergo state monitoring to ensure compliance with housing laws.
(r)(s)A 2023 Grand Jury report cited that a lack of a regional authority is a major barrier to progress, noting that efforts are often duplicative, data systems are siloed, and strategic planning is inconsistent across jurisdictions. Again, no joint powers authority was formed.
(t)Homelessness and housing affordability are regional challenges requiring coordinated action among local governments.
(u)The County of Sacramento and the cities located in the county share responsibility for the planning, funding, and delivery of housing and homelessness services.
(v)Improved coordination, accountability, and performance oversight are necessary to maximize the effectiveness of state and federal investments and improve outcomes for individuals experiencing homelessness.
(w)Since the introduction of this act, significant progress has been made toward a more coordinated regional approach to homelessness and housing.
(x)The County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom, Sacramento Steps Forward, the Sacramento City and County Continuum of Care, and other stakeholders have responded to this act.
(y)The framework proposed by this act is now reflected in conversations between local jurisdictions.
(z)While concepts and timelines have been proposed, no final governance agreement has been approved, and the path forward remains dependent on future negotiations amongst multiple jurisdictions and stakeholders.
(aa)Therefore, this act remains an imperative legislative tool, key to the City of Sacramentos accountability and coordination on the successful implementation of services related to housing and homelessness.
SEC. 2.Article 1.5 (commencing with Section 6539.9.5) is added to Chapter 5 of Division 7 of Title 1 of the Government Code, to read:1.5.Sacramento Area Housing and Homelessness Agency6539.9.5.For purposes of this article:(a)Agency means the Sacramento Area Housing and Homelessness Agency.(b)Governing board means the governing board of the agency.(c)(1)Qualified local agency means any city within the County of Sacramento that has a population of at least 50,000, based on the most recent federal decennial census or a subsequent estimate prepared by the Demographic Research Unit of the Department of Finance.(2)Qualified local agency includes, but is not limited to, the Cities of Citrus Heights, Elk Grove, Folsom, Rancho Cordova, and Sacramento.6539.9.7.(a)(1)Notwithstanding any other law, the joint powers authority currently operating as the Sacramento Housing and Redevelopment Agency, created pursuant to a 1973 agreement between the City of Sacramento and the County of Sacramento, shall be restructured, expanded, amended, and renamed as the Sacramento Area Housing and Homelessness Agency as provided in this article.(2)The Legislature finds and declares that the purpose of the restructuring of the agency described in paragraph (1) is to modernize and expand the agencys scope and governance to address regional housing and homelessness needs, while preserving the agencys legal status, contracts, funding eligibility, and programmatic history.(b)The agency shall include as participating jurisdictions the County of Sacramento and each qualified local agency, and shall operate under a new joint powers agreement entered into pursuant to this chapter.(c)The agency shall serve as the regional authority to do all of the following:(1)Develop and preserve affordable housing.(2)Coordinate and administer homelessness prevention and response services, including the Coordinated Entry System, as defined in subdivision (f) of Section 50490 of the Health and Safety Code.(3)Apply for, receive, and administer federal, state, and local funding for housing and homelessness.(4)Manage and implement a comprehensive strategic plan to address and reduce homelessness in the County of Sacramento.(d)The updated joint powers agreement pursuant to subdivision (a) shall provide for all of the following:(1)(A)A governing board composed of elected officials from each qualified local agency that is party to the agreement, with full delegated powers and duties transferred from the cities and county. The initial board under the amended joint powers agreement shall consist of 11 members appointed by the legislative bodies of the County of Sacramento and each qualified local agency, in accordance with the following:(i)Three members shall be selected from, and appointed by, the city council of the City of Sacramento.(ii)Three members shall be selected from, and appointed by, the Board of Supervisors of the County of Sacramento.(iii)Two members shall be selected from, and appointed by, the city council of the City of Elk Grove.(iv)One member each shall be selected from, and appointed by, the city councils of the Cities of Citrus Heights, Folsom, and Rancho Cordova.(B)The board may increase the number of members if a qualified local agency enters into an agreement to join the joint powers agreement. That qualified local agency shall be entitled to make one appointment to the board.(C)Each member on the governing board may select an alternate to serve on the board when the primary member or members are not available. Each alternate shall be appointed to serve for a specific member and shall be an official elected from the same body as the primary member. The alternate shall be subject to the same restrictions and shall have the same powers, when serving on the board, as the primary member. The legislative body of any voting entity appointing an alternate shall provide written notification to the secretary of the governing board of each appointment of an alternate in order for the appointment to be effective.(D)A member of the governing board shall serve without compensation but may be reimbursed for actual expenses approved by the board.(E)Each governing board member is entitled to one vote on each matter submitted for a vote.(F)If a vacancy occurs on the governing board because of death, resignation, illness, or for other reason, the secretary of the governing board shall immediately provide written notice to the qualified local agency appointing the board member of the need to appoint a replacement, and the replacement shall be appointed within 60 days of the transmittal of the notice. The replacement shall be an official elected from the same body as the primary member.(G)The governing board shall be established no later than January 1, 2028.(2)(A)An executive director of the agency. The initial executive director of the agency under the amended joint powers agreement shall be the current executive director of the Sacramento Housing and Redevelopment Agency.(B)The governing board shall establish a removal and replacement process for the executive director.(3)Bylaws, to be established by the governing board, which shall include, at a minimum, all of the following:(A)A regular meeting schedule for the governing board, in accordance with the following:(i)The schedule, location, time, and agenda of all regular and special governing board meetings shall be publicly noticed.(ii)All meetings shall be open to the public, unless the matter is a proper one for closed session. All meetings shall comply with the provisions of the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5).(iii)The governing board shall meet no fewer than 10 times per year.(B)(i)A code of ethics, the key expectations of which shall include all of the following:(I)Act in the best interest of the agency.(II)Do not use official positions for private gain.(III)Abstain from decisions where personal or financial interests conflict with Agency interests.(ii)Each member of the governing board and each employee shall uphold high standards of integrity, fairness, and transparency.(iii)Each member of the governing board shall comply with the requirements of the Political Reform Act of 1974 (Title 9 (commencing with Section 81000)), and shall file statements of economic interests, as required by law.(iv)The governing board shall establish process to address any ethics violations.(C)A reimbursement process, including designating what qualifies as a reimbursable expense and establishing procedure for making payments.(e)The agency shall adopt a comprehensive strategic plan to address housing and homelessness no later than three years from the date the restructured agreement takes effect. The plan shall align with all relevant state and federal requirements. The agency shall submit the plan to the Legislature in compliance with Section 9795.6539.9.9.(a)The agency shall retain its legal identity as the public housing authority and redevelopment successor entity formerly known as the Sacramento Housing and Redevelopment Agency and shall continue to administer all existing housing, homelessness, and redevelopment programs in compliance with applicable law. An entity shall not be created that negates the duties of the agency.(b)(1)Except as specified in paragraph (2), agency shall assume or continue responsibility for the administration and oversight of programs for all participating entities in the joint powers agreement pursuant to this article, including, but not limited to, all of the following:(A)The Section 8 Housing Choice Voucher Program (42 U.S.C. Sec. 1437f; 24 C.F.R. 982).(B)The United States Department of Housing and Urban Development Veterans Affairs Supportive Housing (42 U.S.C. Sec. 1437f(o)(19)).(C)Public housing under Sections 1436d and 1437f of Title 42 of the United States Code.(D)(i)The Community Development Block Grant Program (42 U.S.C. Sec. 5301 et seq.).(ii)(I)Except as specified in subclauses (II) and (III), the agency shall continue to administer Community Development Block Grant funds, as those funds were administered by the Sacramento Housing and Redevelopment Agency as of July 1, 2025.(II)A qualified local agency that is, as of July 1, 2025, collecting Community Development Block Grant funds and administering their own Community Development Block Grant Programs, shall maintain and retain responsibility for the administration and oversight of these programs, including, but not limited to, collection, allocation, and disbursement of all funds for Community Development Block Grant Programs.(III)A qualified local agency that did not have a representative on the governing board of the Sacramento Housing and Redevelopment Agency as of July 1, 2025, and who is not collecting Community Development Block Grant funds and administering their own Community Development Block Grant Programs, may elect to do so.(E)(i)The HOME Investment Partnerships Program (42 U.S.C. Sec. 12721 et seq.).(ii)(I)Except as specified in subclauses (II), (III), and (IV), the agency shall continue to administer the City of Sacramento and County of Sacramento HOME Investment Partnerships Program, as it was administered by the Sacramento Housing and Redevelopment Agency as of July 1, 2025.(II)A qualified local agency that is collecting HOME Investment Partnerships Program funds and administering their own HOME Investment Partnerships Programs, as of July 1, 2025, shall maintain and retain responsibility for the administration and oversight of these programs, including, without limitation, collections, allocation, and disbursement of all funds for such HOME Investment Partnerships Program.(III)A qualified local agency that did not have a representative on the governing board of the Sacramento Housing and Redevelopment Agency as of July 1, 2025, that receives HOME Investment Partnerships Program funds through the Sacramento Housing and Redevelopment Agency, may elect to continue to receive those funds through the agency.(IV)A qualified local agency that did not have a representative on the governing board of the Sacramento Housing and Redevelopment Agency as of July 1, 2025, and who is not collecting HOME Investment Partnerships Program funds and administering their own HOME Investment Partnerships Programs, may elect to do so.(F)The Emergency Solutions Grants (42 U.S.C. Sec. 11371 et seq.).(G)The Continuum of Care Program (42 U.S.C. Sec. 11381 et seq. and 24 C.F.R. 578).(H)The Housing Opportunities for Persons With AIDS Program (42 U.S.C. Sec. 12901 et seq.).(I)State homelessness programs, including the Homeless Housing, Assistance, and Prevention program (Chapter 6 (commencing with Section 50216) of Part 1 of Division 31 of the Health and Safety Code) and the Homekey program (Section 50675.1.1 of the Health and Safety Code).(J)Coordinated Entry System, a HUD-mandated Continuum of Care, as defined in subdivision (f) of Section 50490 of the Health and Safety Code.(2)Qualified local agencies shall maintain and retain responsibility for the administration and oversight of any new programs that may become available to local governments including, without limitation, collection, allocation, and disbursement of all funds.(c)The agency shall comply with all applicable regulations and requirements, including, but not limited to, all of the following:(1)Sections 574, 576, 578, 960, 965, 982, and 990 of Title 24 of the Code of Federal Regulations.(2)With respect to public housing agency planning, Section 903 of Title 24 of the Code of Federal Regulations.(3)Continuum of Care governance, data, and performance standards mandated by the United States Department of Housing and Urban Development.(4)The Housing Authorities Law (Article 1 (commencing with Section 34200) of Chapter 1 of Part 2 of Division 24 of the Health and Safety Code).(5)Requirements under applicable state programs, including, but not limited to, the Homeless Housing, Assistance, and Prevention program (Chapter 6 (commencing with Section 50216) of Part 1 of Division 31 of the Health and Safety Code) and the Homekey program (Section 50675.1.1 of the Health and Safety Code).(6)All applicable civil rights laws, including the federal Fair Housing Act (42 U.S.C. Sec. 3601 et seq.), including the mandate to affirmatively further fair housing; the federal Americans with Disabilities Act of 1990 (42 U.S.C. Sec. 12101 et seq.); and Title VI of the federal Civil Rights Act of 1964 (42 U.S.C. Sec. 2000d et seq.).(d)The agency shall maintain eligibility for all funding programs for which the Sacramento Housing and Redevelopment Agency or Sacramento Steps Forward previously qualified.(e)(1)Except as specified in paragraph (3), pursuant to agreements with the Sacramento Housing and Redevelopment Agency as of July 1, 2025, the agency shall be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement pursuant to Section 6539.9.7. These funds shall include, but are not limited to, the affordable housing ordinance fee collected by the County of Sacramento (Section 22.35.010 et seq. of the Sacramento County Code) and the mixed income housing ordinance fee collected by the City of Sacramento (Section 17.712.010 et seq. of the Sacramento City Code).(2)The funds and fees described in paragraph (1) shall only be spent within the jurisdiction from which they were originally collected and for the purposes for which they were originally collected.(3)Notwithstanding paragraph (1), a qualified local agency that collects any local housing trust funds or local housing ordinance fees as of July 1, 2025, shall maintain and retain responsibility for the administration and oversight of those local housing trust funds or local housing ordinance fees.(f)The agency shall be deemed a regional entity for the purposes of statewide housing and homelessness funding programs and shall be granted priority consideration for all applicable state housing and homelessness funding sources.6539.9.11.(a)The agency shall be the successor employer to the Sacramento Housing and Redevelopment Agency for all labor relations purposes, including, but not limited to:(1)Recognition of all employee organizations recognized as of the effective date of this act as the exclusive representative of the employees in an appropriate unit.(2)Enforcement of existing collective bargaining agreements.(3)Processing of pending grievances, arbitration proceedings, and unfair practice charges.(4)Compliance with all labor relations obligations and commitments.(b)The restructuring and renaming of the agency pursuant to this act shall not interrupt, impair, or diminish the representation rights of any employee organization or the collective bargaining rights of represented employees.(c)All collective bargaining agreements in effect between employee organizations and the Sacramento Housing and Redevelopment Agency as of the effective date of this act shall remain in full force and effect until their scheduled expiration dates.(d)The agency shall assume responsibility for and be bound by all pending grievances, arbitration proceedings, and other labor relations matters from the predecessor agencies.(e)Nothing in the establishment of the agency is intended to circumvent existing jurisdictional labor agreements, including project labor agreements or community workforce training agreements.6539.9.13.(a)There shall exist within the agency the Homelessness Division.(b)The Homelessness Division shall be comprised of both of the following:(1)Sacramento Steps Forward.(2)Participating members and experts from the Sacramento Continuum of Care, including those with lived experience of homelessness.6539.9.15.(a)The agency shall coordinate its operations with the housing and homelessness departments of each participating jurisdiction to ensure alignment of local priorities and effective delivery of services.(b)The departments described in subdivision (a) include, but are not limited to, all of the following:(1)The Department of Homeless Services and Housing of the County of Sacramento.(2)The Department of Community Response of the City of Sacramento.(3)The Housing Division of the City of Elk Grove.(4)The Housing Division of the City of Rancho Cordova.(5)The Housing and Grants Division of the City of Citrus Heights.(6)The City of Folsom.(c)The agency may also consult with additional local departments, advisory bodies, or nonprofit partners as needed to fulfill its mission.6539.9.17.(a)The agency shall establish and maintain a standing advisory board to ensure compliance with federal and state requirements for public participation in housing authority and Continuum of Care governance.(b)The advisory board shall be appointed by a majority vote of the governing board. The advisory board shall adopt bylaws for appointments, terms, and procedures.(c)The advisory board shall include, but is not limited to, all of the following:(1)At least one individual currently or formerly experiencing homelessness, pursuant to Section 578.3 of Title 24 of the Code of Federal Regulations, and at least one individual who is a current resident of public housing or low-income housing.(2)Representatives from community-based organizations, service providers, and housing developers.(3)Experts in behavioral health, public housing, and program implementation.(d)The advisory board shall do all of the following:(1)Meet at least quarterly in publicly noticed meetings.(2)Provide recommendations on funding, programs, planning, and performance.(3)Fulfill United States Department of Housing and Urban Development and state consultation requirements for funding and compliance.(4)Assist in development of the agencys strategic plan and annual updates.(5)Ensure all state and federal requirements of board participation are met.(e)The advisory board shall not have voting authority over governing board decisions.(f)The advisory board shall consist of seven members, appointed as provided in subdivisions (b) and (c).6539.9.19.The agency shall not acquire property by eminent domain.6539.9.21.The provisions of this article are severable. If any provision of this article or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.SEC. 2.Article 1.5 (commencing with Section 6539.9.5) is added to Chapter 5 of Division 7 of Title 1 of the Government Code, to read:1.5.Sacramento Regional Housing and Homelessness Joint Powers Authority Act6539.9.5.(a)This article shall be known, and may be cited, as the Sacramento Regional Housing and Homelessness Joint Powers Authority Act.
(b)The County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom shall participate in and work together to establish a joint powers authority, pursuant to the Joint Exercise of Powers Act (Article 1 (commencing with Section 6500)), designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento.
(c)The County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom together shall do all of the following:
(1)Bring elected officials from across the region together through the joint powers authority that provides program and policy guidance and establishes shared goals to improve the efficacy of the regions homeless response system and affordable housing resources.
(2)Bring the oversight and functions of the Sacramento City and County Continuum of Care under the jurisdiction of the joint powers authority, while maintaining the federally required composition and integrity of the continuum of care.
(3)Work collaboratively with the Sacramento Housing and Redevelopment Authority to develop goals and action plans that address homelessness, affordable housing, and advance a true housing continuum regionally.
(d)The joint powers authority shall do all of the following:
(1)Set system performance goals and, at a minimum, regularly review state and federal performance metrics to address housing and homelessness.
(2)Collaborate to update the regionally coordinated homelessness action plan as necessary and oversee implementation of the plan.
(3)Coordinate on delivery of prevention, outreach, shelter, and housing programs, with local jurisdictions retaining oversight, accountability, and control over land use decisions and programs administered by the local jurisdictions.
(4)Explore better integration with other systems working in homelessness and housing, including county-administered behavioral health, child and adult welfare, and social safety net services.
(5)Align regional funding for housing and homelessness, with local jurisdictions retaining final control and approval over local, state, and federal funds eligible to be administered by local jurisdictions.
(6)Comply with the requirements set forth in the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5).
(7)Be designated as the federally recognized continuum of care.
(8)Provide direction to the continuum of care lead agency.
(9)Provide oversight over continuum of care functions, including all of the following:
(A)The Homeless Management Information System.
(B)The Coordinated Access System.
(C)The Point-in-Time Count.
(10)Develop a committee structure to ensure community voice continues to be incorporated.
(11)Include the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom.
(12)Be developed as a formal, robust joint powers authority.
(13)Have a board that consists solely of the elected officials representing the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom.
(14)Target both housing and homelessness.
(15)Incorporate meaningful resources to provide services.
(16)Have a governance structure that includes the lead entities, respectively, from both the Continuum of Care and the Sacramento Housing and Redevelopment Agency.
(17)Hold monthly public meetings and incorporate public participation.
(e)A local jurisdiction shall retain oversight and accountability over funding decisions, projects, and programs administered by the local jurisdiction, including contracting for prevention, outreach, sheltering, and housing.
SEC. 3.The Legislature finds and declares, with respect to Section 2 of this act, that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique and urgent housing and homelessness conditions in the County of Sacramento and its major cities.
SEC. 4.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
The Legislature finds and declares all of the following:
(a)Nearly all homeless shelters are developed as co-ed.(b)Co-ed homeless shelters are over 90 percent male, which can result in an environment that feels unsafe for women, especially those who have been victims of trafficking, violence, abuse, or trauma.(c)There is a need for safe, stable, affordable housing for individuals experiencing trauma, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking, a population of which is overwhelmingly women.(a)Over the past 4.5 years, the State of California has given the County of Sacramento over $400,000,000 to address homelessness.
(b)According to the State of Californias Accountability tool, the Sacramento area was awarded $173,300,000 from 2019 to 2025 in Homeless Housing, Assistance and Prevention funding alone.
(c)Despite these investments, Sacramento Countys population of chronically homeless individuals was the third highest in the nation in 2023, according to the United States Department of Housing and Urban Development (HUD).
(d)HUDs assessment found that around 72 percent of the people experiencing homelessness in Sacramento County are unsheltered, the fifth-highest percentage in the nation.
(e)Sacramento has also faced a steep rise in student homelessness, with a 19-percent increase from 2023 to 2024far surpassing the states increase of 9 percent in student homelessness.
(f)To address these issues, the City and County of Sacramento themselves recommended a joint powers authority (JPA) in 2010.
(g)In September 2010, the Sacramento City Council passed a resolution to implement a JPA with a staff recommendation to create it by the end of the 201011 fiscal year. However, no JPA was formed.
(h)In November 2010, the Sacramento Steps Forward published a report highlighting its goal of forming a JPA by 2011. However, no JPA was formed.
(i)In December 2010, the City and County of Sacramento adopted a resolution to form a JPA. However, no JPA was formed.
(j)A Sacramento city managers report in March 2011 outlined a planned JPA timeline, including the JPA board being seated in March 2012. However, no JPA was formed.
(k)In November 2011, the County of Sacramento presented at a city council meeting, outlining the countys roles and responsibilities, how it would collaborate with Sacramento Steps Forward, and why a JPA model should be implemented. However, no JPA was formed.
(l)In 2019, the Sacramento Grand Jury reported that a Sacramento JPA is vital and recommended the city and county reconsider a JPA. Still, no JPA was formed.
(m)In November 2022, frustrated Sacramento voters passed Measure O, the Emergency Shelter and Enforcement Act, which required the city and county to work together to expand services and address encampments.
(n)In December 2022, the City and County of Sacramento signed a binding contract to work together to address homelessness. The agreement established shared coordination, joint operational teams, shared planning, and collaboration on funding. However, no consolidation of resources and staffing has been established and no JPA was formed.
(o)Despite this agreement, in the 202223 Grand Jury Report, the Grand Jury again recommended that the county and the seven incorporated cities implement a JPA to address homelessness by December 1, 2023. Still, no JPA was formed.
(p)In 2023, the City of Sacramento was sued by the Sacramento District Attorney, alleging that the city failed to enforce its homelessness laws.
(q)In 2023, Governor Newsom and Attorney General Bonta sued the City of Elk Grove for violating state fair housing laws, reaching a settlement that included requiring the city to identify and rezone a site for affordable housing and undergo state monitoring to ensure compliance with housing laws.
(r)A 2023 Grand Jury report cited that a lack of a regional authority is a major barrier to progress, noting that efforts are often duplicative, data systems are siloed, and strategic planning is inconsistent across jurisdictions.
SEC. 2.Article 1.5 (commencing with Section 6539.9.5) is added to Chapter 5 of Division 7 of Title 1 of the Government Code, to read:1.5.Sacramento Area Housing and Homelessness Agency6539.9.5.For purposes of this article:
(a)Agency means the Sacramento Area Housing and Homelessness Agency.
(b)Governing board means the governing board of the agency.
(c)(1)Qualified local agency means any city within the County of Sacramento that has a population of at least 50,000, based on the most recent federal decennial census or a subsequent estimate prepared by the Demographic Research Unit of the Department of Finance.
(2)Qualified local agency includes, but is not limited to, the Cities of Citrus Heights, Elk Grove, Folsom, Rancho Cordova, and Sacramento.
6539.9.7.(a)(1)Notwithstanding any other law, the joint powers authority currently operating as the Sacramento Housing and Redevelopment Agency, created pursuant to a 1973 agreement between the City of Sacramento and the County of Sacramento, shall be restructured, expanded, amended, and renamed as the Sacramento Area Housing and Homelessness Agency as provided in this article.
(2)The Legislature finds and declares that the purpose of the restructuring of the agency described in paragraph (1) is to modernize and expand the agencys scope and governance to address regional housing and homelessness needs, while preserving the agencys legal status, contracts, funding eligibility, and programmatic history.
(b)The agency shall include as participating jurisdictions the County of Sacramento and each qualified local agency, and shall operate under a new joint powers agreement entered into pursuant to this chapter.
(c)The agency shall serve as the regional authority to do all of the following:
(1)Develop and preserve affordable housing.
(2)Coordinate and administer homelessness prevention and response services, including the Coordinated Entry System, as defined in subdivision (f) of Section 50490 of the Health and Safety Code.
(3)Apply for, receive, and administer federal, state, and local funding for housing and homelessness.
(4)Manage and implement a comprehensive strategic plan to address and reduce homelessness in the County of Sacramento.
(d)The updated joint powers agreement pursuant to subdivision (a) shall provide for all of the following:
(1)(A)A governing board composed of elected officials from each qualified local agency that is party to the agreement, with full delegated powers and duties transferred from the cities and county. The initial board under the amended joint powers agreement shall consist of 11 members appointed by the legislative bodies of the County of Sacramento and each qualified local agency, in accordance with the following:
(i)Three members shall be selected from, and appointed by, the City Council city council of the City of Sacramento.
(ii)Three members shall be selected from, and appointed by, the Board of Supervisors of the County of Sacramento.
(iii)Two members shall be selected from, and appointed by, the City Council city council of the City of Elk Grove.
(iv)One member each shall be selected from, and appointed by, the city councils of the Cities of Citrus Heights, Folsom, and Rancho Cordova.
(B)The board may increase the number of members if a qualified local agency enters into an agreement to join the joint powers agreement. That qualified local agency shall be entitled to make one appointment to the board.
(C)Each member on the governing board may select an alternate to serve on the board when the primary member or members are not available. Each alternate shall be appointed to serve for a specific member and shall be an official elected from the same body as the primary member. The alternate shall be subject to the same restrictions and shall have the same powers, when serving on the board, as the primary member. The legislative body of any voting entity appointing an alternate shall provide written notification to the secretary of the governing board of each appointment of an alternate in order for the appointment to be effective.
(D)A member of the governing board shall serve without compensation but may be reimbursed for actual expenses approved by the board.
(E)Each governing board member is entitled to one vote on each matter submitted for a vote.
(F)If a vacancy occurs on the governing board because of death, resignation, illness, or for other reason, the secretary of the governing board shall immediately provide written notice to the qualified local agency appointing the board member of the need to appoint a replacement, and the replacement shall be appointed within 60 days of the transmittal of the notice. The replacement shall be an official elected from the same body as the primary member.
(G)The governing board shall be established no later than January 1, 2028.
(2)(A)An executive director of the agency. The initial executive director of the agency under the amended joint powers agreement shall be the current executive director of the Sacramento Housing and Redevelopment Agency.
(B)The governing board shall establish a removal and replacement process for the executive director.
(3)Bylaws, to be established by the governing board, which shall include, at a minimum, all of the following:
(A)A regular meeting schedule for the governing board, in accordance with the following:
(i)The schedule, location, time, and agenda of all regular and special governing board meetings shall be publicly noticed.
(ii)All meetings shall be open to the public, unless the matter is a proper one for closed session. All meetings shall comply with the provisions of the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5).
(iii)The governing board shall meet no fewer than 10 times per year.
(B)(i)A code of ethics, the key expectations of which shall include all of the following:
(I)Act in the best interest of the agency.
(II)Do not use official positions for private gain.
(III)Abstain from decisions where personal or financial interests conflict with Agency interests.
(ii)Each member of the governing board and each employee shall uphold high standards of integrity, fairness, and transparency.
(iii)Each member of the governing board shall comply with the requirements of the Political Reform Act of 1974 (Title 9 (commencing with Section 81000)), and shall file statements of economic interests, as required by law.
(iv)The governing board shall establish process to address any ethics violations.
(C)A reimbursement process, including designating what qualifies as a reimbursable expense and establishing procedure for making payments.
(e)The agency shall adopt a comprehensive strategic plan to address housing and homelessness no later than three years from the date the restructured agreement takes effect. The plan shall align with all relevant state and federal requirements. The agency shall submit the plan to the Legislature in compliance with Section 9795.
6539.9.9.(a)The agency shall retain its legal identity as the public housing authority and redevelopment successor entity formerly known as the Sacramento Housing and Redevelopment Agency and shall continue to administer all existing housing, homelessness, and redevelopment programs in compliance with applicable law. An entity shall not be created that negates the duties of the agency.
(b)The (1)Except as specified in paragraph (2), agency shall assume or continue responsibility for the administration and oversight of programs for all participating entities in the joint powers agreement pursuant to this article, including, but not limited to, all of the following:
(1)(A)The Section 8 Housing Choice Voucher Program (42 U.S.C. Sec. 1437f; 24 C.F.R. 982).
(2)(B)The United States Department of Housing and Urban Development Veterans Affairs Supportive Housing (42 U.S.C. Sec. 1437f(o)(19)).
(3)(C)Public housing under Sections 1436d and 1437f of Title 42 of the United States Code.
(4)(A)(D)(i)The Community Development Block Grant Program (42 U.S.C. Sec. 5301 et seq.).
(B)The(ii)(I)Except as specified in subclauses (II) and (III), the agency shall continue to administer Community Development Block Grant funds, as those funds were administered by the Sacramento Housing and Redevelopment Agency as of July 1, 2025.
(II)A qualified local agency that is, as of July 1, 2025, collecting Community Development Block Grant funds and administering their own Community Development Block Grant Programs, shall maintain and retain responsibility for the administration and oversight of these programs, including, but not limited to, collection, allocation, and disbursement of all funds for Community Development Block Grant Programs.
(III)A qualified local agency that did not have a representative on the governing board of the Sacramento Housing and Redevelopment Agency as of July 1, 2025, and who is not collecting Community Development Block Grant funds and administering their own Community Development Block Grant Programs, may elect to do so.
(5)(A)(E)(i)The HOME Investment Partnerships Program (42 U.S.C. Sec. 12721 et seq.).
(B)The(ii)(I)Except as specified in subclauses (II), (III), and (IV), the agency shall continue to administer the City of Sacramento and County of Sacramento HOME Investment Partnerships Program, as it was administered by the Sacramento Housing and Redevelopment Agency as of July 1, 2025.
(II)A qualified local agency that is collecting HOME Investment Partnerships Program funds and administering their own HOME Investment Partnerships Programs, as of July 1, 2025, shall maintain and retain responsibility for the administration and oversight of these programs, including, without limitation, collections, allocation, and disbursement of all funds for such HOME Investment Partnerships Program.
(III)A qualified local agency that did not have a representative on the governing board of the Sacramento Housing and Redevelopment Agency as of July 1, 2025, that receives HOME Investment Partnerships Program funds through the Sacramento Housing and Redevelopment Agency, may elect to continue to receive those funds through the agency.
(IV)A qualified local agency that did not have a representative on the governing board of the Sacramento Housing and Redevelopment Agency as of July 1, 2025, and who is not collecting HOME Investment Partnerships Program funds and administering their own HOME Investment Partnerships Programs, may elect to do so.
(6)(F)The Emergency Solutions Grants (42 U.S.C. Sec. 11371 et seq.).
(7)(G)The Continuum of Care Program (42 U.S.C. Sec. 11381 et seq. and 24 C.F.R. 578).
(8)(H)The Housing Opportunities for Persons With AIDS Program (42 U.S.C. Sec. 12901 et seq.).
(9)(I)State homelessness programs, including the Homeless Housing, Assistance, and Prevention program (Chapter 6 (commencing with Section 50216) of Part 1 of Division 31 of the Health and Safety Code) and the Homekey program (Section 50675.1.1 of the Health and Safety Code).
(10)(J)Coordinated Entry System, a HUD-mandated Continuum of Care, as defined in subdivision (f) of Section 50490 of the Health and Safety Code.
(2)Qualified local agencies shall maintain and retain responsibility for the administration and oversight of any new programs that may become available to local governments including, without limitation, collection, allocation, and disbursement of all funds.
(c)The agency shall comply with all applicable regulations and requirements, including, but not limited to, all of the following:
(1)Sections 574, 576, 578, 960, 965, 982, and 990 of Title 24 of the Code of Federal Regulations.
(2)With respect to public housing agency planning, Section 903 of Title 24 of the Code of Federal Regulations.
(3)Continuum of Care governance, data, and performance standards mandated by the United States Department of Housing and Urban Development.
(4)The Housing Authorities Law (Article 1 (commencing with Section 34200) of Chapter 1 of Part 2 of Division 24 of the Health and Safety Code).
(5)Requirements under applicable state programs, including, but not limited to, the Homeless Housing, Assistance, and Prevention program (Chapter 6 (commencing with Section 50216) of Part 1 of Division 31 of the Health and Safety Code) and the Homekey program (Section 50675.1.1 of the Health and Safety Code).
(6)All applicable civil rights laws, including the federal Fair Housing Act (42 U.S.C. Sec. 3601 et seq.), including the mandate to affirmatively further fair housing; the federal Americans with Disabilities Act of 1990 (42 U.S.C. Sec. 12101 et seq.); and Title VI of the federal Civil Rights Act of 1964 (42 U.S.C. Sec. 2000d et seq.).
(d)The agency shall maintain eligibility for all funding programs for which the Sacramento Housing and Redevelopment Agency or Sacramento Steps Forward previously qualified.
(e)(1)Pursuant Except as specified in paragraph (3), pursuant to agreements with the Sacramento Housing and Redevelopment Agency as of July 1, 2025, the agency shall be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement pursuant to Section 6539.9.7. These funds shall include, but are not limited to, the affordable housing ordinance fee collected by the County of Sacramento (Section 22.35.010 et seq. of the Sacramento County Code) and the mixed income housing ordinance fee collected by the City of Sacramento (Section 17.712.010 et seq. of the Sacramento City Code).
(2)The funds and fees described in paragraph (1) shall only be spent within the jurisdiction from which they were originally collected and for the purposes for which they were originally collected.
(3)Notwithstanding paragraph (1), a qualified local agency that collects any local housing trust funds or local housing ordinance fees as of July 1, 2025, shall maintain and retain responsibility for the administration and oversight of those local housing trust funds or local housing ordinance fees.
(f)The agency shall be deemed a regional entity for the purposes of statewide housing and homelessness funding programs and shall be granted priority consideration for all applicable state housing and homelessness funding sources.
6539.9.11.(a)The agency shall be the successor employer to the Sacramento Housing and Redevelopment Agency for all labor relations purposes, including, but not limited to:
(1)Recognition of all employee organizations recognized as of the effective date of this act as the exclusive representative of the employees in an appropriate unit.
(2)Enforcement of existing collective bargaining agreements.
(3)Processing of pending grievances, arbitration proceedings, and unfair practice charges.
(4)Compliance with all labor relations obligations and commitments.
(b)The restructuring and renaming of the agency pursuant to this act shall not interrupt, impair, or diminish the representation rights of any employee organization or the collective bargaining rights of represented employees.
(c)All collective bargaining agreements in effect between employee organizations and the Sacramento Housing and Redevelopment Agency as of the effective date of this act shall remain in full force and effect until their scheduled expiration dates.
(d)The agency shall assume responsibility for and be bound by all pending grievances, arbitration proceedings, and other labor relations matters from the predecessor agencies.
(e)Nothing in the establishment of the agency is intended to circumvent existing jurisdictional labor agreements, including project labor agreements or community workforce training agreements.
6539.9.13.(a)There shall exist within the agency the Homelessness Division.
(b)The Homelessness Division shall be comprised of both of the following:
(1)Sacramento Steps Forward.
(2)Participating members and experts from the Sacramento Continuum of Care, including those with lived experience of homelessness.
6539.9.15.(a)The agency shall coordinate its operations with the housing and homelessness departments of each participating jurisdiction to ensure alignment of local priorities and effective delivery of services.
(b)The departments described in subdivision (a) include, but are not limited to, all of the following:
(1)The Department of Homeless Services and Housing of the County of Sacramento.
(2)The Department of Community Response of the City of Sacramento.
(3)The Housing Division of the City of Elk Grove.
(4)The Housing Division of the City of Rancho Cordova.
(5)The Housing and Grants Division of the City of Citrus Heights.
(6)The City of Folsom.
(c)The agency may also consult with additional local departments, advisory bodies, or nonprofit partners as needed to fulfill its mission.
6539.9.17.(a)The agency shall establish and maintain a standing advisory board to ensure compliance with federal and state requirements for public participation in housing authority and Continuum of Care governance.
(b)The advisory board shall be appointed by a majority vote of the governing board. The advisory board shall adopt bylaws for appointments, terms, and procedures.
(c)The advisory board shall include, but is not limited to, all of the following:
(1)At least one individual currently or formerly experiencing homelessness, pursuant to Section 578.3 of Title 24 of the Code of Federal Regulations, and at least one individual who is a current resident of public housing or low-income housing.
(2)Representatives from community-based organizations, service providers, and housing developers.
(3)Experts in behavioral health, public housing, and program implementation.
(d)The advisory board shall do all of the following:
(1)Meet at least quarterly in publicly noticed meetings.
(2)Provide recommendations on funding, programs, planning, and performance.
(3)Fulfill United States Department of Housing and Urban Development and state consultation requirements for funding and compliance.
(4)Assist in development of the agencys strategic plan and annual updates.
(5)Ensure all state and federal requirements of board participation are met.
(e)The advisory board shall not have voting authority over governing board decisions.
(f)The advisory board shall consist of seven members, appointed as provided in subdivisions (b) and (c).
6539.9.19.The agency shall not acquire property by eminent domain.
6539.9.21.The provisions of this article are severable. If any provision of this article or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.
SEC. 3.Article 4 (commencing with Section 50246) is added to Chapter 6.5 of Part 1 of Division 31 of the Health and Safety Code, to read:4.Additional Rounds of the Homeless Housing, Assistance, and Prevention Program50246.Upon appropriation by the Legislature, for rounds of the Homeless Housing, Assistance, and Prevention program adopted after the effective date of the act that added this article, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:(a)Former foster youth.(b)Extremely low income households, very low income households, and lower income households.SEC. 4.Section 50675.1.3 of the Health and Safety Code is amended to read:50675.1.3.(a)Notwithstanding any other law, including subdivision (b) of Section 50675.1, funds appropriated to provide housing for individuals and families who are experiencing homelessness or who are at risk of homelessness, as defined by this section, and who are inherently impacted by or at increased risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases, shall be disbursed in accordance with the Multifamily Housing Program, including as grants to cities, counties, cities and counties, and all other state, regional, and local public entities, including councils of government, metropolitan planning organizations, and regional transportation planning agencies designated in Section 29532.1 of the Government Code, as necessary, for the following uses:(1)Acquisition or rehabilitation, or acquisition and rehabilitation, of motels, hotels, hostels, or other sites and assets, including apartments or homes, adult residential facilities, residential care facilities for the elderly, manufactured housing, commercial properties, and other buildings with existing uses that could be converted to permanent or interim housing.(2)Master leasing of properties for noncongregant housing.(3)Conversion of units from nonresidential to residential.(4)New construction of dwelling units.(5)The purchase of affordability covenants and restrictions for units.(6)Relocation costs for individuals who are being displaced as a result of rehabilitation of existing units.(7)Capitalized operating subsidies for units purchased, converted, or altered with funds provided by this section.(b)Where possible, the funds described in subdivision (a) shall be allocated by the department in a manner that takes into consideration all of the following:(1)Need geographically across the state.(2)The demonstrated ability of the applicant to fund ongoing operating reserves.(3)The creation of new permanent housing options.(4)The potential for state, federal, or local funding for capitalized operating reserves to make additional housing units financially viable through this program.(c)Not less than 8 percent of the funds described in subdivision (a) shall be available for projects serving homeless youth, or youth at risk of homelessness, as defined in Part 578.3 of Title 24 of the Code of Federal Regulations.(d)Any conflict between the other requirements of the Multifamily Housing Program created by this chapter and this section shall be resolved in favor of this section, as may be set forth in the guidelines authorized by this section.(e)The Department of Housing and Community Development may adopt guidelines for the expenditure of the funds appropriated to the department, and for the administration of this program. The guidelines shall not be subject to the requirements of Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code.(f)Up to 5 percent of the funds received from the Coronavirus State Fiscal Recovery Fund established by the federal American Rescue Plan Act of 2021 (ARPA) (Public Law 117-2) and appropriated for purposes of this section may be expended for the costs to administer the program, to the extent authorized by federal law.(g)Up to 5 percent of any General Fund moneys appropriated for purposes of this section may be expended for the costs to administer this program.(h)The departments annual report to the Legislature submitted under Section 50408 shall include, but not be limited to, all of the following:(1)The amount of funds expended for the uses described in this section.(2)The location of any properties for which the funds are used.(3)The number of usable housing units produced, or planned to be produced, using the funds.(4)The number of individuals housed, or likely to be housed, using the funds.(5)The number of units, and the location of those units, for which operating subsidies have been, or are planned to be, capitalized using the funds.(6)An explanation of how funding decisions were made for acquisition, conversion, or rehabilitation projects, or for capitalized operating subsidies, including what metrics were considered in making those decisions.(7)Any lessons learned from the use of the funds.(8)Proposed changes to the program to address lessons learned.(i)Any project that uses funds received for any of the purposes specified in subdivision (a) shall be deemed consistent and in conformity with any applicable local plan, standard, or requirement, and any applicable coastal plan, local or otherwise, and allowed as a permitted use, within the zone in which the structure is located, and shall not be subject to a conditional use permit, discretionary permit, or any other discretionary reviews or approvals.(j)A report to be submitted pursuant to subdivision (h) shall be submitted in compliance with Section 9795 of the Government Code.(k)Upon an appropriation by the Legislature for the purposes described in this section, the department shall administer funding according to the timeline set forth below, subject to any modifications set forth by the guidelines:(1)The department may accept funding applications and issue awards on a continuous, over-the-counter basis until the funding has been exhausted or as otherwise required by law.(2)Each award shall be expended on the uses authorized at subdivision (a), and in accordance with all relevant representations and descriptions in the application, within eight months of the date of the award. Applicants may ask the department for an extension of this timeframe on the grounds and according to the procedures set forth in the guidelines. The director shall have reasonable discretion to approve or deny such an extension upon conducting a full and good faith review of the applicants extension request.(l)For purposes of this section, individuals and families who are homeless or who are at risk of homelessness means persons and families that meet the qualifying definitions under Part 578.3 of Title 24 of the Code of Federal Regulations.(m)To advance the objectives specified in Section 50675.1.1 or this section, the department may expand the population served beyond the population specified in subdivision (l) as specified by the guidelines authorized by this section.(n)Upon appropriation by the Legislature for the purposes of this section after the effective date of the act that added this subdivision, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:(1)Former foster youth.(2)Extremely low income households, very low income households, and lower income households.SEC. 5.Section 50675.17 is added to the Health and Safety Code, to read:50675.17.Upon appropriation by the Legislature for the purposes of this chapter after the effective date of the act that added this section, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:(a)Former foster youth.(b)Extremely low income households, very low income households, and lower income households.SEC. 6.SEC. 3.The Legislature finds and declares, with respect to Section 2 of this act, that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique and urgent housing and homelessness conditions in the County of Sacramento and its major cities.
SEC. 7.SEC. 4.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
The Legislature finds and declares all of the following:
(a)Nearly all homeless shelters are developed as co-ed.
(b)Co-ed homeless shelters are over 90 percent male, which can result in an environment that feels unsafe for women, especially those who have been victims of trafficking, violence, abuse, or trauma.
(c)There is a need for safe, stable, affordable housing for individuals experiencing trauma, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking, a population of which is overwhelmingly women.
SEC. 2.Article 1.5 (commencing with Section 6539.9.5) is added to Chapter 5 of Division 7 of Title 1 of the Government Code, to read:1.5.Sacramento Area Housing and Homelessness Agency6539.9.5.For purposes of this article:
(a)Agency means the Sacramento Area Housing and Homelessness Agency.
(b)Governing board means the governing board of the agency.
(c)(1)Qualified local agency means any city within the County of Sacramento that has a population of at least 50,000, based on the most recent federal decennial census or a subsequent estimate prepared by the Demographic Research Unit of the Department of Finance.
(2)Qualified local agency includes, but is not limited to, the Cities of Citrus Heights, Elk Grove, Folsom, Rancho Cordova, and Sacramento.
6539.9.7.(a)(1)Notwithstanding any other law, the joint powers authority currently operating as the Sacramento Housing and Redevelopment Agency, created pursuant to a 1973 agreement between the City of Sacramento and the County of Sacramento, shall be restructured, expanded, amended, and renamed as the Sacramento Area Housing and Homelessness Agency as provided in this article.
(2)The Legislature finds and declares that the purpose of the restructuring of the agency described in paragraph (1) is to modernize and expand the agencys scope and governance to address regional housing and homelessness needs, while preserving the agencys legal status, contracts, funding eligibility, and programmatic history.
(b)The agency shall include as participating jurisdictions the County of Sacramento and each qualified local agency, and shall operate under a new joint powers agreement entered into pursuant to this chapter.
(c)The agency shall serve as the regional authority to do all of the following:
(1)Develop and preserve affordable housing.
(2)Coordinate and administer homelessness prevention and response services, including the Coordinated Entry System, as defined in subdivision (f) of Section 50490 of the Health and Safety Code.
(3)Apply for, receive, and administer federal, state, and local funding for housing and homelessness.
(4)Manage and implement a comprehensive strategic plan to address and reduce homelessness in the County of Sacramento.
(d)The updated joint powers agreement pursuant to subdivision (a) shall provide for all of the following:
(1)(A)A governing board composed of elected officials from each qualified local agency that is party to the agreement, with full delegated powers and duties transferred from the cities and county. The initial board under the amended joint powers agreement shall consist of 11 members appointed by the legislative bodies of the County of Sacramento and each qualified local agency, in accordance with the following:
(i)Three members shall be selected from, and appointed by, the City Council of the City of Sacramento.
(ii)Three members shall be selected from, and appointed by, the Board of Supervisors of the County of Sacramento.
(iii)Two members shall be selected from, and appointed by, the City Council of the City of Elk Grove.
(iv)One member each shall be selected from, and appointed by, the city councils of the Cities of Citrus Heights, Folsom, and Rancho Cordova.
(B)The board may increase the number of members if a qualified local agency enters into an agreement to join the joint powers agreement. That qualified local agency shall be entitled to make one appointment to the board.
(C)Each member on the governing board may select an alternate to serve on the board when the primary member or members are not available. Each alternate shall be appointed to serve for a specific member and shall be an official elected from the same body as the primary member. The alternate shall be subject to the same restrictions and shall have the same powers, when serving on the board, as the primary member. The legislative body of any voting entity appointing an alternate shall provide written notification to the secretary of the governing board of each appointment of an alternate in order for the appointment to be effective.
(D)A member of the governing board shall serve without compensation but may be reimbursed for actual expenses approved by the board.
(E)Each governing board member is entitled to one vote on each matter submitted for a vote.
(F)If a vacancy occurs on the governing board because of death, resignation, illness, or for other reason, the secretary of the governing board shall immediately provide written notice to the qualified local agency appointing the board member of the need to appoint a replacement, and the replacement shall be appointed within 60 days of the transmittal of the notice. The replacement shall be an official elected from the same body as the primary member.
(G)The governing board shall be established no later than January 1, 2028.
(2)(A)An executive director of the agency. The initial executive director of the agency under the amended joint powers agreement shall be the current executive director of the Sacramento Housing and Redevelopment Agency.
(B)The governing board shall establish a removal and replacement process for the executive director.
(3)Bylaws, to be established by the governing board, which shall include, at a minimum, all of the following:
(A)A regular meeting schedule for the governing board, in accordance with the following:
(i)The schedule, location, time, and agenda of all regular and special governing board meetings shall be publicly noticed.
(ii)All meetings shall be open to the public, unless the matter is a proper one for closed session. All meetings shall comply with the provisions of the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5).
(iii)The governing board shall meet no fewer than 10 times per year.
(B)(i)A code of ethics, the key expectations of which shall include all of the following:
(I)Act in the best interest of the agency.
(II)Do not use official positions for private gain.
(III)Abstain from decisions where personal or financial interests conflict with Agency interests.
(ii)Each member of the governing board and each employee shall uphold high standards of integrity, fairness, and transparency.
(iii)Each member of the governing board shall comply with the requirements of the Political Reform Act of 1974 (Title 9 (commencing with Section 81000)), and shall file statements of economic interests, as required by law.
(iv)The governing board shall establish process to address any ethics violations.
(C)A reimbursement process, including designating what qualifies as a reimbursable expense and establishing procedure for making payments.
(e)The agency shall adopt a comprehensive strategic plan to address housing and homelessness no later than three years from the date the restructured agreement takes effect. The plan shall align with all relevant state and federal requirements. The agency shall submit the plan to the Legislature in compliance with Section 9795.
6539.9.9.(a)The agency shall retain its legal identity as the public housing authority and redevelopment successor entity formerly known as the Sacramento Housing and Redevelopment Agency and shall continue to administer all existing housing, homelessness, and redevelopment programs in compliance with applicable law. An entity shall not be created that negates the duties of the agency.
(b)(1)The agency shall assume or continue responsibility for the administration and oversight of programs for all participating entities in the joint powers agreement pursuant to this article, including, but not limited to, all of the following:
(A)(1)The Section 8 Housing Choice Voucher Program (42 U.S.C. Sec. 1437f; 24 C.F.R. 982).
(B)(2)The United States Department of Housing and Urban Development Veterans Affairs Supportive Housing (42 U.S.C. Sec. 1437f(o)(19)).
(C)(3)Public housing under Sections 1436d and 1437f of Title 42 of the United States Code.
(D)(i)(4)(A)The Community Development Block Grant Program (42 U.S.C. Sec. 5301 et seq.).
(ii)(B)The agency shall continue to administer Community Development Block Grant funds, as those funds were administered by the Sacramento Housing and Redevelopment Agency as of July 1, 2025.
(E)(i)(5)(A)The HOME Investment Partnerships Program (42 U.S.C. Sec. 12721 et seq.).
(ii)(B)The agency shall continue to administer the City of Sacramento and County of Sacramento HOME Investment Partnerships Program, as it was administered by the Sacramento Housing and Redevelopment Agency as of July 1, 2025.
(F)(6)The Emergency Solutions Grants (42 U.S.C. Sec. 11371 et seq.).
(G)(7)The Continuum of Care Program (42 U.S.C. Sec. 11381 et seq. and 24 C.F.R. 578).
(H)(8)The Housing Opportunities for Persons With AIDS Program (42 U.S.C. Sec. 12901 et seq.).
(I)(9)State homelessness programs, including the Homeless Housing, Assistance, and Prevention program (Chapter 6 (commencing with Section 50216) of Part 1 of Division 31 of the Health and Safety Code) and the Homekey program (Section 50675.1.1 of the Health and Safety Code).
(J)(10)Coordinated Entry System, a HUD-mandated Continuum of Care, as defined in subdivision (f) of Section 50490 of the Health and Safety Code.
(2)Qualified local agencies, except the City of Sacramento, shall maintain and retain responsibility for the administration and oversight of any new programs that may become available to local governments including, without limitation, collection, allocation, and disbursement of all funds.(c)The agency shall comply with all applicable regulations and requirements, including, but not limited to, all of the following:
(1)Sections 574, 576, 578, 960, 965, 982, and 990 of Title 24 of the Code of Federal Regulations.
(2)With respect to public housing agency planning, Section 903 of Title 24 of the Code of Federal Regulations.
(3)Continuum of Care governance, data, and performance standards mandated by the United States Department of Housing and Urban Development.
(4)The Housing Authorities Law (Article 1 (commencing with Section 34200) of Chapter 1 of Part 2 of Division 24 of the Health and Safety Code).
(5)Requirements under applicable state programs, including, but not limited to, the Homeless Housing, Assistance, and Prevention program (Chapter 6 (commencing with Section 50216) of Part 1 of Division 31 of the Health and Safety Code) and the Homekey program (Section 50675.1.1 of the Health and Safety Code).
(6)All applicable civil rights laws, including the federal Fair Housing Act (42 U.S.C. Sec. 3601 et seq.), including the mandate to affirmatively further fair housing; the federal Americans with Disabilities Act of 1990 (42 U.S.C. Sec. 12101 et seq.); and Title VI of the federal Civil Rights Act of 1964 (42 U.S.C. Sec. 2000d et seq.).
(d)The agency shall maintain eligibility for all funding programs for which the Sacramento Housing and Redevelopment Agency or Sacramento Steps Forward previously qualified.
(e)(1)Pursuant to agreements with the Sacramento Housing and Redevelopment Agency as of July 1, 2025, the agency shall be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement pursuant to Section 6539.9.7. These funds shall include, but are not limited to, the affordable housing ordinance fee collected by the County of Sacramento (Section 22.35.010 et seq. of the Sacramento County Code) and the mixed income housing ordinance fee collected by the City of Sacramento (Section 17.712.010 et seq. of the Sacramento City Code).
(2)The funds and fees described in paragraph (1) shall only be spent within the jurisdiction from which they were originally collected and for the purposes for which they were originally collected.
(f)The agency shall be deemed a regional entity for the purposes of statewide housing and homelessness funding programs and shall be granted priority consideration for all applicable state housing and homelessness funding sources.
6539.9.11.(a)The agency shall be the successor employer to the Sacramento Housing and Redevelopment Agency for all labor relations purposes, including, but not limited to:
(1)Recognition of all employee organizations recognized as of the effective date of this act as the exclusive representative of the employees in an appropriate unit.
(2)Enforcement of existing collective bargaining agreements.
(3)Processing of pending grievances, arbitration proceedings, and unfair practice charges.
(4)Compliance with all labor relations obligations and commitments.
(b)The restructuring and renaming of the agency pursuant to this act shall not interrupt, impair, or diminish the representation rights of any employee organization or the collective bargaining rights of represented employees.
(c)All collective bargaining agreements in effect between employee organizations and the Sacramento Housing and Redevelopment Agency as of the effective date of this act shall remain in full force and effect until their scheduled expiration dates.
(d)The agency shall assume responsibility for and be bound by all pending grievances, arbitration proceedings, and other labor relations matters from the predecessor agencies.
(e)Nothing in the establishment of the agency is intended to circumvent existing jurisdictional labor agreements, including project labor agreements or community workforce training agreements.
6539.9.13.(a)There shall exist within the agency the Homelessness Division.
(b)The Homelessness Division shall be comprised of both of the following:
(1)Sacramento Steps Forward.
(2)Participating members and experts from the Sacramento Continuum of Care, including those with lived experience of homelessness.
6539.9.15.(a)The agency shall coordinate its operations with the housing and homelessness departments of each participating jurisdiction to ensure alignment of local priorities and effective delivery of services.
(b)The departments described in subdivision (a) include, but are not limited to, all of the following:
(1)The Department of Homeless Services and Housing of the County of Sacramento.
(2)The Department of Community Response of the City of Sacramento.
(3)The Housing Division of the City of Elk Grove.
(4)The Housing Division of the City of Rancho Cordova.
(5)The Housing and Grants Division of the City of Citrus Heights.
(6)The City of Folsom.
(c)The agency may also consult with additional local departments, advisory bodies, or nonprofit partners as needed to fulfill its mission.
6539.9.17.(a)The agency shall establish and maintain a standing advisory board to ensure compliance with federal and state requirements for public participation in housing authority and Continuum of Care governance.
(b)The advisory board shall be appointed by a majority vote of the governing board. The advisory board shall adopt bylaws for appointments, terms, and procedures.
(c)The advisory board shall include, but is not limited to, all of the following:
(1)At least one individual currently or formerly experiencing homelessness, pursuant to Section 578.3 of Title 24 of the Code of Federal Regulations, and at least one individual who is a current resident of public housing or low-income housing.
(2)Representatives from community-based organizations, service providers, and housing developers.
(3)Experts in behavioral health, public housing, and program implementation.
(d)The advisory board shall do all of the following:
(1)Meet at least quarterly in publicly noticed meetings.
(2)Provide recommendations on funding, programs, planning, and performance.
(3)Fulfill United States Department of Housing and Urban Development and state consultation requirements for funding and compliance.
(4)Assist in development of the agencys strategic plan and annual updates.
(5)Ensure all state and federal requirements of board participation are met.
(e)The advisory board shall not have voting authority over governing board decisions.
(f)The advisory board shall consist of seven members, appointed as provided in subdivisions (b) and (c).
6539.9.19.The agency shall not acquire property by eminent domain.
6539.9.21.The provisions of this article are severable. If any provision of this article or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.
SEC. 3.Article 4 (commencing with Section 50246) is added to Chapter 6.5 of Part 1 of Division 31 of the Health and Safety Code, to read:4.Additional Rounds of the Homeless Housing, Assistance, and Prevention Program50246.Upon appropriation by the Legislature, for rounds of the Homeless Housing, Assistance, and Prevention program adopted after the effective date of the act that added this article, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:
(a)Former foster youth.
(b)Extremely low income households, very low income households, and lower income households.
SEC. 4.Section 50675.1.3 of the Health and Safety Code is amended to read:50675.1.3.(a)Notwithstanding any other law, including subdivision (b) of Section 50675.1, funds appropriated to provide housing for individuals and families who are experiencing homelessness or who are at risk of homelessness, as defined by this section, and who are inherently impacted by or at increased risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases, shall be disbursed in accordance with the Multifamily Housing Program, including as grants to cities, counties, cities and counties, and all other state, regional, and local public entities, including councils of government, metropolitan planning organizations, and regional transportation planning agencies designated in Section 29532.1 of the Government Code, as necessary, for the following uses:
(1)Acquisition or rehabilitation, or acquisition and rehabilitation, of motels, hotels, hostels, or other sites and assets, including apartments or homes, adult residential facilities, residential care facilities for the elderly, manufactured housing, commercial properties, and other buildings with existing uses that could be converted to permanent or interim housing.
(2)Master leasing of properties for noncongregant housing.
(3)Conversion of units from nonresidential to residential.
(4)New construction of dwelling units.
(5)The purchase of affordability covenants and restrictions for units.
(6)Relocation costs for individuals who are being displaced as a result of rehabilitation of existing units.
(7)Capitalized operating subsidies for units purchased, converted, or altered with funds provided by this section.
(b)Where possible, the funds described in subdivision (a) shall be allocated by the department in a manner that takes into consideration all of the following:
(1)Need geographically across the state.
(2)The demonstrated ability of the applicant to fund ongoing operating reserves.
(3)The creation of new permanent housing options.
(4)The potential for state, federal, or local funding for capitalized operating reserves to make additional housing units financially viable through this program.
(c)Not less than 8 percent of the funds described in subdivision (a) shall be available for projects serving homeless youth, or youth at risk of homelessness, as defined in Part 578.3 of Title 24 of the Code of Federal Regulations.
(d)Any conflict between the other requirements of the Multifamily Housing Program created by this chapter and this section shall be resolved in favor of this section, as may be set forth in the guidelines authorized by this section.
(e)The Department of Housing and Community Development may adopt guidelines for the expenditure of the funds appropriated to the department, and for the administration of this program. The guidelines shall not be subject to the requirements of Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code.
(f)Up to 5 percent of the funds received from the Coronavirus State Fiscal Recovery Fund established by the federal American Rescue Plan Act of 2021 (ARPA) (Public Law 117-2) and appropriated for purposes of this section may be expended for the costs to administer the program, to the extent authorized by federal law.
(g)Up to 5 percent of any General Fund moneys appropriated for purposes of this section may be expended for the costs to administer this program.
(h)The departments annual report to the Legislature submitted under Section 50408 shall include, but not be limited to, all of the following:
(1)The amount of funds expended for the uses described in this section.
(2)The location of any properties for which the funds are used.
(3)The number of usable housing units produced, or planned to be produced, using the funds.
(4)The number of individuals housed, or likely to be housed, using the funds.
(5)The number of units, and the location of those units, for which operating subsidies have been, or are planned to be, capitalized using the funds.
(6)An explanation of how funding decisions were made for acquisition, conversion, or rehabilitation projects, or for capitalized operating subsidies, including what metrics were considered in making those decisions.
(7)Any lessons learned from the use of the funds.
(8)Proposed changes to the program to address lessons learned.
(i)Any project that uses funds received for any of the purposes specified in subdivision (a) shall be deemed consistent and in conformity with any applicable local plan, standard, or requirement, and any applicable coastal plan, local or otherwise, and allowed as a permitted use, within the zone in which the structure is located, and shall not be subject to a conditional use permit, discretionary permit, or any other discretionary reviews or approvals.
(j)A report to be submitted pursuant to subdivision (h) shall be submitted in compliance with Section 9795 of the Government Code.
(k)Upon an appropriation by the Legislature for the purposes described in this section, the department shall administer funding according to the timeline set forth below, subject to any modifications set forth by the guidelines:
(1)The department may accept funding applications and issue awards on a continuous, over-the-counter basis until the funding has been exhausted or as otherwise required by law.
(2)Each award shall be expended on the uses authorized at subdivision (a), and in accordance with all relevant representations and descriptions in the application, within eight months of the date of the award. Applicants may ask the department for an extension of this timeframe on the grounds and according to the procedures set forth in the guidelines. The director shall have reasonable discretion to approve or deny such an extension upon conducting a full and good faith review of the applicants extension request.
(l)For purposes of this section, individuals and families who are homeless or who are at risk of homelessness means persons and families that meet the qualifying definitions under Part 578.3 of Title 24 of the Code of Federal Regulations.
(m)To advance the objectives specified in Section 50675.1.1 or this section, the department may expand the population served beyond the population specified in subdivision (l) as specified by the guidelines authorized by this section.
(n)Upon appropriation by the Legislature for the purposes of this section after the effective date of the act that added this subdivision, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:
(1)Former foster youth.
(2)Extremely low income households, very low income households, and lower income households.
SEC. 5.Section 50675.17 is added to the Health and Safety Code, to read:50675.17.Upon appropriation by the Legislature for the purposes of this chapter after the effective date of the act that added this section, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:
(a)Former foster youth.
(b)Extremely low income households, very low income households, and lower income households.
SEC. 6.The Legislature finds and declares, with respect to Section 2 of this act, that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique and urgent housing and homelessness conditions in the County of Sacramento and its major cities.
SEC. 7.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
The Legislature finds and declares all of the following:
(a)Nearly all homeless shelters are developed as co-ed.
(b)Co-ed homeless shelters are over 90 percent male, which can result in an environment that feels unsafe for women, especially those who have been victims of trafficking, violence, abuse, or trauma.
(c)There is a need for safe, stable, affordable housing for individuals experiencing trauma, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking, a population of which is overwhelmingly women.
SEC. 2.Article 1.5 (commencing with Section 6539.9.5) is added to Chapter 5 of Division 7 of Title 1 of the Government Code, to read:1.5.Sacramento Area Housing and Homelessness Agency6539.9.5.For purposes of this article:
(a)Agency means the Sacramento Area Housing and Homelessness Agency.
(b)Governing board means the governing board of the agency.
(c)(1)Qualified local agency means any city within the County of Sacramento that has a population of at least 50,000, based on the most recent federal decennial census or a subsequent estimate prepared by the Demographic Research Unit of the Department of Finance.
(2)Qualified local agency includes, but is not limited to, the Cities of Citrus Heights, Elk Grove, Folsom, Rancho Cordova, and Sacramento.
6539.9.7.(a)(1)Notwithstanding any other law, the joint powers authority currently operating as the Sacramento Housing and Redevelopment Agency, created pursuant to a 1973 agreement between the City of Sacramento and the County of Sacramento, shall be restructured, expanded, amended, and renamed as the Sacramento Area Housing and Homelessness Agency as provided in this article.
(2)The Legislature finds and declares that the purpose of the restructuring of the agency described in paragraph (1) is to modernize and expand the agencys scope and governance to address regional housing and homelessness needs, while preserving the agencys legal status, contracts, funding eligibility, and programmatic history.
(b)The agency shall include as participating jurisdictions the County of Sacramento and each qualified local agency, and shall operate under a new joint powers agreement entered into pursuant to this chapter.
(c)The agency shall serve as the regional authority to do all of the following:
(1)Develop and preserve affordable housing.
(2)Coordinate and administer homelessness prevention and response services, including the Coordinated Entry System, as defined in subdivision (f) of Section 50490 of the Health and Safety Code.
(3)Serve as the United States Department of Housing and Urban Development designated Continuum of Care pursuant to Section 578 of Title 24 of the Code of Federal Regulations.(4)(3)Apply for, receive, and administer federal, state, and local funding for housing and homelessness.
(5)(4)Manage and implement a comprehensive strategic plan to address and reduce homelessness in the County of Sacramento.
(d)The updated joint powers agreement pursuant to subdivision (a) shall provide for all of the following:
(1)(A)A governing board composed of elected officials from each qualified local agency that is party to the agreement, with full delegated powers and duties transferred from the cities and county. The initial board under the amended joint powers agreement shall consist of 11 members appointed by the legislative bodies of the County of Sacramento and each qualified local agency, in accordance with the following:
(i)Three members shall be selected from, and appointed by, the City Council of the City of Sacramento.
(ii)Three members shall be selected from, and appointed by, the Board of Supervisors of the County of Sacramento.
(iii)Two members shall be selected from, and appointed by, the City Council of the City of Elk Grove.
(iv)One member each shall be selected from, and appointed by, the city councils of the Cities of Citrus Heights, Folsom, and Rancho Cordova.
(B)The board may increase the number of members if a qualified local agency enters into an agreement to join the joint powers agreement. That qualified local agency shall be entitled to make one appointment to the board.
(C)Each member on the governing board may select an alternate to serve on the board when the primary member or members are not available. Each alternate shall be appointed to serve for a specific member and shall be an official elected from the same body as the primary member. The alternate shall be subject to the same restrictions and shall have the same powers, when serving on the board, as the primary member. The legislative body of any voting entity appointing an alternate shall provide written notification to the secretary of the governing board of each appointment of an alternate in order for the appointment to be effective.
(D)A member of the governing board shall serve without compensation but may be reimbursed for actual expenses approved by the board.
(E)Each governing board member is entitled to one vote on each matter submitted for a vote.
(F)If a vacancy occurs on the governing board because of death, resignation, illness, or for other reason, the secretary of the governing board shall immediately provide written notice to the qualified local agency appointing the board member of the need to appoint a replacement, and the replacement shall be appointed within 60 days of the transmittal of the notice. The replacement shall be an official elected from the same body as the primary member.
(G)The governing board shall be established no later than January 1, 2028.
(2)(A)An executive director of the agency. The initial executive director of the agency under the amended joint powers agreement shall be the current executive director of the Sacramento Housing and Redevelopment Agency.
(B)The governing board shall establish a removal and replacement process for the executive director.
(3)Bylaws, to be established by the governing board, which shall include, at a minimum, all of the following:
(A)A regular meeting schedule for the governing board, in accordance with the following:
(i)The schedule, location, time, and agenda of all regular and special governing board meetings shall be publicly noticed.
(ii)All meetings shall be open to the public, unless the matter is a proper one for closed session. All meetings shall comply with the provisions of the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5).
(iii)The governing board shall meet no fewer than 10 times per year.
(B)(i)A code of ethics, the key expectations of which shall include all of the following:
(I)Act in the best interest of the agency.
(II)Do not use official positions for private gain.
(III)Abstain from decisions where personal or financial interests conflict with Agency interests.
(ii)Each member of the governing board and each employee shall uphold high standards of integrity, fairness, and transparency.
(iii)Each member of the governing board shall comply with the requirements of the Political Reform Act of 1974 (Title 9 (commencing with Section 81000)), and shall file statements of economic interests, as required by law.
(iv)The governing board shall establish process to address any ethics violations.
(C)A reimbursement process, including designating what qualifies as a reimbursable expense and establishing procedure for making payments.
(e)(1)The Sacramento Local Agency Formation Commission shall form and appoint members to an independent task force. Staff of existing entities shall not be appointed to the task force. Staff of the Sacramento Housing and Redevelopment Agency shall provide administrative support to the task force.(2)The duties of the independent task force shall be to consolidate all entities for purposes of establishing the agency.(3)The task force shall dissolve 60 days after the establishment of the governing board of the agency.(f)(e)The agency shall adopt a comprehensive strategic plan to address housing and homelessness no later than three years from the date the restructured agreement takes effect. The plan shall align with all relevant state and federal requirements. The agency shall submit the plan to the Legislature in compliance with Section 9795.
6539.9.9.(a)The agency shall retain its legal identity as the public housing authority and redevelopment successor entity formerly known as the Sacramento Housing and Redevelopment Agency and shall continue to administer all existing housing, homelessness, and redevelopment programs in compliance with applicable law. An entity shall not be created that negates the duties of the agency.
(b)(1)The agency shall assume or continue responsibility for the administration and oversight of programs for all participating entities in the joint powers agreement pursuant to this article, including, but not limited to, all of the following:
(1)(A)The Section 8 Housing Choice Voucher Program (42 U.S.C. Sec. 1437f; 24 C.F.R. 982).
(2)(B)The United States Department of Housing and Urban Development Veterans Affairs Supportive Housing (42 U.S.C. Sec. 1437f(o)(19)).
(3)(C)Public housing under Sections 1436d and 1437f of Title 42 of the United States Code.
(4)(A)(D)(i)The Community Development Block Grant Program (42 U.S.C. Sec. 5301 et seq.).
(B)(ii)The agency shall continue to administer Community Development Block Grant funds, as those funds were administered by the Sacramento Housing and Redevelopment Agency as of July 1, 2025.
(5)(A)(E)(i)The HOME Investment Partnerships Program (42 U.S.C. Sec. 12721 et seq.).
(B)(ii)The agency shall continue to administer the City of Sacramento and County of Sacramento HOME Investment Partnership Partnerships Program, as it was administered by the Sacramento Housing and Redevelopment Agency as of July 1, 2025.
(6)(F)The Emergency Solutions Grants (42 U.S.C. Sec. 11371 et seq.).
(7)(G)The Continuum of Care Program (42 U.S.C. Sec. 11381 et seq. and 24 C.F.R. 578).
(8)(H)The Housing Opportunities for Persons With AIDS Program (42 U.S.C. Sec. 12901 et seq.).
(9)(I)State homelessness programs, including the Homeless Housing, Assistance, and Prevention program (Chapter 6 (commencing with Section 50216) of Part 1 of Division 31 of the Health and Safety Code) and the Homekey program (Section 50675.1.1 of the Health and Safety Code).
(10)(J)Coordinated Entry System, a HUD-mandated Continuum of Care, as defined in subdivision (f) of Section 50490 of the Health and Safety Code.
(2)Qualified local agencies, except the City of Sacramento, shall maintain and retain responsibility for the administration and oversight of any new programs that may become available to local governments including, without limitation, collection, allocation, and disbursement of all funds.
(c)The agency shall comply with all applicable regulations and requirements, including, but not limited to, all of the following:
(1)Sections 574, 576, 578, 960, 965, 982, and 990 of Title 24 of the Code of Federal Regulations.
(2)With respect to public housing agency planning, Section 903 of Title 24 of the Code of Federal Regulations.
(3)Continuum of Care governance, data, and performance standards mandated by the United States Department of Housing and Urban Development.
(4)The Housing Authorities Law (Article 1 (commencing with Section 34200) of Chapter 1 of Part 2 of Division 24 of the Health and Safety Code).
(5)Requirements under applicable state programs, including, but not limited to, the Homeless Housing, Assistance, and Prevention program (Chapter 6 (commencing with Section 50216) of Part 1 of Division 31 of the Health and Safety Code) and the Homekey program (Section 50675.1.1 of the Health and Safety Code).
(6)All applicable civil rights laws, including the federal Fair Housing Act (42 U.S.C. Sec. 3601 et seq.), including the mandate to affirmatively further fair housing; the federal Americans with Disabilities Act of 1990 (42 U.S.C. Sec. 12101 et seq.); and Title VI of the federal Civil Rights Act of 1964 (42 U.S.C. Sec. 2000d et seq.).
(d)The agency shall maintain eligibility for all funding programs for which the Sacramento Housing and Redevelopment Agency or Sacramento Steps Forward previously qualified.
(e)(1)Pursuant to agreements with the Sacramento Housing and Redevelopment Agency as of July 1, 2025, the agency shall be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement pursuant to Section 6539.9.7. These funds shall include, but are not limited to, the affordable housing ordinance fee collected by the County of Sacramento (Section 22.35.010 et seq. of the Sacramento County Code) and the mixed income housing ordinance fee collected by the City of Sacramento (Section 17.712.010 et seq. of the Sacramento City Code).
(2)The funds and fees described in paragraph (1) shall only be spent within the jurisdiction from which they were originally collected and for the purposes for which they were originally collected.
(f)The agency shall be deemed a regional entity for the purposes of statewide housing and homelessness funding programs and shall be granted priority consideration for all applicable state housing and homelessness funding sources.
6539.9.11.(a)The agency shall be the successor employer to the Sacramento Housing and Redevelopment Agency for all labor relations purposes, including, but not limited to:
(1)Recognition of all employee organizations recognized as of the effective date of this act as the exclusive representative of the employees in an appropriate unit.
(2)Enforcement of existing collective bargaining agreements.
(3)Processing of pending grievances, arbitration proceedings, and unfair practice charges.
(4)Compliance with all labor relations obligations and commitments.
(b)The restructuring and renaming of the agency pursuant to this act shall not interrupt, impair, or diminish the representation rights of any employee organization or the collective bargaining rights of represented employees.
(c)All collective bargaining agreements in effect between employee organizations and the Sacramento Housing and Redevelopment Agency as of the effective date of this act shall remain in full force and effect until their scheduled expiration dates.
(d)The agency shall assume responsibility for and be bound by all pending grievances, arbitration proceedings, and other labor relations matters from the predecessor agencies.
(e)Nothing in the establishment of the agency is intended to circumvent existing jurisdictional labor agreements, including project labor agreements or community workforce training agreements.
6539.9.13.(a)There shall exist within the agency the Homelessness Division.
(b)The Homelessness Division shall be comprised of both of the following:
(1)Sacramento Steps Forward.
(2)Participating members and experts from the Sacramento Continuum of Care, including those with lived experience of homelessness.
6539.9.15.(a)The agency shall coordinate its operations with the housing and homelessness departments of each participating jurisdiction to ensure alignment of local priorities and effective delivery of services.
(b)The departments described in subdivision (a) include, but are not limited to, all of the following:
(1)The Department of Homeless Services and Housing of the County of Sacramento.
(2)The Department of Community Response of the City of Sacramento.
(3)The Housing Division of the City of Elk Grove.
(4)The Housing Division of the City of Rancho Cordova.
(5)The Housing and Grants Division of the City of Citrus Heights.
(6)The City of Folsom.
(c)The agency may also consult with additional local departments, advisory bodies, or nonprofit partners as needed to fulfill its mission.
6539.9.17.(a)The agency shall establish and maintain a standing advisory board to ensure compliance with federal and state requirements for public participation in housing authority and Continuum of Care governance.
(b)The advisory board shall be appointed by a majority vote of the governing board. The advisory board shall adopt bylaws for appointments, terms, and procedures.
(c)The advisory board shall include, but is not limited to, all of the following:
(1)At least one individual currently or formerly experiencing homelessness, pursuant to Section 578.3 of Title 24 of the Code of Federal Regulations, and at least one individual who is a current resident of public housing or low-income housing.
(2)Representatives from community-based organizations, service providers, and housing developers.
(3)Experts in behavioral health, public housing, and program implementation.
(d)The advisory board shall do all of the following:
(1)Meet at least quarterly in publicly noticed meetings.
(2)Provide recommendations on funding, programs, planning, and performance.
(3)Fulfill United States Department of Housing and Urban Development and state consultation requirements for funding and compliance.
(4)Assist in development of the agencys strategic plan and annual updates.
(5)Ensure all state and federal requirements of board participation are met.
(e)The advisory board shall not have voting authority over governing board decisions.
(f)The advisory board shall consist of seven members, appointed as provided in subdivisions (b) and (c).
6539.9.19.The agency shall not acquire property by eminent domain.
6539.9.19.6539.9.21.The provisions of this article are severable. If any provision of this article or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.
SEC. 3.Article 4 (commencing with Section 50246) is added to Chapter 6.5 of Part 1 of Division 31 of the Health and Safety Code, to read:4.Additional Rounds of the Homeless Housing, Assistance, and Prevention Program50246.Upon appropriation by the Legislature, for rounds of the Homeless Housing, Assistance, and Prevention program adopted after the effective date of the act that added this article, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:
(a)Former foster youth.
(b)Extremely low income households, very low income households, and lower income households.
SEC. 4.Section 50675.1.3 of the Health and Safety Code is amended to read:50675.1.3.(a)Notwithstanding any other law, including subdivision (b) of Section 50675.1, funds appropriated to provide housing for individuals and families who are experiencing homelessness or who are at risk of homelessness, as defined by this section, and who are inherently impacted by or at increased risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases, shall be disbursed in accordance with the Multifamily Housing Program, including as grants to cities, counties, cities and counties, and all other state, regional, and local public entities, including councils of government, metropolitan planning organizations, and regional transportation planning agencies designated in Section 29532.1 of the Government Code, as necessary, for the following uses:
(1)Acquisition or rehabilitation, or acquisition and rehabilitation, of motels, hotels, hostels, or other sites and assets, including apartments or homes, adult residential facilities, residential care facilities for the elderly, manufactured housing, commercial properties, and other buildings with existing uses that could be converted to permanent or interim housing.
(2)Master leasing of properties for noncongregant housing.
(3)Conversion of units from nonresidential to residential.
(4)New construction of dwelling units.
(5)The purchase of affordability covenants and restrictions for units.
(6)Relocation costs for individuals who are being displaced as a result of rehabilitation of existing units.
(7)Capitalized operating subsidies for units purchased, converted, or altered with funds provided by this section.
(b)Where possible, the funds described in subdivision (a) shall be allocated by the department in a manner that takes into consideration all of the following:
(1)Need geographically across the state.
(2)The demonstrated ability of the applicant to fund ongoing operating reserves.
(3)The creation of new permanent housing options.
(4)The potential for state, federal, or local funding for capitalized operating reserves to make additional housing units financially viable through this program.
(c)Not less than 8 percent of the funds described in subdivision (a) shall be available for projects serving homeless youth, or youth at risk of homelessness, as defined in Part 578.3 of Title 24 of the Code of Federal Regulations.
(d)Any conflict between the other requirements of the Multifamily Housing Program created by this chapter and this section shall be resolved in favor of this section, as may be set forth in the guidelines authorized by this section.
(e)The Department of Housing and Community Development may adopt guidelines for the expenditure of the funds appropriated to the department, and for the administration of this program. The guidelines shall not be subject to the requirements of Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code.
(f)Up to 5 percent of the funds received from the Coronavirus State Fiscal Recovery Fund established by the federal American Rescue Plan Act of 2021 (ARPA) (Public Law 117-2) and appropriated for purposes of this section may be expended for the costs to administer the program, to the extent authorized by federal law.
(g)Up to 5 percent of any General Fund moneys appropriated for purposes of this section may be expended for the costs to administer this program.
(h)The departments annual report to the Legislature submitted under Section 50408 shall include, but not be limited to, all of the following:
(1)The amount of funds expended for the uses described in this section.
(2)The location of any properties for which the funds are used.
(3)The number of usable housing units produced, or planned to be produced, using the funds.
(4)The number of individuals housed, or likely to be housed, using the funds.
(5)The number of units, and the location of those units, for which operating subsidies have been, or are planned to be, capitalized using the funds.
(6)An explanation of how funding decisions were made for acquisition, conversion, or rehabilitation projects, or for capitalized operating subsidies, including what metrics were considered in making those decisions.
(7)Any lessons learned from the use of the funds.
(8)Proposed changes to the program to address lessons learned.
(i)Any project that uses funds received for any of the purposes specified in subdivision (a) shall be deemed consistent and in conformity with any applicable local plan, standard, or requirement, and any applicable coastal plan, local or otherwise, and allowed as a permitted use, within the zone in which the structure is located, and shall not be subject to a conditional use permit, discretionary permit, or any other discretionary reviews or approvals.
(j)A report to be submitted pursuant to subdivision (h) shall be submitted in compliance with Section 9795 of the Government Code.
(k)Upon an appropriation by the Legislature for the purposes described in this section, the department shall administer funding according to the timeline set forth below, subject to any modifications set forth by the guidelines:
(1)The department may accept funding applications and issue awards on a continuous, over-the-counter basis until the funding has been exhausted or as otherwise required by law.
(2)Each award shall be expended on the uses authorized at subdivision (a), and in accordance with all relevant representations and descriptions in the application, within eight months of the date of the award. Applicants may ask the department for an extension of this timeframe on the grounds and according to the procedures set forth in the guidelines. The director shall have reasonable discretion to approve or deny such an extension upon conducting a full and good faith review of the applicants extension request.
(l)For purposes of this section, individuals and families who are homeless or who are at risk of homelessness means persons and families that meet the qualifying definitions under Part 578.3 of Title 24 of the Code of Federal Regulations.
(m)To advance the objectives specified in Section 50675.1.1 or this section, the department may expand the population served beyond the population specified in subdivision (l) as specified by the guidelines authorized by this section.
(n)Upon appropriation by the Legislature for the purposes of this section after the effective date of the act that added this subdivision, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:
(1)Former foster youth.
(2)Extremely low income households, very low income households, and lower income households.
SEC. 5.Section 50675.17 is added to the Health and Safety Code, to read:50675.17.Upon appropriation by the Legislature for the purposes of this chapter after the effective date of the act that added this section, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:
(a)Former foster youth.
(b)Extremely low income households, very low income households, and lower income households.
SEC. 6.The Legislature finds and declares, with respect to Section 2 of this act, that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique and urgent housing and homelessness conditions in the County of Sacramento and its major cities.
SEC. 7.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
The Legislature finds and declares all of the following:
(a)Nearly all homeless shelters are developed as co-ed.
(b)Co-ed homeless shelters are over 90 percent male, which can result in an environment that feels unsafe for women, especially those who have been victims of trafficking, violence, abuse, or trauma.
(c)There is a need for safe, stable, affordable housing for individuals experiencing trauma, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking, a population of which is overwhelmingly women.
SEC. 2.Article 1.5 (commencing with Section 6539.9.5) is added to Chapter 5 of Division 7 of Title 1 of the Government Code, to read:1.5.Sacramento Area Housing and Homelessness Agency6539.9.5.For purposes of this article:
(a)Agency means the Sacramento Area Housing and Homelessness Agency.
(b)Governing board means the governing board of the agency.
(c)(1)Qualified local agency means any city within the County of Sacramento that has a population of at least 50,000, based on the most recent federal decennial census or a subsequent estimate prepared by the Demographic Research Unit of the Department of Finance.
(2)Qualified local agency includes, but is not limited to, the Cities of Citrus Heights, Elk Grove, Folsom, Rancho Cordova, and Sacramento.
6539.9.6.6539.9.7.(a)(1)Notwithstanding any other law, the joint powers authority currently operating as the Sacramento Housing and Redevelopment Agency, created pursuant to a 1973 agreement between the City of Sacramento and the County of Sacramento, shall be restructured, expanded, amended, and renamed as the Sacramento Area Housing and Homelessness Agency as provided in this article.
(2)The Legislature finds and declares that the purpose of the restructuring of the agency described in paragraph (1) is to modernize and expand the agencys scope and governance to address regional housing and homelessness needs, while preserving the agencys legal status, contracts, funding eligibility, and programmatic history.
(b)The agency shall include as members participating jurisdictions the County of Sacramento and each qualified local agency, and shall operate under a new joint powers agreement entered into pursuant to this chapter.
(c)The agency shall serve as the regional authority to do all of the following:
(1)Develop and preserve affordable housing.
(2)Coordinate and administer homelessness prevention and response services, including the Coordinated Entry System, as defined in subdivision (f) of Section 50490 of the Health and Safety Code.
(3)Serve as the United States Department of Housing and Urban Development designated Continuum of Care pursuant to Section 578 of Title 24 of the Code of Federal Regulations.
(4)Apply for, receive, and administer federal, state, and local funding for housing and homelessness.
(5)Manage and implement a comprehensive strategic plan to address and reduce homelessness in the County of Sacramento.
(d)The updated joint powers agreement pursuant to subdivision (a) shall provide for all of the following:
(1)(A)A governing board composed of at least one elected official elected officials from each qualified local agency that is party to the agreement, with full delegated powers and duties transferred from the cities and county. The initial board under the amended joint powers agreement shall consist of 11 members appointed by the legislative bodies of the County of Sacramento and each qualified local agency, in accordance with the following:
(i)Three members shall be selected from, and appointed by, the City Council of the City of Sacramento.
(ii)Three members shall be selected from, and appointed by, the Board of Supervisors of the County of Sacramento.
(iii)Two members shall be selected from, and appointed by, the City Council of the City of Elk Grove.
(iv)One member each shall be selected from, and appointed by, the city councils of the Cities of Citrus Heights, Folsom, and Rancho Cordova.
(B)The board may increase the number of members if a qualified local agency enters into an agreement to join the joint powers agreement. That qualified local agency shall be entitled to make one appointment to the board.
(C)Each member on the governing board may select an alternate from the County of Sacramento, in the case of a member appointed pursuant to clause (ii) of subparagraph (A), or from that members same qualified local agency, in the case of any other member, to serve on the board when the primary member or members are not available. Each alternate shall be appointed to serve for a specific member. member and shall be an official elected from the same body as the primary member. The alternate shall be subject to the same restrictions and shall have the same powers, when serving on the board, as the primary member. The legislative body of any voting entity appointing an alternate shall provide written notification to the secretary of the governing board of each appointment of an alternate in order for the appointment to be effective.
(D)A member of the governing board shall serve without compensation but may be reimbursed for actual expenses approved by the board.
(E)Each governing board member is entitled to one vote on each matter submitted for a vote.
(F)If a vacancy occurs on the governing board because of death, resignation, illness, or for other reason, the secretary of the governing board shall immediately provide written notice to the County of Sacramento, in the case of a member appointed pursuant to clause (ii) of subparagraph (A), or the qualified local agency appointing the board member, in the case of any other member, member of the need to appoint a replacement, and the replacement shall be appointed within 60 days of the transmittal of the notice. The replacement shall be an official elected from the same body as the primary member.
(G)The governing board shall be established no later than January 1, 2028.
(2)(A)An executive director of the agency. The initial executive director of the agency under the amended joint powers agreement shall be the current executive director of the Sacramento Housing and Redevelopment Agency.
(B)The governing board shall establish a removal and replacement process for the executive director.
(3)Bylaws, to be established by the governing board, which shall include, at a minimum, all of the following:
(A)A regular meeting schedule for the governing board, in accordance with the following:
(i)The schedule, location, time, and agenda of all regular and special governing board meetings shall be publicly noticed.
(ii)All meetings shall be open to the public, unless the matter is a proper one for closed session. All meetings shall comply with the provisions of the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5).
(iii)The governing board shall meet no fewer than 10 times per year.
(B)(i)A code of ethics, the key expectations of which shall include all of the following:
(I)Act in the best interest of the agency.
(II)Do not use official positions for private gain.
(III)Abstain from decisions where personal or financial interests conflict with Agency interests.
(ii)Each member of the governing board and each employee shall uphold high standards of integrity, fairness, and transparency.
(iii)Each member of the governing board shall comply with the requirements of the Political Reform Act of 1974 (Title 9 (commencing with Section 81000)), and shall file statements of economic interests, as required by law.
(iv)The governing board shall establish process to address any ethics violations.
(C)A reimbursement process, including designating what qualifies as a reimbursable expense and establishing procedure for making payments.
(e)(1)The Sacramento Local Agency Formation Commission shall form and appoint members to an independent task force. Staff of existing entities shall not be appointed to the task force. Staff of the Sacramento Housing and Redevelopment Agency shall provide administrative support to the task force.
(2)The duties of the independent task force shall be to consolidate all entities for purposes of establishing the agency.
(3)The task force shall dissolve 60 days after the establishment of the governing board of the agency.
(f)The agency shall adopt a comprehensive strategic plan to address housing and homelessness no later than three years from the date the restructured agreement takes effect. The plan shall align with all relevant state and federal requirements. The agency shall submit the plan to the Legislature in compliance with Section 9795.
6539.9.7.6539.9.9.(a)The agency shall retain its legal identity as the public housing authority and redevelopment successor entity formerly known as the Sacramento Housing and Redevelopment Agency and shall continue to administer all existing housing, homelessness, and redevelopment programs in compliance with applicable law. An entity shall not be created that negates the duties of the agency.
(b)The agency shall assume or continue responsibility for the administration and oversight of programs for all participating entities in the joint powers agreement pursuant to this article, including, but not limited to, all of the following:
(1)The Section 8 Housing Choice Voucher Program (42 U.S.C. Sec. 1437f; 24 C.F.R. 982).
(2)The United States Department of Housing and Urban Development Veterans Affairs Supportive Housing (42 U.S.C. Sec. 1437f(o)(19)).
(3)Public housing under Sections 1436d and 1437f of Title 42 of the United States Code.
(4)(A)The Community Development Block Grant Program (42 U.S.C. Sec. 5301 et seq.).
(B)The agency shall continue to administer Community Development Block Grant funds, as those funds were administered by the Sacramento Housing and Redevelopment Agency as of July 1, 2025.
(5)(A)The HOME Investment Partnerships Program (42 U.S.C. Sec. 12721 et seq.).
(B)The agency shall continue to administer the City of Sacramento and County of Sacramento HOME Investment Partnership Program, as it was administered by the Sacramento Housing and Redevelopment Agency as of July 1, 2025.
(6)The Emergency Solutions Grants (42 U.S.C. Sec. 11371 et seq.).
(7)The Continuum of Care Program (42 U.S.C. Sec. 11381 et seq. and 24 C.F.R. 578).
(8)The Housing Opportunities for Persons With AIDS Program (42 U.S.C. Sec. 12901 et seq.).
(9)State homelessness programs, including the Homeless Housing, Assistance, and Prevention program (Chapter 6 (commencing with Section 50216) of Part 1 of Division 31 of the Health and Safety Code) and the Homekey program (Section 50675.1.1 of the Health and Safety Code).
(10)Coordinated Entry System, a HUD-mandated Continuum of Care, as defined in subdivision (f) of Section 50490 of the Health and Safety Code.
(c)The agency shall comply with all applicable regulations and requirements, including, but not limited to, all of the following:
(1)Sections 574, 576, 578, 960, 965, 982, and 990 of Title 24 of the Code of Federal Regulations.
(2)With respect to public housing agency planning, Section 903 of Title 24 of the Code of Federal Regulations.
(3)Continuum of Care governance, data, and performance standards mandated by the United States Department of Housing and Urban Development.
(4)The Housing Authorities Law (Article 1 (commencing with Section 34200) of Chapter 1 of Part 2 of Division 24 of the Health and Safety Code).
(5)Requirements under applicable state programs, including, but not limited to, the Homeless Housing, Assistance, and Prevention program (Chapter 6 (commencing with Section 50216) of Part 1 of Division 31 of the Health and Safety Code) and the Homekey program (Section 50675.1.1 of the Health and Safety Code).
(6)All applicable civil rights laws, including the federal Fair Housing Act (42 U.S.C. Sec. 3601 et seq.), including the mandate to affirmatively further fair housing; the federal Americans with Disabilities Act of 1990 (42 U.S.C. Sec. 12101 et seq.); and Title VI of the federal Civil Rights Act of 1964 (42 U.S.C. Sec. 2000d et seq.).
(d)The agency shall maintain eligibility for all funding programs for which the Sacramento Housing and Redevelopment Agency or Sacramento Steps Forward previously qualified.
(e)The (1)Pursuant to agreements with the Sacramento Housing and Redevelopment Agency as of July 1, 2025, the agency shall be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement pursuant to Section 6539.9.6. 6539.9.7. These funds shall include, but are not limited to, the affordable housing ordinance fee collected by the County of Sacramento (Section 22.35.010 et seq. of the Sacramento County Code) and the mixed income housing ordinance fee collected by the City of Sacramento (Section 17.712.010 et seq. of the Sacramento City Code).
(2)The funds and fees described in paragraph (1) shall only be spent within the jurisdiction from which they were originally collected and for the purposes for which they were originally collected.
(f)Notwithstanding any other law, the regional housing needs allocations pursuant to Section 65584 for all participating entities within the joint powers agreement pursuant to Section 6539.9.6 shall be consolidated into a single regional goal to be administered by the agency. The total regional housing needs assessment allocation for the joint powers agreement shall be reduced by 20 percent from the aggregate of the allocations that would otherwise apply to the participating entities individually.(g)(f)The agency shall be deemed a regional entity for the purposes of statewide housing and homelessness funding programs and shall be granted priority consideration for all applicable state housing and homelessness funding sources.
(h)All housing tax increment revenues derived from former redevelopment areas and allocated to participating cities or to the County of Sacramento shall be transferred to the agency. These revenues shall be used exclusively for the development, preservation, and administration of affordable housing projects. The agency may issue bonds secured by these revenues to finance current and future housing initiatives.6539.9.11.(a)The agency shall be the successor employer to the Sacramento Housing and Redevelopment Agency for all labor relations purposes, including, but not limited to:
(1)Recognition of all employee organizations recognized as of the effective date of this act as the exclusive representative of the employees in an appropriate unit.
(2)Enforcement of existing collective bargaining agreements.
(3)Processing of pending grievances, arbitration proceedings, and unfair practice charges.
(4)Compliance with all labor relations obligations and commitments.
(b)The restructuring and renaming of the agency pursuant to this act shall not interrupt, impair, or diminish the representation rights of any employee organization or the collective bargaining rights of represented employees.
(c)All collective bargaining agreements in effect between employee organizations and the Sacramento Housing and Redevelopment Agency as of the effective date of this act shall remain in full force and effect until their scheduled expiration dates.
(d)The agency shall assume responsibility for and be bound by all pending grievances, arbitration proceedings, and other labor relations matters from the predecessor agencies.
(e)Nothing in the establishment of the agency is intended to circumvent existing jurisdictional labor agreements, including project labor agreements or community workforce training agreements.
6539.9.13.(a)There shall exist within the agency the Homelessness Division.
(b)The Homelessness Division shall be comprised of both of the following:
(1)Sacramento Steps Forward.
(2)Participating members and experts from the Sacramento Continuum of Care, including those with lived experience of homelessness.
6539.9.8.6539.9.15.(a)The agency shall coordinate its operations with the housing and homelessness departments of each participating jurisdiction to ensure alignment of local priorities and effective delivery of services.
(b)The departments described in subdivision (a) include, but are not limited to, all of the following:
(1)The Department of Homeless Services and Housing of the County of Sacramento.
(2)The Department of Community Response of the City of Sacramento.
(3)The Housing Division of the City of Elk Grove.
(4)The Housing Division of the City of Rancho Cordova.
(5)The Housing and Grants Division of the City of Citrus Heights.
(6)The City of Folsom.
(c)The agency may also consult with additional local departments, advisory bodies, or nonprofit partners as needed to fulfill its mission.
6539.9.9.6539.9.17.(a)The agency shall establish and maintain a standing advisory board to ensure compliance with federal and state requirements for public participation in housing authority and Continuum of Care governance.
(b)The advisory board shall be appointed by a majority vote of the governing board. The advisory board shall adopt bylaws for appointments, terms, and procedures.
(c)The advisory board shall include, but is not limited to, all of the following:
(1)At least one individual currently or formerly experiencing homelessness, pursuant to Section 578.3 of Title 24 of the Code of Federal Regulations, and at least one individual who is a current resident of public housing or low-income housing.
(2)Representatives from community-based organizations, service providers, and housing developers.
(3)Experts in behavioral health, public housing, and program implementation.
(d)The advisory board shall do all of the following:
(1)Meet at least quarterly in publicly noticed meetings.
(2)Provide recommendations on funding, programs, planning, and performance.
(3)Fulfill United States Department of Housing and Urban Development and state consultation requirements for funding and compliance.
(4)Assist in development of the agencys strategic plan and annual updates.
(5)Ensure all state and federal requirements of board participation are met.
(e)The advisory board shall not have voting authority over governing board decisions.
(f)The advisory board shall consist of seven members, appointed as provided in subdivisions (b) and (c).
6539.9.19.The provisions of this article are severable. If any provision of this article or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.
SEC. 3.Article 3 (commencing with Section 50245) is added to Chapter 6.5 of Part 1 of Division 31 of the Health and Safety Code, to read:3.Additional Rounds of the Homeless Housing, Assistance, and Prevention Program50245.SEC. 3.Article 4 (commencing with Section 50246) is added to Chapter 6.5 of Part 1 of Division 31 of the Health and Safety Code, to read:4.Additional Rounds of the Homeless Housing, Assistance, and Prevention Program50246.Upon appropriation by the Legislature, for rounds of the Homeless Housing, Assistance, and Prevention program adopted after the effective date of the act that added this article, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:
(a)Former foster youth.
(b)Extremely low income households, very low income households, and lower income households.
SEC. 4.Section 50675.1.3 of the Health and Safety Code is amended to read:50675.1.3.(a)Notwithstanding any other law, including subdivision (b) of Section 50675.1, funds appropriated to provide housing for individuals and families who are experiencing homelessness or who are at risk of homelessness, as defined by this section, and who are inherently impacted by or at increased risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases, shall be disbursed in accordance with the Multifamily Housing Program, including as grants to cities, counties, cities and counties, and all other state, regional, and local public entities, including councils of government, metropolitan planning organizations, and regional transportation planning agencies designated in Section 29532.1 of the Government Code, as necessary, for the following uses:
(1)Acquisition or rehabilitation, or acquisition and rehabilitation, of motels, hotels, hostels, or other sites and assets, including apartments or homes, adult residential facilities, residential care facilities for the elderly, manufactured housing, commercial properties, and other buildings with existing uses that could be converted to permanent or interim housing.
(2)Master leasing of properties for noncongregant housing.
(3)Conversion of units from nonresidential to residential.
(4)New construction of dwelling units.
(5)The purchase of affordability covenants and restrictions for units.
(6)Relocation costs for individuals who are being displaced as a result of rehabilitation of existing units.
(7)Capitalized operating subsidies for units purchased, converted, or altered with funds provided by this section.
(b)Where possible, the funds described in subdivision (a) shall be allocated by the department in a manner that takes into consideration all of the following:
(1)Need geographically across the state.
(2)The demonstrated ability of the applicant to fund ongoing operating reserves.
(3)The creation of new permanent housing options.
(4)The potential for state, federal, or local funding for capitalized operating reserves to make additional housing units financially viable through this program.
(c)Not less than 8 percent of the funds described in subdivision (a) shall be available for projects serving homeless youth, or youth at risk of homelessness, as defined in Part 578.3 of Title 24 of the Code of Federal Regulations.
(d)Any conflict between the other requirements of the Multifamily Housing Program created by this chapter and this section shall be resolved in favor of this section, as may be set forth in the guidelines authorized by this section.
(e)The Department of Housing and Community Development may adopt guidelines for the expenditure of the funds appropriated to the department, and for the administration of this program. The guidelines shall not be subject to the requirements of Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code.
(f)Up to 5 percent of the funds received from the Coronavirus State Fiscal Recovery Fund established by the federal American Rescue Plan Act of 2021 (ARPA) (Public Law 117-2) and appropriated for purposes of this section may be expended for the costs to administer the program, to the extent authorized by federal law.
(g)Up to 5 percent of any General Fund moneys appropriated for purposes of this section may be expended for the costs to administer this program.
(h)The departments annual report to the Legislature submitted under Section 50408 shall include, but not be limited to, all of the following:
(1)The amount of funds expended for the uses described in this section.
(2)The location of any properties for which the funds are used.
(3)The number of usable housing units produced, or planned to be produced, using the funds.
(4)The number of individuals housed, or likely to be housed, using the funds.
(5)The number of units, and the location of those units, for which operating subsidies have been, or are planned to be, capitalized using the funds.
(6)An explanation of how funding decisions were made for acquisition, conversion, or rehabilitation projects, or for capitalized operating subsidies, including what metrics were considered in making those decisions.
(7)Any lessons learned from the use of the funds.
(8)Proposed changes to the program to address lessons learned.
(i)Any project that uses funds received for any of the purposes specified in subdivision (a) shall be deemed consistent and in conformity with any applicable local plan, standard, or requirement, and any applicable coastal plan, local or otherwise, and allowed as a permitted use, within the zone in which the structure is located, and shall not be subject to a conditional use permit, discretionary permit, or any other discretionary reviews or approvals.
(j)A report to be submitted pursuant to subdivision (h) shall be submitted in compliance with Section 9795 of the Government Code.
(k)Upon an appropriation by the Legislature for the purposes described in this section, the department shall administer funding according to the timeline set forth below, subject to any modifications set forth by the guidelines:
(1)The department may accept funding applications and issue awards on a continuous, over-the-counter basis until the funding has been exhausted or as otherwise required by law.
(2)Each award shall be expended on the uses authorized at subdivision (a), and in accordance with all relevant representations and descriptions in the application, within eight months of the date of the award. Applicants may ask the department for an extension of this timeframe on the grounds and according to the procedures set forth in the guidelines. The director shall have reasonable discretion to approve or deny such an extension upon conducting a full and good faith review of the applicants extension request.
(l)For purposes of this section, individuals and families who are homeless or who are at risk of homelessness means persons and families that meet the qualifying definitions under Part 578.3 of Title 24 of the Code of Federal Regulations.
(m)To advance the objectives specified in Section 50675.1.1 or this section, the department may expand the population served beyond the population specified in subdivision (l) as specified by the guidelines authorized by this section.
(n)Upon appropriation by the Legislature for the purposes of this section after the effective date of the act that added this subdivision, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:
(1)Former foster youth.
(2)Extremely low income households, very low income households, and lower income households.
SEC. 5.Section 50675.17 is added to the Health and Safety Code, to read:50675.17.Upon appropriation by the Legislature for the purposes of this chapter after the effective date of the act that added this section, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:
(a)Former foster youth.
(b)Extremely low income households, very low income households, and lower income households.
SEC. 6.The Legislature finds and declares, with respect to Section 2 of this act, that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique and urgent housing and homelessness conditions in the County of Sacramento and its major cities.
SEC. 7.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
The Legislature finds and declares all of the following:
(a)Nearly all homeless shelters are developed as co-ed.
(b)Co-ed homeless shelters are over 90 percent male, which can result in an environment that feels unsafe for women, especially those who have been victims of trafficking, violence, abuse, or trauma.
(c)There is a need for safe, stable, affordable housing for individuals experiencing trauma, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking, a population of which is overwhelmingly women.
SEC. 2.It is the intent of the Legislature to enact legislation to ensure a portion of all state funding distributed by the Department of Housing and Community Development is allocated for the construction, development, acquisition, or rehabilitation of housing for extremely low income households, very low income households, or lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking.SEC. 2.Article 1.5 (commencing with Section 6539.9.5) is added to Chapter 5 of Division 7 of Title 1 of the Government Code, to read:1.5.Sacramento Area Housing and Homelessness Agency6539.9.5.For purposes of this article:
(a)Agency means the Sacramento Area Housing and Homelessness Agency.
(b)Governing board means the governing board of the agency.
(c)(1)Qualified local agency means any city within the County of Sacramento that has a population of at least 50,000, based on the most recent federal decennial census or a subsequent estimate prepared by the Demographic Research Unit of the Department of Finance.
(2)Qualified local agency includes, but is not limited to, the Cities of Citrus Heights, Elk Grove, Folsom, Rancho Cordova, and Sacramento.
6539.9.6.(a)(1)Notwithstanding any other law, the joint powers authority currently operating as the Sacramento Housing and Redevelopment Agency, created pursuant to a 1973 agreement between the City of Sacramento and the County of Sacramento, shall be restructured, expanded, amended, and renamed as the Sacramento Area Housing and Homelessness Agency as provided in this article.
(2)The Legislature finds and declares that the purpose of the restructuring of the agency described in paragraph (1) is to modernize and expand the agencys scope and governance to address regional housing and homelessness needs, while preserving the agencys legal status, contracts, funding eligibility, and programmatic history.
(b)The agency shall include as members the County of Sacramento and each qualified local agency, and shall operate under a new joint powers agreement entered into pursuant to this chapter.
(c)The agency shall serve as the regional authority to do all of the following:
(1)Develop and preserve affordable housing.
(2)Coordinate and administer homelessness prevention and response services, including the Coordinated Entry System, as defined in subdivision (f) of Section 50490 of the Health and Safety Code.
(3)Serve as the United States Department of Housing and Urban Development designated Continuum of Care pursuant to Section 578 of Title 24 of the Code of Federal Regulations.
(4)Apply for, receive, and administer federal, state, and local funding for housing and homelessness.
(5)Manage and implement a comprehensive strategic plan to address and reduce homelessness in the County of Sacramento.
(d)The updated joint powers agreement pursuant to subdivision (a) shall provide for all of the following:
(1)(A)A governing board composed of at least one elected official from each qualified local agency that is party to the agreement, with full delegated powers and duties transferred from the cities and county. The initial board under the amended joint powers agreement shall consist of 11 members appointed by the legislative bodies of the County of Sacramento and each qualified local agency, in accordance with the following:
(i)Three members shall be selected from, and appointed by, the City Council of the City of Sacramento.
(ii)Three members shall be selected from, and appointed by, the Board of Supervisors of the County of Sacramento.
(iii)Two members shall be selected from, and appointed by, the City Council of the City of Elk Grove.
(iv)One member each shall be selected from, and appointed by, the city councils of the Cities of Citrus Heights, Folsom, and Rancho Cordova.
(B)The board may increase the number of members if a qualified local agency enters into an agreement to join the joint powers agreement. That qualified local agency shall be entitled to make one appointment to the board.
(C)Each member on the governing board may select an alternate from the County of Sacramento, in the case of a member appointed pursuant to clause (ii) of subparagraph (A), or from that members same qualified local agency, in the case of any other member, to serve on the board when the primary member or members are not available. Each alternate shall be appointed to serve for a specific member. The alternate shall be subject to the same restrictions and shall have the same powers, when serving on the board, as the primary member. The legislative body of any voting entity appointing an alternate shall provide written notification to the secretary of the governing board of each appointment of an alternate in order for the appointment to be effective.
(D)A member of the governing board shall serve without compensation but may be reimbursed for actual expenses approved by the board.
(E)Each governing board member is entitled to one vote on each matter submitted for a vote.
(F)If a vacancy occurs on the governing board because of death, resignation, illness, or for other reason, the secretary of the governing board shall immediately provide written notice to the County of Sacramento, in the case of a member appointed pursuant to clause (ii) of subparagraph (A), or the qualified local agency appointing the board member, in the case of any other member, of the need to appoint a replacement, and the replacement shall be appointed within 60 days of the transmittal of the notice.
(2)(A)An executive director of the agency. The initial executive director of the agency under the amended joint powers agreement shall be the current executive director of the Sacramento Housing and Redevelopment Agency.
(B)The governing board shall establish a removal and replacement process for the executive director.
(3)Bylaws, to be established by the governing board, which shall include, at a minimum, all of the following:
(A)A regular meeting schedule for the governing board, in accordance with the following:
(i)The schedule, location, time, and agenda of all regular and special governing board meetings shall be publicly noticed.
(ii)All meetings shall be open to the public, unless the matter is a proper one for closed session. All meetings shall comply with the provisions of the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5).
(B)(i)A code of ethics, the key expectations of which shall include all of the following:
(I)Act in the best interest of the agency.
(II)Do not use official positions for private gain.
(III)Abstain from decisions where personal or financial interests conflict with Agency interests.
(ii)Each member of the governing board and each employee shall uphold high standards of integrity, fairness, and transparency.
(iii)Each member of the governing board shall comply with the requirements of the Political Reform Act of 1974 (Title 9 (commencing with Section 81000)), and shall file statements of economic interests, as required by law.
(iv)The governing board shall establish process to address any ethics violations.
(C)A reimbursement process, including designating what qualifies as a reimbursable expense and establishing procedure for making payments.
(e)(1)The Sacramento Local Agency Formation Commission shall form and appoint members to an independent task force. Staff of existing entities shall not be appointed to the task force. Staff of the Sacramento Housing and Redevelopment Agency shall provide administrative support to the task force.
(2)The duties of the independent task force shall be to consolidate all entities for purposes of establishing the agency.
(3)The task force shall dissolve 60 days after the establishment of the governing board of the agency.
(f)The agency shall adopt a comprehensive strategic plan to address housing and homelessness no later than three years from the date the restructured agreement takes effect. The plan shall align with all relevant state and federal requirements. The agency shall submit the plan to the Legislature in compliance with Section 9795.
6539.9.7.(a)The agency shall retain its legal identity as the public housing authority and redevelopment successor entity formerly known as the Sacramento Housing and Redevelopment Agency and shall continue to administer all existing housing, homelessness, and redevelopment programs in compliance with applicable law. An entity shall not be created that negates the duties of the agency.
(b)The agency shall assume or continue responsibility for the administration and oversight of programs for all participating entities in the joint powers agreement pursuant to this article, including, but not limited to, all of the following:
(1)The Section 8 Housing Choice Voucher Program (42 U.S.C. Sec. 1437f; 24 C.F.R. 982).
(2)The United States Department of Housing and Urban Development Veterans Affairs Supportive Housing (42 U.S.C. Sec. 1437f(o)(19)).
(3)Public housing under Sections 1436d and 1437f of Title 42 of the United States Code.
(4)The Community Development Block Grant Program (42 U.S.C. Sec. 5301 et seq.).
(5)The HOME Investment Partnerships Program (42 U.S.C. Sec. 12721 et seq.).
(6)The Emergency Solutions Grants (42 U.S.C. Sec. 11371 et seq.).
(7)The Continuum of Care Program (42 U.S.C. Sec. 11381 et seq. and 24 C.F.R. 578).
(8)The Housing Opportunities for Persons With AIDS Program (42 U.S.C. Sec. 12901 et seq.).
(9)State homelessness programs, including the Homeless Housing, Assistance, and Prevention program (Chapter 6 (commencing with Section 50216) of Part 1 of Division 31 of the Health and Safety Code) and the Homekey program (Section 50675.1.1 of the Health and Safety Code).
(10)Coordinated Entry System, a HUD-mandated Continuum of Care, as defined in subdivision (f) of Section 50490 of the Health and Safety Code.
(c)The agency shall comply with all applicable regulations and requirements, including, but not limited to, all of the following:
(1)Sections 574, 576, 578, 960, 965, 982, and 990 of Title 24 of the Code of Federal Regulations.
(2)With respect to public housing agency planning, Section 903 of Title 24 of the Code of Federal Regulations.
(3)Continuum of Care governance, data, and performance standards mandated by the United States Department of Housing and Urban Development.
(4)The Housing Authorities Law (Article 1 (commencing with Section 34200) of Chapter 1 of Part 2 of Division 24 of the Health and Safety Code).
(5)Requirements under applicable state programs, including, but not limited to, the Homeless Housing, Assistance, and Prevention program (Chapter 6 (commencing with Section 50216) of Part 1 of Division 31 of the Health and Safety Code) and the Homekey program (Section 50675.1.1 of the Health and Safety Code).
(6)All applicable civil rights laws, including the federal Fair Housing Act (42 U.S.C. Sec. 3601 et seq.), including the mandate to affirmatively further fair housing; the federal Americans with Disabilities Act of 1990 (42 U.S.C. Sec. 12101 et seq.); and Title VI of the federal Civil Rights Act of 1964 (42 U.S.C. Sec. 2000d et seq.).
(d)The agency shall maintain eligibility for all funding programs for which the Sacramento Housing and Redevelopment Agency or Sacramento Steps Forward previously qualified.
(e)The agency shall be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement pursuant to Section 6539.9.6. These funds shall include, but are not limited to, the affordable housing ordinance fee collected by the County of Sacramento (Section 22.35.010 et seq. of the Sacramento County Code) and the mixed income housing ordinance fee collected by the City of Sacramento (Section 17.712.010 et seq. of the Sacramento City Code).
(f)Notwithstanding any other law, the regional housing needs allocations pursuant to Section 65584 for all participating entities within the joint powers agreement pursuant to Section 6539.9.6 shall be consolidated into a single regional goal to be administered by the agency. The total regional housing needs assessment allocation for the joint powers agreement shall be reduced by 20 percent from the aggregate of the allocations that would otherwise apply to the participating entities individually.
(g)The agency shall be deemed a regional entity for the purposes of statewide housing and homelessness funding programs and shall be granted priority consideration for all applicable state housing and homelessness funding sources.
(h)All housing tax increment revenues derived from former redevelopment areas and allocated to participating cities or to the County of Sacramento shall be transferred to the agency. These revenues shall be used exclusively for the development, preservation, and administration of affordable housing projects. The agency may issue bonds secured by these revenues to finance current and future housing initiatives.
6539.9.8.(a)The agency shall coordinate its operations with the housing and homelessness departments of each participating jurisdiction to ensure alignment of local priorities and effective delivery of services.
(b)The departments described in subdivision (a) include, but are not limited to, all of the following:
(1)The Department of Homeless Services and Housing of the County of Sacramento.
(2)The Department of Community Response of the City of Sacramento.
(3)The Housing Division of the City of Elk Grove.
(4)The Housing Division of the City of Rancho Cordova.
(5)The Housing and Grants Division of the City of Citrus Heights.
(c)The agency may also consult with additional local departments, advisory bodies, or nonprofit partners as needed to fulfill its mission.
6539.9.9.(a)The agency shall establish and maintain a standing advisory board to ensure compliance with federal and state requirements for public participation in housing authority and Continuum of Care governance.
(b)The advisory board shall be appointed by a majority vote of the governing board. The advisory board shall adopt bylaws for appointments, terms, and procedures.
(c)The advisory board shall include, but is not limited to, all of the following:
(1)At least one individual currently or formerly experiencing homelessness, pursuant to Section 578.3 of Title 24 of the Code of Federal Regulations, and at least one individual who is a current resident of public housing or low-income housing.
(2)Representatives from community-based organizations, service providers, and housing developers.
(3)Experts in behavioral health, public housing, and program implementation.
(d)The advisory board shall do all of the following:
(1)Meet at least quarterly in publicly noticed meetings.
(2)Provide recommendations on funding, programs, planning, and performance.
(3)Fulfill United States Department of Housing and Urban Development and state consultation requirements for funding and compliance.
(4)Assist in development of the agencys strategic plan and annual updates.
(e)The advisory board shall not have voting authority over governing board decisions.
(f)The advisory board shall consist of seven members, appointed as provided in subdivisions (b) and (c).
SEC. 3.Article 3 (commencing with Section 50245) is added to Chapter 6.5 of Part 1 of Division 31 of the Health and Safety Code, to read:3.Additional Rounds of the Homeless Housing, Assistance, and Prevention program Program50245.Upon appropriation by the Legislature, for rounds of the Homeless Housing, Assistance, and Prevention program adopted after the effective date of the act that added this article, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:
(a)Former foster youth.
(b)Extremely low income households, very low income households, and lower income households.
SEC. 4.Section 50675.1.3 of the Health and Safety Code is amended to read:50675.1.3.(a)Notwithstanding any other law, including subdivision (b) of Section 50675.1, funds appropriated to provide housing for individuals and families who are experiencing homelessness or who are at risk of homelessness, as defined by this section, and who are inherently impacted by or at increased risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases, shall be disbursed in accordance with the Multifamily Housing Program, including as grants to cities, counties, cities and counties, and all other state, regional, and local public entities, including councils of government, metropolitan planning organizations, and regional transportation planning agencies designated in Section 29532.1 of the Government Code, as necessary, for the following uses:
(1)Acquisition or rehabilitation, or acquisition and rehabilitation, of motels, hotels, hostels, or other sites and assets, including apartments or homes, adult residential facilities, residential care facilities for the elderly, manufactured housing, commercial properties, and other buildings with existing uses that could be converted to permanent or interim housing.
(2)Master leasing of properties for noncongregant housing.
(3)Conversion of units from nonresidential to residential.
(4)New construction of dwelling units.
(5)The purchase of affordability covenants and restrictions for units.
(6)Relocation costs for individuals who are being displaced as a result of rehabilitation of existing units.
(7)Capitalized operating subsidies for units purchased, converted, or altered with funds provided by this section.
(b)Where possible, the funds described in subdivision (a) shall be allocated by the department in a manner that takes into consideration all of the following:
(1)Need geographically across the state.
(2)The demonstrated ability of the applicant to fund ongoing operating reserves.
(3)The creation of new permanent housing options.
(4)The potential for state, federal, or local funding for capitalized operating reserves to make additional housing units financially viable through this program.
(c)Not less than 8 percent of the funds described in subdivision (a) shall be available for projects serving homeless youth, or youth at risk of homelessness, as defined in Part 578.3 of Title 24 of the Code of Federal Regulations.
(d)Any conflict between the other requirements of the Multifamily Housing Program created by this chapter and this section shall be resolved in favor of this section, as may be set forth in the guidelines authorized by this section.
(e)The Department of Housing and Community Development may adopt guidelines for the expenditure of the funds appropriated to the department, and for the administration of this program. The guidelines shall not be subject to the requirements of Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code.
(f)Up to 5 percent of the funds received from the Coronavirus State Fiscal Recovery Fund established by the federal American Rescue Plan Act of 2021 (ARPA) (Public Law 117-2) and appropriated for purposes of this section may be expended for the costs to administer the program, to the extent authorized by federal law.
(g)Up to 5 percent of any General Fund moneys appropriated for purposes of this section may be expended for the costs to administer this program.
(h)The departments annual report to the Legislature submitted under Section 50408 shall include, but not be limited to, all of the following:
(1)The amount of funds expended for the uses described in this section.
(2)The location of any properties for which the funds are used.
(3)The number of usable housing units produced, or planned to be produced, using the funds.
(4)The number of individuals housed, or likely to be housed, using the funds.
(5)The number of units, and the location of those units, for which operating subsidies have been, or are planned to be, capitalized using the funds.
(6)An explanation of how funding decisions were made for acquisition, conversion, or rehabilitation projects, or for capitalized operating subsidies, including what metrics were considered in making those decisions.
(7)Any lessons learned from the use of the funds.
(8)Proposed changes to the program to address lessons learned.
(i)Any project that uses funds received for any of the purposes specified in subdivision (a) shall be deemed consistent and in conformity with any applicable local plan, standard, or requirement, and any applicable coastal plan, local or otherwise, and allowed as a permitted use, within the zone in which the structure is located, and shall not be subject to a conditional use permit, discretionary permit, or any other discretionary reviews or approvals.
(j)A report to be submitted pursuant to subdivision (h) shall be submitted in compliance with Section 9795 of the Government Code.
(k)Upon an appropriation by the Legislature for the purposes described in this section, the department shall administer funding according to the timeline set forth below, subject to any modifications set forth by the guidelines:
(1)The department may accept funding applications and issue awards on a continuous, over-the-counter basis until the funding has been exhausted or as otherwise required by law.
(2)Each award shall be expended on the uses authorized at subdivision (a), and in accordance with all relevant representations and descriptions in the application, within eight months of the date of the award. Applicants may ask the department for an extension of this timeframe on the grounds and according to the procedures set forth in the guidelines. The director shall have reasonable discretion to approve or deny such an extension upon conducting a full and good faith review of the applicants extension request.
(l)For purposes of this section, individuals and families who are homeless or who are at risk of homelessness means persons and families that meet the qualifying definitions under Part 578.3 of Title 24 of the Code of Federal Regulations.
(m)To advance the objectives specified in Section 50675.1.1 or this section, the department may expand the population served beyond the population specified in subdivision (l) as specified by the guidelines authorized by this section.
(n)Upon appropriation by the Legislature for the purposes of this section after the effective date of the act that added this subdivision, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:
(1)Former foster youth.
(2)Extremely low income households, very low income households, and lower income households.
SEC. 5.Section 50675.17 is added to the Health and Safety Code, to read:50675.17.Upon appropriation by the Legislature for the purposes of this chapter after the effective date of the act that added this section, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:
(a)Former foster youth.
(b)Extremely low income households, very low income households, and lower income households.
SEC. 6.The Legislature finds and declares, with respect to Section 2 of this act, that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique and urgent housing and homelessness conditions in the County of Sacramento and its major cities.
SEC. 7.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
The Legislature finds and declares all of the following:
(a)Nearly all homeless shelters are developed as co-ed.
(b)Co-ed homeless shelters are over 90 percent male, which can result in an environment that feels unsafe for women, especially those who have been victims of trafficking, violence, abuse, or trauma.
(c)There is a need for safe, stable, affordable housing for individuals experiencing trauma, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking, a population of which is overwhelmingly women.
SEC. 2.It is the intent of the Legislature to enact legislation to ensure a portion of all state funding distributed by the Department of Housing and Community Development is allocated for the construction, development, acquisition, or rehabilitation of housing for extremely low income households, very low income households, or lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking.
SEC. 3.Article 3 (commencing with Section 50245) is added to Chapter 6.5 of Part 1 of Division 31 of the Health and Safety Code, to read:3.Additional Rounds of the Homeless Housing, Assistance, and Prevention program50245.Upon appropriation by the Legislature, for rounds of the Homeless Housing, Assistance, and Prevention program adopted after the effective date of the act that added this article, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:
(a)Foster Former foster youth.
(b)Homeless persons.(c)(b)Extremely low income households, very low income households, and lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking. households.
SEC. 4.Section 50675.1.3 of the Health and Safety Code is amended to read:50675.1.3.(a)Notwithstanding any other law, including subdivision (b) of Section 50675.1, funds appropriated to provide housing for individuals and families who are experiencing homelessness or who are at risk of homelessness, as defined by this section, and who are inherently impacted by or at increased risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases, shall be disbursed in accordance with the Multifamily Housing Program, including as grants to cities, counties, cities and counties, and all other state, regional, and local public entities, including councils of government, metropolitan planning organizations, and regional transportation planning agencies designated in Section 29532.1 of the Government Code, as necessary, for the following uses:
(1)Acquisition or rehabilitation, or acquisition and rehabilitation, of motels, hotels, hostels, or other sites and assets, including apartments or homes, adult residential facilities, residential care facilities for the elderly, manufactured housing, commercial properties, and other buildings with existing uses that could be converted to permanent or interim housing.
(2)Master leasing of properties for noncongregant housing.
(3)Conversion of units from nonresidential to residential.
(4)New construction of dwelling units.
(5)The purchase of affordability covenants and restrictions for units.
(6)Relocation costs for individuals who are being displaced as a result of rehabilitation of existing units.
(7)Capitalized operating subsidies for units purchased, converted, or altered with funds provided by this section.
(b)Where possible, the funds described in subdivision (a) shall be allocated by the department in a manner that takes into consideration all of the following:
(1)Need geographically across the state.
(2)The demonstrated ability of the applicant to fund ongoing operating reserves.
(3)The creation of new permanent housing options.
(4)The potential for state, federal, or local funding for capitalized operating reserves to make additional housing units financially viable through this program.
(c)Not less than 8 percent of the funds described in subdivision (a) shall be available for projects serving homeless youth, or youth at risk of homelessness, as defined in Part 578.3 of Title 24 of the Code of Federal Regulations.
(d)Any conflict between the other requirements of the Multifamily Housing Program created by this chapter and this section shall be resolved in favor of this section, as may be set forth in the guidelines authorized by this section.
(e)The Department of Housing and Community Development may adopt guidelines for the expenditure of the funds appropriated to the department, and for the administration of this program. The guidelines shall not be subject to the requirements of Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code.
(f)Up to 5 percent of the funds received from the Coronavirus State Fiscal Recovery Fund established by the federal American Rescue Plan Act of 2021 (ARPA) (Public Law 117-2) and appropriated for purposes of this section may be expended for the costs to administer the program, to the extent authorized by federal law.
(g)Up to 5 percent of any General Fund moneys appropriated for purposes of this section may be expended for the costs to administer this program.
(h)The departments annual report to the Legislature submitted under Section 50408 shall include, but not be limited to, all of the following:
(1)The amount of funds expended for the uses described in this section.
(2)The location of any properties for which the funds are used.
(3)The number of usable housing units produced, or planned to be produced, using the funds.
(4)The number of individuals housed, or likely to be housed, using the funds.
(5)The number of units, and the location of those units, for which operating subsidies have been, or are planned to be, capitalized using the funds.
(6)An explanation of how funding decisions were made for acquisition, conversion, or rehabilitation projects, or for capitalized operating subsidies, including what metrics were considered in making those decisions.
(7)Any lessons learned from the use of the funds.
(8)Proposed changes to the program to address lessons learned.
(i)Any project that uses funds received for any of the purposes specified in subdivision (a) shall be deemed consistent and in conformity with any applicable local plan, standard, or requirement, and any applicable coastal plan, local or otherwise, and allowed as a permitted use, within the zone in which the structure is located, and shall not be subject to a conditional use permit, discretionary permit, or any other discretionary reviews or approvals.
(j)A report to be submitted pursuant to subdivision (h) shall be submitted in compliance with Section 9795 of the Government Code.
(k)Upon an appropriation by the Legislature for the purposes described in this section, the department shall administer funding according to the timeline set forth below, subject to any modifications set forth by the guidelines:
(1)The department may accept funding applications and issue awards on a continuous, over-the-counter basis until the funding has been exhausted or as otherwise required by law.
(2)Each award shall be expended on the uses authorized at subdivision (a), and in accordance with all relevant representations and descriptions in the application, within eight months of the date of the award. Applicants may ask the department for an extension of this timeframe on the grounds and according to the procedures set forth in the guidelines. The director shall have reasonable discretion to approve or deny such an extension upon conducting a full and good faith review of the applicants extension request.
(l)For purposes of this section, individuals and families who are homeless or who are at risk of homelessness means persons and families that meet the qualifying definitions under Part 578.3 of Title 24 of the Code of Federal Regulations.
(m)To advance the objectives specified in Section 50675.1.1 or this section, the department may expand the population served beyond the population specified in subdivision (l) as specified by the guidelines authorized by this section.
(n)Upon appropriation by the Legislature for the purposes of this section after the effective date of the act that added this subdivision, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:
(1)Foster Former foster youth.
(2)Homeless persons.(3)(2)Extremely low income households, very low income households, and lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking. households.
SEC. 5.Section 50675.17 is added to the Health and Safety Code, to read:50675.17.Upon appropriation by the Legislature for the purposes of this chapter after the effective date of the act that added this section, the department shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration:
(a)Foster Former foster youth.
(b)Homeless persons.(c)(b)Extremely low income households, very low income households, and lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking. households.
The Legislature finds and declares all of the following:
(a)Nearly all homeless shelters are developed as co-ed.
(b)Co-ed homeless shelters are over 90 percent male, which can result in an environment that feels unsafe for women, especially those who have been victims of trafficking, violence, abuse, or trauma.
(c)There is a need for safe, stable, affordable housing for individuals experiencing trauma, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking, a population of which is overwhelmingly women.
SEC. 2.It is the intent of the Legislature to enact legislation to ensure a portion of all state funding distributed by the Department of Housing and Community Development is allocated for the construction, development, acquisition, or rehabilitation of housing for extremely low income households, very low income households, or lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking.
SEC. 3.Article 3 (commencing with Section 50245) is added to Chapter 6.5 of Part 1 of Division 31 of the Health and Safety Code, to read:3.Additional Rounds of the Homeless Housing, Assistance, and Prevention program50245.Upon appropriation by the Legislature, for rounds of the Homeless Housing, Assistance, and Prevention program adopted after the effective date of the act that added this article, the department shall ensure that the following populations are given consideration:
(a)Foster youth.
(b)Homeless persons.
(c)Extremely low income households, very low income households, and lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking.
SEC. 4.Section 50675.1.3 of the Health and Safety Code is amended to read:50675.1.3.(a)Notwithstanding any other law, including subdivision (b) of Section 50675.1, funds appropriated to provide housing for individuals and families who are experiencing homelessness or who are at risk of homelessness, as defined by this section, and who are inherently impacted by or at increased risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases, shall be disbursed in accordance with the Multifamily Housing Program, including as grants to cities, counties, cities and counties, and all other state, regional, and local public entities, including councils of government, metropolitan planning organizations, and regional transportation planning agencies designated in Section 29532.1 of the Government Code, as necessary, for the following uses:
(1)Acquisition or rehabilitation, or acquisition and rehabilitation, of motels, hotels, hostels, or other sites and assets, including apartments or homes, adult residential facilities, residential care facilities for the elderly, manufactured housing, commercial properties, and other buildings with existing uses that could be converted to permanent or interim housing.
(2)Master leasing of properties for noncongregant housing.
(3)Conversion of units from nonresidential to residential.
(4)New construction of dwelling units.
(5)The purchase of affordability covenants and restrictions for units.
(6)Relocation costs for individuals who are being displaced as a result of rehabilitation of existing units.
(7)Capitalized operating subsidies for units purchased, converted, or altered with funds provided by this section.
(b)Where possible, the funds described in subdivision (a) shall be allocated by the department in a manner that takes into consideration all of the following:
(1)Need geographically across the state.
(2)The demonstrated ability of the applicant to fund ongoing operating reserves.
(3)The creation of new permanent housing options.
(4)The potential for state, federal, or local funding for capitalized operating reserves to make additional housing units financially viable through this program.
(c)Not less than 8 percent of the funds described in subdivision (a) shall be available for projects serving homeless youth, or youth at risk of homelessness, as defined in Part 578.3 of Title 24 of the Code of Federal Regulations.
(d)Any conflict between the other requirements of the Multifamily Housing Program created by this chapter and this section shall be resolved in favor of this section, as may be set forth in the guidelines authorized by this section.
(e)The Department of Housing and Community Development may adopt guidelines for the expenditure of the funds appropriated to the department, and for the administration of this program. The guidelines shall not be subject to the requirements of Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code.
(f)Up to 5 percent of the funds received from the Coronavirus State Fiscal Recovery Fund established by the federal American Rescue Plan Act of 2021 (ARPA) (Public Law 117-2) and appropriated for purposes of this section may be expended for the costs to administer the program, to the extent authorized by federal law.
(g)Up to 5 percent of any General Fund moneys appropriated for purposes of this section may be expended for the costs to administer this program.
(h)The departments annual report to the Legislature submitted under Section 50408 shall include, but not be limited to, all of the following:
(1)The amount of funds expended for the uses described in this section.
(2)The location of any properties for which the funds are used.
(3)The number of usable housing units produced, or planned to be produced, using the funds.
(4)The number of individuals housed, or likely to be housed, using the funds.
(5)The number of units, and the location of those units, for which operating subsidies have been, or are planned to be, capitalized using the funds.
(6)An explanation of how funding decisions were made for acquisition, conversion, or rehabilitation projects, or for capitalized operating subsidies, including what metrics were considered in making those decisions.
(7)Any lessons learned from the use of the funds.
(8)Proposed changes to the program to address lessons learned.
(i)Any project that uses funds received for any of the purposes specified in subdivision (a) shall be deemed consistent and in conformity with any applicable local plan, standard, or requirement, and any applicable coastal plan, local or otherwise, and allowed as a permitted use, within the zone in which the structure is located, and shall not be subject to a conditional use permit, discretionary permit, or any other discretionary reviews or approvals.
(j)A report to be submitted pursuant to subdivision (h) shall be submitted in compliance with Section 9795 of the Government Code.
(k)Upon an appropriation by the Legislature for the purposes described in this section, the department shall administer funding according to the timeline set forth below, subject to any modifications set forth by the guidelines:
(1)The department may accept funding applications and issue awards on a continuous, over-the-counter basis until the funding has been exhausted or as otherwise required by law.
(2)Each award shall be expended on the uses authorized at subdivision (a), and in accordance with all relevant representations and descriptions in the application, within eight months of the date of the award. Applicants may ask the department for an extension of this timeframe on the grounds and according to the procedures set forth in the guidelines. The director shall have reasonable discretion to approve or deny such an extension upon conducting a full and good faith review of the applicants extension request.
(l)For purposes of this section, individuals and families who are homeless or who are at risk of homelessness means persons and families that meet the qualifying definitions under Part 578.3 of Title 24 of the Code of Federal Regulations.
(m)To advance the objectives specified in Section 50675.1.1 or this section, the department may expand the population served beyond the population specified in subdivision (l) as specified by the guidelines authorized by this section.
(n)Upon appropriation by the Legislature for the purposes of this section after the effective date of the act that added this subdivision, the department shall ensure that the following populations are given consideration:
(1)Foster youth.
(2)Homeless persons.
(3)Extremely low income households, very low income households, and lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking.
SEC. 5.Section 50675.17 is added to the Health and Safety Code, to read:50675.17.Upon appropriation by the Legislature for the purposes of this chapter after the effective date of the act that added this section, the department shall ensure that the following populations are given consideration:
(a)Foster youth.
(b)Homeless persons.
(c)Extremely low income households, very low income households, and lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking.
SECTION 1.Section 34200 of the Health and Safety Code is amended to read:34200.This chapter shall be known, and may be cited, as the Housing Authorities Law.This chapter shall be known, and may be cited cited, as the Housing Authorities Law.
|
Date
|
Status
|
|---|---|
| Sep 20, 2026 | Chaptered by Secretary of State. Chapter 417, Statutes of 2026. |
| Sep 20, 2026 | Approved by the Governor. |
| Sep 2, 2026 | Enrolled and presented to the Governor at 3 p.m. |
| Aug 27, 2026 | Assembly amendments concurred in. (Ayes 33. Noes 0. Page 6023.) Ordered to engrossing and enrolling. |
| Aug 27, 2026 | Assembly amendments concurred in. (Ayes 32. Noes 0.) Ordered to engrossing and enrolling. |
| Aug 26, 2026 | In Senate. Concurrence in Assembly amendments pending. |
| Aug 26, 2026 | Read third time. Passed. (Ayes 78. Noes 0. Page 6555.) Ordered to the Senate. |
| Aug 26, 2026 | Read third time. Passed. Ordered to the Senate. |
| Aug 21, 2026 | Assembly Rule 69(b)(1) suspended. |
| Aug 21, 2026 | Assembly Rule 69(b)(1) suspended. (Ayes 55. Noes 17. Page 6296.) |
| Aug 21, 2026 | Ordered to third reading. |
| Aug 21, 2026 | Read third time and amended. |
| Aug 20, 2026 | Read third time and amended. |
| Aug 20, 2026 | Ordered to third reading. |
| Aug 13, 2026 | Read second time. Ordered to third reading. |
| Aug 13, 2026 | From committee: Do pass. (Ayes 13. Noes 1.) (August 13). |
| Aug 13, 2026 | Assembly Rule 63 suspended. |
| Aug 5, 2026 | August 5 set for first hearing. Placed on suspense file. |
| Jul 2, 2026 | From committee: Do pass and re-refer to Com. on APPR. (Ayes 9. Noes 0.) (July 1). Re-referred to Com. on APPR. |
| Jun 24, 2026 | From committee: Do pass and re-refer to Com. on L. GOV. (Ayes 11. Noes 0.) (June 24). Re-referred to Com. on L. GOV. |
| Jun 15, 2026 | From committee with author's amendments. Read second time and amended. Re-referred to Com. on H. & C.D. |
| Jun 3, 2026 | June 10 hearing postponed by committee. |
| Jun 1, 2026 | From committee with author's amendments. Read second time and amended. Re-referred to Com. on H. & C.D. |
| Apr 30, 2026 | From committee with author's amendments. Read second time and amended. Re-referred to Com. on H. & C.D. |
| Apr 28, 2026 | From committee with author's amendments. Read second time and amended. Re-referred to Com. on H. & C.D. |
| Jan 26, 2026 | From committee with author's amendments. Read second time and amended. Re-referred to Com. on H. & C.D. |
| Jul 16, 2025 | July 16 set for second hearing canceled at the request of author. |
| Jul 10, 2025 | Assembly Rule 56 suspended. |
| Jun 27, 2025 | July 2 hearing postponed by committee. |
| Jun 23, 2025 | From committee with author's amendments. Read second time and amended. Re-referred to Com. on H. & C.D. |
| Jun 13, 2025 | June 18 set for first hearing canceled at the request of author. |
| May 29, 2025 | Referred to Coms. on H. & C.D. and HUM. S. |
| May 23, 2025 | In Assembly. Read first time. Held at Desk. |
| May 23, 2025 | Read third time. Passed. (Ayes 36. Noes 0. Page 1137.) Ordered to the Assembly. |
| May 20, 2025 | Read second time. Ordered to consent calendar. |
| May 19, 2025 | From committee: Be ordered to second reading pursuant to Senate Rule 28.8 and ordered to consent calendar. |
| May 9, 2025 | Set for hearing May 19. |
| May 1, 2025 | Read second time and amended. Re-referred to Com. on APPR. |
| Apr 30, 2025 | From committee: Do pass as amended and re-refer to Com. on APPR. with recommendation: To consent calendar. (Ayes 11. Noes 0. Page 937.) (April 29). |
| Apr 24, 2025 | Set for hearing April 29. |
| Apr 22, 2025 | From committee: Do pass and re-refer to Com. on HOUSING. (Ayes 5. Noes 0. Page 812.) (April 21). Re-referred to Com. on HOUSING. |
| Apr 8, 2025 | Set for hearing April 21. |
| Apr 3, 2025 | Withdrawn from committee. |
| Apr 3, 2025 | Re-referred to Coms. on HUMAN S. and HOUSING. |
| Apr 2, 2025 | Re-referred to Coms. on HOUSING and HUMAN S. |
| Mar 26, 2025 | From committee with author's amendments. Read second time and amended. Re-referred to Com. on RLS. |
| Mar 12, 2025 | Referred to Com. on RLS. |
| Feb 24, 2025 | Read first time. |
| Feb 24, 2025 | From printer. May be acted upon on or after March 24. |
| Feb 21, 2025 | Introduced. To Com. on RLS. for assignment. To print. |
|
Date
|
Description
|
Location
|
Votes
|
|
|---|---|---|---|---|
| Aug 27, 2026 | Unfinished Business SB802 Ashby et al. Concurrence | Senate Floor |
Passed |
|
| Aug 26, 2026 | SB 802 Ashby Senate Third Reading By Krell | Assembly Floor |
Passed |
|
| Aug 13, 2026 | Do pass. | Assembly Standing Committee on Appropriations |
Passed |
|
| Jul 1, 2026 | Do pass and be re-referred to the Committee on [Appropriations] | Assembly Standing Committee on Local Government |
Passed |
|
| Jun 24, 2026 | Do pass and be re-referred to the Committee on [Local Government] | Assembly Standing Committee on Housing and Community Development |
Passed |
|
| May 23, 2025 | Consent Calendar 2nd SB802 Ashby | Senate Floor |
Passed |
|
| Apr 29, 2025 | Do pass as amended, but first amend, and re-refer to the Committee on [Appropriations] with the recommendation: To Consent Calendar | Senate Standing Committee on Housing |
Passed |
|
| Apr 21, 2025 | Do pass, but first be re-referred to the Committee on [Housing] | Senate Standing Committee on Human Services |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
|
Organization
|
Position
|
Date
|
|---|---|---|
| AARP | ** Support | |
| Black Women Revolt Against Domestic Violence | ** Support | |
| Caity Maple, Councilmember, City of Sacramento | ** Support | |
| California Apartment Association | ** Support | |
| California Association Of Realtors | ** Against | |
| California Black Chamber of Commerce | ** Support | |
| California incorporated | ** Against | |
| California State Association Of Counties | ** Against | |
| California YIMBY | ** Support | |
| Camp Resolution | ** Against | |
| Center on Juvenile and Criminal Justice | ** Support | |
| City of Citrus Heights | ** Against | |
| City of Elk Grove | ** Against | |
| City Of Folsom | ** Against | |
| City of Folsom (prior version) | ** Against | |
| City Of Galt | ** Against | |
| City of Galt (prior version) | ** Against | |
| City Of Rancho Cordova | ** Against | |
| City Of Sacramento | ** Support | |
| Community Forward SF | ** Support | |
| Community Lead Advocacy Program Clap | ** Against | |
| Concerns | ** Support | |
| Councilmember Caity Maple, City of Sacramento | ** Support | |
| Councilmember Caity Maple, City of Sacramento, District 5 | ** Support | |
| Councilmember Mai Vang, City of Sacramento | ** Support | |
| Councilmember Mai Vang, City of Sacramento, District 8 | ** Support | |
| county of sacramento | ** Against | |
| Dignitymoves | ** Support | |
| Downtown Railyard Ventures | ** Support | |
| Downtown Railyards Ventures | ** Support | |
| downtown sacramento partnership | ** Support | |
| Downtown Women's Center | ** Support | |
| Fieldstead And Company, Inc. | ** Support | |
| Folsom Chamber Of Commerce | ** Against | |
| Folsom Chamber of Commerce (prior version) | ** Against | |
| Franklin Boulevard Business Association | ** Support | |
| Freedom Forward | ** Support | |
| Glide | ** Support | |
| House Sacramento | ** Support | |
| House Sacramento (if amended) | ** Support | |
| Individuals | ** Against | |
| Individuals | ** Support | |
| Individuals (5) (prior version) | ** Against | |
| Inner Circle | ** Support | |
| Inner Circle Foster Family Agency, Inc./inner Circle Children's Advocacy Center | ** Support | |
| Inside Circle | ** Support | |
| International Brotherhood of Electrical Workers Local 234 | ** Against | |
| Izaya Michael Foundation | ** Against | |
| Karina Talamantes, Councilmember, City of Sacramento | ** Support | |
| LA Alliance for Human Rights | ** Support | |
| La Casa De Las Madres | ** Support | |
| LDK Ventures | ** Support | |
| Life Skills Training and Educational Programs | ** Support | |
| Life Skills Training and Educational Programs, Inc. | ** Support | |
| Lisa Kaplan, Councilmember, City of Sacramento | ** Support | |
| Mai Vang, Councilmember, City of Sacramento | ** Support | |
| Mary Elizabeth Inn | ** Support | |
| Mayor Kevin McCarty, City of Sacramento | ** Against | |
| Midtown Association | ** Support | |
| My Sister's House CA | ** Support | |
| National Council Of Jewish Women San Francisco | ** Support | |
| National Council of Jewish Women-sf | ** Support | |
| Patrick Kennedy, Supervisor, County of Sacramento | ** Against | |
| People Working Together | ** Support | |
| Race & Equity in All Planning Coalition | ** Support | |
| Rich Desmond, Supervisor, County of Sacramento | ** Against | |
| Rick Jennings, Councilmember, City of Sacramento | ** Support | |
| Rosario Rodriquez, Chair, Sacramento County Board of Supervisor | ** Against | |
| Rosario Rodriquez, Chair, Sacramento County Board of Supervisor (prior version) | ** Against | |
| Sacramento Advocates for Rail and Transit | ** Support | |
| Sacramento Area Congregations Together | ** Against | |
| Sacramento Area Congregations Together (prior version) | ** Against | |
| Sacramento Area Council Of Governments | ** Support | |
| Sacramento Association of Realtors | ** Against | |
| Sacramento Association of Realtors (prior version) | ** Against | |
| Sacramento Association of Realtors (R) | ** Against | |
| Sacramento County Board of Supervisors (prior version) | ** Against | |
| Sacramento County Sheriff Jim Cooper | ** Against | |
| Sacramento County Sheriff Jim Cooper (prior version) | ** Against | |
| Sacramento County Young Democrats | ** Support | |
| Sacramento Environmental Justice Coalition | ** Against | |
| Sacramento Homeless Organizing Committee | ** Against | |
| Sacramento Homeless Union | ** Against | |
| Sacramento Housing Alliance | ** Against | |
| Sacramento Housing Alliance (prior version) | ** Against | |
| Sacramento Poor People's Campaign | ** Against | |
| Sacramento Region Business Association | ** Against | |
| Sacramento Regional Business Leaders Council | ** Support | |
| San Francisco Domestic Violence Consortium | ** Support | |
| San Francisco Safehouse | ** Support | |
| Sandringham Neighborhood Association | ** Support | |
| Sandringham Neighbors Association | ** Support | |
| SEIU California | ** Support | |
| Sierra Curtis Neighborhood Association | ** Support | |
| Steinberg Institute | ** Support | |
| Tai Leadership | ** Against | |
| The Women's Building | ** Support | |
| Turton Commercial Real Estate | ** Support | |
| Turton Real Estate | ** Support | |
| United Public Employees | ** Support | |
| Urban Counties of California | ** Against | |
| Vice Mayor Karina Talamantes, Sacramento City Council, District 3 | ** Support | |
| Wellspace Health | ** Support | |
| Youth Forward | ** Support |
SENATE RULES COMMITTEE Office of Senate Floor Analyses (916) 651-4171 | SB 802 |
UNFINISHED BUSINESS
Bill No: SB 802
Author: Ashby (D), et al.
Amended: 8/21/26
Vote: 21
Prior Senate votes not relevant.
ASSEMBLY FLOOR: 78-0, 8/26/26 - See last page for vote
SUBJECT: Housing finance and development: Sacramento Regional Housing and Homelessness Joint Powers Authority Act
SOURCE: Author
DIGEST:
This bill enacts the Sacramento Regional Housing and Homelessness Joint Powers Authority Act, which requires the County of Sacramento and five cities to form a joint powers authority to cover housing and homelessness.
Assembly Amendments
deleted the contents of the bill and inserted the current provisions.
ANALYSIS:
Existing law:
- Authorizes, under the Joint Exercise of Powers Act, two or more public agencies to use their powers in common if they sign a joint powers agreement. Such an agreement may create a new, separate government called a joint powers agency or joint powers authority (JPA). Agencies that may exercise joint powers include federal agencies, state departments, counties, cities, special districts, school districts, federally recognized Indian tribes, and even other JPAs.
- Authorizes public agencies to use the JPA law and the related Marks-Roos Local Bond Pooling Act to form bond pools to finance public works, working capital, insurance needs, and other public benefit projects. Bond pooling saves money on interest rates and finance charges, and allows smaller local agencies to enter the bond market. Because a JPA is an entity separate from its members, bonds issued by JPAs do not have to be approved by voters.
This bill:
- Enacts the Sacramento Regional Housing and Homelessness Joint Powers Authority Act, which requires, by January 1, 2028, the County of Sacramento and the Cities of Sacramento, Elk Grove, Rancho Cordova, Citrus Heights, and Folsom to participate in and work together to establish a JPA designed to make a meaningful difference from people experiencing housing insecurity and homelessness.
- Requires the above local agencies to do all the following to satisfy the above requirement:
- Bring elected officials from across the region together through the JPA that provides program and policy guidance and establishes shared goals to improve the efficacy of the region’s homeless response system and affordable housing resources;
- Bring the oversight and functions of the Sacramento City and County Continuum of Care under the jurisdiction of the joint powers authority, while maintaining the federally required composition and integrity of the continuum of care; and
- Work collaboratively with Sacramento Housing and Redevelopment Authority (SHRA) to develop goals and action plans that address homelessness, affordable housing, and advance a true housing continuum regionally.
- Requires the JPA to do all the following:
- Set system performance goals and, at a minimum, regularly review state and federal performance metrics to address housing and homelessness;
- Collaborate to update the regionally coordinated homelessness action plan as necessary and oversee implementation of the plan;
- Coordinate on delivery of prevention, outreach, shelter, and housing programs, with local jurisdictions retaining oversight, accountability, and control over land use decisions and programs administered by the local jurisdictions;
- Explore better integration with other systems working in homelessness and housing, including county-administered behavioral health, child and adult welfare, and social safety net services;
- Align regional funding for housing and homelessness, with local jurisdictions retaining final control and approval over local, state, and federal funds eligible to be administered by local jurisdictions;
- Comply with state laws regarding local agency meetings;
- Provide direction to the continuum of care lead agency;
- Provide oversight over continuum of care functions, including the Homeless Management Information System, the Coordinated Access System, and the Point-in-Time Count;
- Develop a committee structure to ensure community voice continues to be incorporated;
- Include the County of Sacramento, the Cities of Sacramento, Elk Grove, Rancho Cordova, Citrus Heights, and Folsom;
- Be developed as a formal, robust joint powers authority;
- Have a board that consists solely of the elected officials representing the County of Sacramento, the Cities of Sacramento, Elk Grove, Rancho Cordova, Citrus Heights, and Folsom;
- Target both housing and homelessness;
- Incorporate meaningful resources to provide services;
- Have a governance structure that includes the lead entities, respectively, from both the Continuum of Care and the Sacramento Housing and Redevelopment Agency; and
- Hold monthly public meetings and incorporate public participation.
- Provides that local jurisdictions must retain oversight and accountability over funding decisions, projects and programs they administer, including contracting for prevention, outreach, sheltering, and housing.
Background
Sacramento Steps Forward (SSF) is the lead agency for the Sacramento Continuum of Care (CoC), and a non-profit organization formed to facilitate the provision of homeless services and housing in the Sacramento Region. In 2026, SSF estimates roughly 7,458 individuals experience homelessness every night in Sacramento County, 56.4% of which remain unsheltered.
In 1973, the County of Sacramento and the City of Sacramento formed a JPA called the Sacramento Housing and Redevelopment Authority (SHRA) to address housing issues in the region. The City and County originally formed SHRA to combine the Housing Authorities for both the city and county and became the redevelopment agency for the city and county before redevelopment agencies were dissolved. It serves as the successor agency to the redevelopment agency and is responsible for winding down the activities of redevelopment, including paying down any obligations of the redevelopment agency. SHRA owns and manages thousands of residential units in the county, develops new housing, and administers federal housing choice vouchers. SHRA has a seat on Sacramento’s CoC.
The 2022-2023 Sacramento County Grand Jury (SCGJ) released a report investigating the strategies, programs, and working relationships between the county and the seven incorporated cities (Citrus Heights, Elk Grove, Folsom, Galt, Isleton, Rancho Cordova, and Sacramento). One of the recommendations by the SCGJ was that the County and the seven incorporated cities should implement a JPA to address homelessness by December 1, 2023.
In beginning of June 2026, the County of Sacramento and the Cities of Sacramento, Elk Grove, Folsom, Citrus Heights, Rancho Cordova, and Galt signed a letter of intent to signal their shared commitment to building a more coordinated, effective regional approach to housing and homelessness.
Comments
- Purpose of the bill. According to the author, “For over a decade, multiple Sacramento County Grand Jury reports, including in 2019 and again in 2023, have warned that the absence of a regional authority and coherent organizational structure makes it virtually impossible to use valuable resources effectively. The 2023 report described Sacramento's homelessness response as ‘disjointed, lacking accountability, and often reactive rather than proactive,’ highlighting how eight separate government-funded entities operate with siloed data, conflicting goals, and inconsistent planning. SB 802 responds to this long-standing call for change by establishing the Sacramento Area Housing and Homelessness Agency, a new Joint Powers Authority. This single, coordinated agency will ensure shared decision-making, strengthen accountability, and better leverage local, state, and federal resources to address homelessness and housing insecurity across Sacramento County. All cities in the county will have the opportunity to participate and weigh in through representation on the agency’s governing board. Importantly, the agency will also include people with lived experience of homelessness, along with technical experts, on its Advisory Committee, ensuring that the voices of those directly impacted help guide local solutions. By creating a regional structure with clear governance, broad city participation, community representation, and oversight, SB 802 delivers the accountability, collaboration, and leadership we need to address homelessness and housing more effectively and efficiently.”
- Necessary? The beauty of the Joint Exercise of Powers Act is its flexibility: local agencies can come together to form an agreement of its own design to carry out any power common to each of its members. Agreements specify a JPA’s mission, structure, governing board, each member’s financial obligations, and provisions for members to enter and exit the JPA, among other items. As such, local agencies do not need legislative authority for a JPA unless it requires powers not common to all its members, or when statutory certainty and specificity is preferable to the agreement’s details. For example, the Legislature created the series of housing trust JPAs because the member agencies lacked the ability to issue bonds repayable from funds the JPA receives from public and private financing. Unlike these previous legislative efforts that expanded the authority local agencies had to form JPAs of their choosing, SB 802 requires the County of Sacramento and five of its largest cities to form a JPA to address housing and homelessness. These local agencies have the authority to create a JPA to address housing and homelessness without legislation. Such a JPA has been in discussions for years, but local agencies have not yet created one. SB 802 would force the creation of a JPA when locals have the authority to create one on their own. Should the Legislature set the precedent of forcing local agencies to create a JPA?
FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: Yes
According to the Assembly Appropriations Committee:
- Ongoing local costs of an unknown amount, but likely in the mid-hundreds of thousands to low millions of dollars annually to Sacramento County and the cities of Sacramento, Elk Grove, Rancho Cordova, Citrus Heights, and Folsom, collectively, for staffing and other resources required to form and carry out the required duties of the JPA, pursuant to this bill.
- Because this bill mandates the formation of a JPA, and requires its members to perform certain duties, the bill creates a reimbursable state mandate. This means any costs incurred by the JPA, including costs for tasks previously performed by city or county staff at non-state expense, are potentially reimbursable by the state General Fund, subject to a determination by the Commission on State Mandates.
SUPPORT: (Verified 8/26/26)
Caity Maple, Councilmember, City of Sacramento
Karina Talamantes, Councilmember, City of Sacramento
Lisa Kaplan, Councilmember, City of Sacramento
Mai Vang, Councilmember, City of Sacramento
Rick Jennings, Councilmember, City of Sacramento
California Black Chamber of Commerce
California Yimby
Dignitymoves
Downtown Railyard Ventures
Downtown Sacramento Partnership
Fieldstead and Company, INC.
Inner Circle Foster Family Agency, Inc./inner Circle Children's Advocacy Center
LA Alliance for Human Rights
Ldk Ventures
Life Skills Training and Educational Programs, INC.
Midtown Association
Sacramento Advocates for Rail and Transit
Sacramento County Young Democrats
Sacramento Regional Business Leaders Council
Sandringham Neighborhood Association
Seiu California
Steinberg Institute
Turton Commercial Real Estate
United Public Employees
Wellspace Health
Youth Forward
OPPOSITION: (Verified 8/26/26)
Mayor Kevin McCarty, City of Sacramento
Rich Desmond, Supervisor, County of Sacramento
Patrick Kennedy, Supervisor, County of Sacramento
Rosario Rodriquez, Chair, Sacramento County Board of Supervisor
California Association of Realtors
California State Association of Counties
County of Sacramento
Sacramento Area Congregations Together
SacRamento Association of RealtoRs (R)
Sacramento County Sheriff Jim Cooper
Sacramento Housing Alliance
Urban Counties of California
ASSEMBLY FLOOR: 78-0, 8/26/26
AYES: Addis, Aguiar-Curry, Ahrens, Alanis, Alvarez, Arambula, Ávila Farías, Bains, Bauer-Kahan, Bennett, Berman, Boerner, Bonta, Bryan, Calderon, Caloza, Carrillo, Castillo, Chen, Connolly, Davies, DeMaio, Dixon, Elhawary, Ellis, Flora, Fong, Gabriel, Garcia, Gipson, Jeff Gonzalez, Mark González, Hadwick, Haney, Harabedian, Hart, Hoover, Irwin, Jackson, Johnson, Kalra, Krell, Lackey, Lee, Lowenthal, Macedo, McKinnor, Nguyen, Ortega, Pacheco, Papan, Patel, Patterson, Pellerin, Petrie-Norris, Quirk-Silva, Ramos, Ransom, Celeste Rodriguez, Michelle Rodriguez, Rogers, Blanca Rubio, Sanchez, Schiavo, Schultz, Sharp-Collins, Solache, Soria, Stefani, Ta, Tangipa, Valencia, Wallis, Ward, Wicks, Wilson, Zbur, Rivas
NO VOTE RECORDED: Muratsuchi
Prepared by: Jonathan Peterson / L. GOV. / (916) 651-4119
8/26/26 21:30:56
**** END ****
SENATE THIRD READING
STR Bill Id:SB 802
Author:(Ashby)
As Amended Ver:August 20, 2026
Majority vote
SUMMARY
Requires the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom to participate in and work together to establish the Sacramento Regional Housing and Homelessness (SHRA) Joint Powers Authority (JPA) designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento.
Major Provisions
- Makes various legislative findings.
- Requires the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom to do all of the following:
- Bring elected officials from across the region together through the JPA that provides program and policy guidance and establishes shared goals to improve the efficacy of the region's homeless response system and affordable housing resources;
- Bring the oversight and functions of the Sacramento City and County Continuum of Care (CoC) under the jurisdiction of the JPA, while maintaining the federally required composition and integrity of the CoC; and
- Work collaboratively with the SHRA to develop goals and action plans that address homelessness, affordable housing, and advance a true housing continuum regionally.
- Requires the JPA to do all of the following:
- Set system performance goals and, at a minimum, regularly review state and federal performance metrics to address housing and homelessness;
- Collaborate to update the regionally coordinated homelessness action plan as necessary and oversee implementation of the plan;
- Coordinate on delivery of prevention, outreach, shelter, and housing programs, with local jurisdictions retaining oversight, accountability, and control over land use decisions and programs administered by the local jurisdictions;
- Explore better integration with other systems working in homelessness and housing, including county-administered behavioral health, child and adult welfare, and social safety net services;
- Align regional funding for housing and homelessness, with local jurisdictions retaining final control and approval over local, state, and federal funds eligible to be administered by local jurisdictions;
- Comply with the requirements set forth in the Ralph M. Brown Act;
- Provide direction to the CoC lead agency;
- Provide oversight over CoC functions, including all of the following:
- The Homeless Management Information System (HMIS);
- The Coordinated Access System (CES); and
- The Point-in-Time Count.
- Develop a committee structure to ensure community voice continues to be incorporated;
- Include the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom in the JPA;
- Be developed as a formal, robust JPA;
- Have a board that consists solely of the elected officials representing the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom;
- Target both housing and homelessness;
- Incorporate meaningful resources to provide services;
- Have a governance structure that includes the lead entities, respectively, from both the CoC and SHRA; and
- Hold monthly public meetings and incorporate public participation.
- Provides that a local jurisdiction that is a member of the JPA retains oversight and accountability over funding decisions, projects, and programs administered by the local jurisdiction, including contracting for prevention, outreach, sheltering, and housing.
- Includes a severability clause.
COMMENTS
Continuum of Care (CoC): The Department of Housing and Urban Development (HUD) developed the concept of the CoC in 1995 through its annual competition for homeless assistance grants. The CoC is envisioned as a local network that plans and coordinates funding for services and housing to assist homeless individuals and families. Each community is required to designate a CoC to receive federal funds. The CoC is designed to: promote a community wide commitment to the goal of ending homelessness, provide funding for efforts to rapidly rehouse homeless individuals and families, promote access to and effective use of mainstream programs, and optimize self-sufficiency among individuals and families experiencing homelessness.
Federal regulations require the creation of a CoC governing board, but do not dictate the board membership except that it must be representative of the community and have at least one person with lived experience of homelessness. The makeup of the membership and the board are key to the CoC's competitiveness for federal funding. Federal funding is tied to how the CoC board and membership are structured, meaning decisions regarding board makeup will impact the competitiveness of the community for funding. The Sacramento City and County CoC (Sacramento CoC) has a 30-member board which includes representation from local government, homeless services providers, people with lived experience, and the broader community of businesses, advocates, and faith-based groups.
A CoC is responsible for designating a lead entity to manage the HMIS. HMIS is a shared localized database used by organizations that provide services to people who are homeless or at risk of becoming homeless. One of the main functions of the HMIS is to connect community agencies with one another, allowing direct service staff to know more about what is happening with their clients and where else they are obtaining services. A CoC is also required to identify a collaborative applicant to apply for a grant for CoC planning funds. In Sacramento, the collaborative applicant is Sacramento Steps Forward (SSF).
Sacramento Steps Forward (SSF): SSF is a non-profit organization that acts as the collaborative applicant for Sacramento's CoC and serves as the lead agency for Sacramento's CoC, convening a board of nonprofit providers, advocates, partners with lived expertise, City and County, and public and private sector partners, and acts as the HMIS Lead. As the local HMIS Lead, SSF manages the database for Sacramento and Yolo Counties, granting access to the system, maintaining data quality, and providing regular reports to HUD. The use of HMIS is mandated by Congress for any CoCs who receive federal funding to address homelessness in their communities. Access to HMIS is strictly monitored, requiring background checks and security measures to protect the confidential client data stored in the system.
This bill would require the creation of a JPA made up of the City and County of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom and designate the JPA as the federally recognized CoC. The JPA would also provide direction to the CoC lead agency and provide oversight to the CoC regarding HMIS, CES, and the point-in-time count. While this bill designated the JPA as the CoC, federal regulation requires the CoC to designate the collaborative applicant, the entity authorized to apply for CoC planning funding. To comply with federal regulations, the existing CoC board would need to vote to change the collaborative applicant from SSF to the new JPA.
Why is it hard to solve homelessness? Homelessness is the top issue among voters and one of the hardest policy issues to address. In most communities, the resources needed to solve homelessness – the homeless response system – are siloed among three major parties – cities, counties, and CoCs. Cities tend to be home to more people experiencing homelessness because people have easier access to amenities and resources. Yet, cities do not control much of the funding that is needed to get people into housing, including vouchers, mental health services, and connections to health care. Cities have land use authority and can site more housing, particularly affordable housing and permanent supportive housing, but they still have to seek help from their county to get project-based vouchers and funding for wrap-around services for people living in supportive housing that need extra help to stay housed. Counties have funding for mental health services through the Behavioral Health Services Act – recent legislation requires that 30% of those funds go to support people accessing and maintaining housing through rental assistance and other supports. CoCs have funding to address homelessness and maintain the CES, which matches people experiencing homelessness with services and hopefully a permanent housing unit. While the CoC is responsible for collecting and maintaining the data around homelessness and is the entry point for many people experiencing homelessness into services and connecting to housing, they lack any ability to direct County, SHRA, or city resources. SHRA, the City of Rancho Cordova, the City of Elk Grove, the City of Citrus Heights, the City of Sacramento, and Sacramento County currently sit on the CoC. This entire system lacks adequate resources to house the people who are currently homeless and the resources to help people who are falling into homelessness to stay housed.
Sacramento is not unique in its inability to establish a structure that resolves all of these challenges and aligns resources. Los Angeles County and the City of Los Angeles currently have a JPA, but are in the process of dissolving that entity to create a new structure. Communities around the state are struggling to figure out how to coordinate resources to adequately serve people experiencing homelessness.
The state has provided funds through the Homeless Housing, Assistance and Prevention (HHAP) grant program over the last seven years to help big cities, counties, and CoCs respond to homelessness, with a focus on unsheltered homelessness, but this funding is inadequate to resolve the problem. HHAP has evolved over the last few years to push applicants to develop a coordinated strategy to address homelessness. HHAP requires applicants – CoCs, big cities and counties – to develop a Regional Plan to address homelessness. SSF developed the plan, and though all of the cities within Sacramento County participated, none of the cities not receiving funding from HHAP brought the plan before their City Councils to be ratified.
Local Discussions: A 2022-23 Sacramento County Grand Jury Report lays out past efforts to create a coordinated response to homelessness in the county. In December 2019, the County Board of Supervisors and Sacramento City Council passed resolutions to form a JPA intended to resolve homelessness, but no JPA was established. In 2011, the Board of Supervisors and Sacramento City Council passed a resolution endorsing SSF as the Lead Agency to monitor and coordinate homelessness in the county. In November 2022, Sacramento County voters passed Measure O to require the city and county of Sacramento to approve a legally binding partnership agreement to improve the homelessness crisis. The Grand Jury Report laid out the challenges of addressing homelessness through the siloed system in Sacramento and recommended the creation of a JPA governed by elected officials in the county.
In December 2023, a consulting firm commissioned by SSF and the county identified ways to better align and engage local partners and researched national governance models to develop a report that includes local and national landscape assessments and provides options for alternative organizational approaches to shared governance. The consultants provided several options, based on models that have worked in other communities, which will help to inform what the county presents to the BOS in August. These include:
"Collective Impact Model – A revision of the current structure to advance regional goals by establishing an overarching and revised Partnership Agreement to redefine roles and restructure board under a revised collective impact framework with SSF functioning as the backbone agency.
Regional Governance – This redefines the governance structure under a JPA which designates a distinct entity the JPA responsible for acting as a single representative for ending homelessness in the region. The JPA defines the scope of the JPA and the roles and authority. The JPA can be developed as a new, independent entity or within an existing government body."
In beginning of June 2026, the County of Sacramento and the Cities of Sacramento, Elk Grove, Folsom, Citrus Heights, Rancho Cordova, and Galt signed a letter of intent to signal their shared commitment to building a more coordinated, effective regional approach to housing and homelessness. The Letter of Intent states that the participating jurisdictions will come together to build a new regional partnership model designed to make a meaningful difference for people experiencing homelessness. It will: “1) bring elected officials from across the region together through a public, Brown Act compliant governing body that provides program and policy guidance and establishes shared goals to improve the efficacy of the region’s homeless response system and affordable housing resources, and 2) bring the oversight and functions of the Sacramento City and County Continuum of Care (CoC) under the new governing body.”
The Letter of Intent does not state that the mechanism for coordination will be a JPA. It does include a description of the activities and goals of the new government body, including that describing the functions of the CoC without stating the new entity will be the CoC. The functions of the new entity include:
- Be the final decision-making body on federal and state CoC funding;
- Provide direction to the CoC lead agency;
- Provide oversight over CoC functions including the HMIS, CES, and Point-in-Time Count;
- Develop a committee structure to ensure community voice continues to be incorporated.
The letter states that each jurisdiction has identified members of its governing board or council to take part in this first phase of planning. The CoC Board is expected to appoint its members at the June Board meeting.
Joint Exercise of Powers Act: Joint powers are exercised when public officials of two or more agencies agree to establish a joint approach or create another legal entity to work on a common problem, fund a project, or act as a representative body for a specific activity. All manner of federal, state, and local public agencies can agree to exercise joint powers. A California agency can even share joint powers with an agency in another state. The common thread is that a confederation of governments works together and shares resources for mutual support or common actions. The government agencies that participate in joint powers are called member agencies, and a JPA can only exercise powers that each member agency independently possesses.
A joint powers agreement is a formal, legal agreement between two or more public agencies that wish to exercise joint powers. Some joint powers agreements are administered by one of the participating agencies. Others are administered by a new, legally independent government entity (called a joint powers agency or a joint powers authority – both referred to as a JPA) that the member agencies create. The new entity need not even call itself a JPA. JPAs are not special districts, although such agencies can enter into joint powers agreements. As tools for collaboration, JPAs are used for a variety of purposes. By sharing resources and combining services, the member agencies – and their taxpayers – save time and money. There are no official categories for the types of JPAs, but their services generally fall into five broad groups: general public services, financial services, insurance pooling and purchasing discounts, planning services, and regulatory enforcement. Public agencies authorized to enter into joint powers agreements include "the federal government or any federal department or agency, this state, another state or any state department or agency, a county, county board of education, county superintendent of schools, city, public corporation, public district, regional transportation commission of this state or another state, a federally recognized Indian tribe, or any joint powers authority…"
Given JPA's inherent design as voluntary agreements among participating agencies, and the existence of JPA law that already authorizes interested agencies to create JPAs, the Legislature has not generally authorized or required the creation or alteration of specific JPAs. However, in recent years, the Legislature has reviewed and/or approved the creation of JPAs for specific purposes, some to address the ongoing housing crisis in the state. For example:
- AB 2593 (McCarty) of 2024 would have authorized a local agency within the County of Sacramento to enter into a joint powers agreement with any other local agency to operate a joint powers authority to assist people experiencing homelessness. AB 2593 died on the Senate inactive file. AB 1086 (McCarty) of 2023 was similar to AB 2593. AB 1086 was referred to the Assembly Local Government Committee but was never heard.
- SB 20 (Rubio), Chapter 147, Statutes of 2023, allowed all local agencies to create regional housing trusts to fund housing to assist people experiencing homelessness and persons and families of extremely low-, very low-, and low-income within their jurisdictions.
According to the Author
"For over a decade, multiple Sacramento County Grand Jury reports, including in 2019 and again in 2023, have warned that the absence of a regional authority and coherent organizational structure makes it virtually impossible to use valuable resources effectively. The 2023 report described Sacramento's homelessness response as "disjointed, lacking accountability, and often reactive rather than proactive," highlighting how eight separate government-funded entities operate with siloed data, conflicting goals, and inconsistent planning.
SB 802 responds to this long-standing call for change by establishing the Sacramento Area Housing and Homelessness Agency, a new Joint Powers Authority. This single, coordinated agency will ensure shared decision-making, strengthen accountability, and better leverage local, state, and federal resources to address homelessness and housing insecurity across Sacramento County. All cities in the county will have the opportunity to participate and weigh in through representation on the agency’s governing board. Importantly, the agency will also include people with lived experience of homelessness, along with technical experts, on its Advisory Committee, ensuring that the voices of those directly impacted help guide local solutions.
By creating a regional structure with clear governance, broad city participation, community representation, and oversight, SB 802 delivers the accountability, collaboration, and leadership we need to address homelessness and housing more effectively and efficiently."
Arguments in Support
A coalition writes in support, "Over the past two decades, multiple oversight reviews have documented Sacramento’s repeated failures to establish a Joint Powers Authority. In 2019, the Sacramento County Grand Jury Final Report warned of the dysfunction caused by the absence of a coherent organizational structure. Despite this clear warning, the 2023 Grand Jury report found little systemic progress, describing Sacramento's efforts as "disjointed and lacking accountability." That report again emphasized the lack of a regional authority as a key barrier, with duplicative efforts, siloed data systems, and inconsistent strategic planning across jurisdictions. It is worth noting that the City and County had previously signed a binding agreement to work together on a coordinated regional response to homelessness, a legally binding agreement that remains unfulfilled. Sacramento does not need another roundtable or press release - it deserves a system that delivers results. SB 802 provides that structure: a regional entity with the authority and accountability to align funding, data, and decision-making around a shared, outcome-driven plan to end homelessness."
Arguments in Opposition
Sacramento County is opposed to the state requiring the creation of a JPA, though they are in the process of working with the City of Sacramento and other cities in the county to create a regional entity that will coordinate on homelessness. The County of Sacramento writes, "Although the June 15 amendments make changes to the bill to remove some of the funding concerns, they do not alter our fundamental concern that the governance of homelessness response efforts in Sacramento County should be determined locally, not established in state law. We are operating in a highly dynamic environment regarding homelessness policy, funding, and governance at the federal, state, and local levels. At the same time, Sacramento County, our city partners, the Continuum of Care, and other stakeholders have made significant progress toward developing a regional coordination model that we believe will help move the needle on addressing this critical issue while reflecting local needs and priorities."
FISCAL COMMENTS
According to the Assembly Appropriations Committee:
Ongoing local costs of an unknown amount, but likely in the mid-hundreds of thousands to low millions of dollars annually to Sacramento County and the cities of Sacramento, Elk Grove, Rancho Cordova, Citrus Heights, and Folsom, collectively, for staffing and other resources required to form and carry out the required duties of the JPA, pursuant to this bill.
Because this bill mandates the formation of a JPA, and requires its members to perform certain duties, the bill creates a reimbursable state mandate. This means any costs incurred by the JPA, including costs for tasks previously performed by city or county staff at non-state expense, are potentially reimbursable by the state General Fund, subject to a determination by the Commission on State Mandates.
VOTES
SENATE FLOOR: 36-0-4
YES: Archuleta, Arreguín, Ashby, Becker, Blakespear, Cabaldon, Caballero, Cervantes, Choi, Cortese, Durazo, Gonzalez, Grayson, Grove, Hurtado, Jones, Laird, Limón, McGuire, McNerney, Menjivar, Niello, Ochoa Bogh, Padilla, Pérez, Richardson, Rubio, Seyarto, Smallwood-Cuevas, Stern, Strickland, Umberg, Valladares, Wahab, Weber Pierson, Wiener
ABS, ABST OR NV: Allen, Alvarado-Gil, Dahle, Reyes
ASM HOUSING AND COMMUNITY DEVELOPMENT: 11-0-1
YES: Haney, Ávila Farías, Caloza, Garcia, Kalra, Lee, Ward, Ta, Tangipa, Wicks, Wilson
ABS, ABST OR NV: Patterson
ASM LOCAL GOVERNMENT: 9-0-1
YES: Carrillo, Ta, Pacheco, Ramos, Ransom, Blanca Rubio, Stefani, Ward, Wilson
ABS, ABST OR NV: Johnson
ASM APPROPRIATIONS: 13-1-1
YES: Wicks, Arambula, Calderon, Caloza, Fong, Mark González, Krell, Pacheco, Pellerin, Sharp-Collins, Solache, Ta, Tangipa
NO: Dixon
ABS, ABST OR NV: Hoover
UPDATED
VERSION: August 20, 2026
CONSULTANT: Lisa Engel / H. & C.D. / (916) 319-2085 FN: 0003968
SENATE THIRD READING
STR Bill Id:SB 802
Author:(Ashby)
As Amended Ver:August 21, 2026
Majority vote
SUMMARY
Requires the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom, by July 1, 2028, to participate in and work together to establish the Sacramento Regional Housing and Homelessness (SHRA) Joint Powers Authority (JPA) designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento.
- Makes various legislative findings.
- Requires the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom to do all of the following:
- Bring elected officials from across the region together through the JPA that provides program and policy guidance and establishes shared goals to improve the efficacy of the region's homeless response system and affordable housing resources;
- Bring the oversight and functions of the Sacramento City and County Continuum of Care (CoC) under the jurisdiction of the JPA, while maintaining the federally required composition and integrity of the CoC; and
- Work collaboratively with the SHRA to develop goals and action plans that address homelessness, affordable housing, and advance a true housing continuum regionally.
- Requires the JPA to do all of the following:
- Set system performance goals and, at a minimum, regularly review state and federal performance metrics to address housing and homelessness;
- Collaborate to update the regionally coordinated homelessness action plan as necessary and oversee implementation of the plan;
- Coordinate on delivery of prevention, outreach, shelter, and housing programs, with local jurisdictions retaining oversight, accountability, and control over land use decisions and programs administered by the local jurisdictions;
- Explore better integration with other systems working in homelessness and housing, including county-administered behavioral health, child and adult welfare, and social safety net services;
- Align regional funding for housing and homelessness, with local jurisdictions retaining final control and approval over local, state, and federal funds eligible to be administered by local jurisdictions;
- Comply with the requirements set forth in the Ralph M. Brown Act;
- Be designated as the federally recognized CoC;
- Provide direction to the CoC lead agency;
- Provide oversight over CoC functions, including all of the following:
- The Homeless Management Information System (HMIS);
- The Coordinated Access System (CES); and
- The Point-in-Time Count.
- Develop a committee structure to ensure community voice continues to be incorporated;
- Include the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom in the JPA;
- Be developed as a formal, robust JPA;
- Have a board that consists solely of the elected officials representing the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom;
- Target both housing and homelessness;
- Incorporate meaningful resources to provide services;
- Have a governance structure that includes the lead entities, respectively, from both the CoC and SHRA; and
- Hold monthly public meetings and incorporate public participation.
- Provides that a local jurisdiction that is a member of the JPA retains oversight and accountability over funding decisions, projects, and programs administered by the local jurisdiction, including contracting for prevention, outreach, sheltering, and housing.
Major Provisions
COMMENTS
Continuum of Care (CoC): The Department of Housing and Urban Development (HUD) developed the concept of the CoC in 1995 through its annual competition for homeless assistance grants. The CoC is envisioned as a local network that plans and coordinates funding for services and housing to assist homeless individuals and families. Each community is required to designate a CoC to receive federal funds. The CoC is designed to: promote a community wide commitment to the goal of ending homelessness, provide funding for efforts to rapidly rehouse homeless individuals and families, promote access to and effective use of mainstream programs, and optimize self-sufficiency among individuals and families experiencing homelessness.
Federal regulations require the creation of a CoC governing board, but do not dictate the board membership except that it must be representative of the community and have at least one person with lived experience of homelessness. The makeup of the membership and the board are key to the CoC's competitiveness for federal funding. Federal funding is tied to how the CoC board and membership are structured, meaning decisions regarding board makeup will impact the competitiveness of the community for funding. The Sacramento City and County CoC (Sacramento CoC) has a 30-member board which includes representation from local government, homeless services providers, people with lived experience, and the broader community of businesses, advocates, and faith-based groups.
A CoC is responsible for designating a lead entity to manage the HMIS. HMIS is a shared localized database used by organizations that provide services to people who are homeless or at risk of becoming homeless. One of the main functions of the HMIS is to connect community agencies with one another, allowing direct service staff to know more about what is happening with their clients and where else they are obtaining services. A CoC is also required to identify a collaborative applicant to apply for a grant for CoC planning funds. In Sacramento, the collaborative applicant is Sacramento Steps Forward (SSF).
Sacramento Steps Forward (SSF): SSF is a non-profit organization that acts as the collaborative applicant for Sacramento's CoC and serves as the lead agency for Sacramento's CoC, convening a board of nonprofit providers, advocates, partners with lived expertise, City and County, and public and private sector partners, and acts as the HMIS Lead. As the local HMIS Lead, SSF manages the database for Sacramento and Yolo Counties, granting access to the system, maintaining data quality, and providing regular reports to HUD. The use of HMIS is mandated by Congress for any CoCs who receive federal funding to address homelessness in their communities. Access to HMIS is strictly monitored, requiring background checks and security measures to protect the confidential client data stored in the system.
This bill would require the creation of a JPA made up of the City and County of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom and designate the JPA as the federally recognized CoC. The JPA would also provide direction to the CoC lead agency and provide oversight to the CoC regarding HMIS, CES, and the point-in-time count. While this bill designated the JPA as the CoC, federal regulation requires the CoC to designate the collaborative applicant, the entity authorized to apply for CoC planning funding. To comply with federal regulations, the existing CoC board would need to vote to change the collaborative applicant from SSF to the new JPA.
Why is it hard to solve homelessness? Homelessness is the top issue among voters and one of the hardest policy issues to address. In most communities, the resources needed to solve homelessness – the homeless response system – are siloed among three major parties – cities, counties, and CoCs. Cities tend to be home to more people experiencing homelessness because people have easier access to amenities and resources. Yet, cities do not control much of the funding that is needed to get people into housing, including vouchers, mental health services, and connections to health care. Cities have land use authority and can site more housing, particularly affordable housing and permanent supportive housing, but they still have to seek help from their county to get project-based vouchers and funding for wrap-around services for people living in supportive housing that need extra help to stay housed. Counties have funding for mental health services through the Behavioral Health Services Act – recent legislation requires that 30% of those funds go to support people accessing and maintaining housing through rental assistance and other supports. CoCs have funding to address homelessness and maintain the CES, which matches people experiencing homelessness with services and hopefully a permanent housing unit. While the CoC is responsible for collecting and maintaining the data around homelessness and is the entry point for many people experiencing homelessness into services and connecting to housing, they lack any ability to direct County, SHRA, or city resources. SHRA, the City of Rancho Cordova, the City of Elk Grove, the City of Citrus Heights, the City of Sacramento, and Sacramento County currently sit on the CoC. This entire system lacks adequate resources to house the people who are currently homeless and the resources to help people who are falling into homelessness to stay housed.
Sacramento is not unique in its inability to establish a structure that resolves all of these challenges and aligns resources. Los Angeles County and the City of Los Angeles currently have a JPA, but are in the process of dissolving that entity to create a new structure. Communities around the state are struggling to figure out how to coordinate resources to adequately serve people experiencing homelessness.
The state has provided funds through the Homeless Housing, Assistance and Prevention (HHAP) grant program over the last seven years to help big cities, counties, and CoCs respond to homelessness, with a focus on unsheltered homelessness, but this funding is inadequate to resolve the problem. HHAP has evolved over the last few years to push applicants to develop a coordinated strategy to address homelessness. HHAP requires applicants – CoCs, big cities and counties – to develop a Regional Plan to address homelessness. SSF developed the plan, and though all of the cities within Sacramento County participated, none of the cities not receiving funding from HHAP brought the plan before their City Councils to be ratified.
Local Discussions: A 2022-23 Sacramento County Grand Jury Report lays out past efforts to create a coordinated response to homelessness in the county. In December 2019, the County Board of Supervisors and Sacramento City Council passed resolutions to form a JPA intended to resolve homelessness, but no JPA was established. In 2011, the Board of Supervisors and Sacramento City Council passed a resolution endorsing SSF as the Lead Agency to monitor and coordinate homelessness in the county. In November 2022, Sacramento County voters passed Measure O to require the city and county of Sacramento to approve a legally binding partnership agreement to improve the homelessness crisis. The Grand Jury Report laid out the challenges of addressing homelessness through the siloed system in Sacramento and recommended the creation of a JPA governed by elected officials in the county.
In December 2023, a consulting firm commissioned by SSF and the county identified ways to better align and engage local partners and researched national governance models to develop a report that includes local and national landscape assessments and provides options for alternative organizational approaches to shared governance. The consultants provided several options, based on models that have worked in other communities, which will help to inform what the county presents to the BOS in August. These include:
"Collective Impact Model – A revision of the current structure to advance regional goals by establishing an overarching and revised Partnership Agreement to redefine roles and restructure board under a revised collective impact framework with SSF functioning as the backbone agency.
Regional Governance – This redefines the governance structure under a JPA which designates a distinct entity the JPA responsible for acting as a single representative for ending homelessness in the region. The JPA defines the scope of the JPA and the roles and authority. The JPA can be developed as a new, independent entity or within an existing government body."
In beginning of June 2026, the County of Sacramento and the Cities of Sacramento, Elk Grove, Folsom, Citrus Heights, Rancho Cordova, and Galt signed a letter of intent to signal their shared commitment to building a more coordinated, effective regional approach to housing and homelessness. The Letter of Intent states that the participating jurisdictions will come together to build a new regional partnership model designed to make a meaningful difference for people experiencing homelessness. It will: "1) bring elected officials from across the region together through a public, Brown Act compliant governing body that provides program and policy guidance and establishes shared goals to improve the efficacy of the region’s homeless response system and affordable housing resources, and 2) bring the oversight and functions of the Sacramento City and County Continuum of Care (CoC) under the new governing body."
The Letter of Intent does not state that the mechanism for coordination will be a JPA. It does include a description of the activities and goals of the new government body, including that describing the functions of the CoC without stating the new entity will be the CoC. The functions of the new entity include:
- Be the final decision-making body on federal and state CoC funding;
- Provide direction to the CoC lead agency;
- Provide oversight over CoC functions including the HMIS, CES, and Point-in-Time Count;
- Develop a committee structure to ensure community voice continues to be incorporated.
The letter states that each jurisdiction has identified members of its governing board or council to take part in this first phase of planning. The CoC Board is expected to appoint its members at the June Board meeting.
Joint Exercise of Powers Act: Joint powers are exercised when public officials of two or more agencies agree to establish a joint approach or create another legal entity to work on a common problem, fund a project, or act as a representative body for a specific activity. All manners of federal, state, and local public agencies can agree to exercise joint powers. A California agency can even share joint powers with an agency in another state. The common thread is that a confederation of governments works together and shares resources for mutual support or common actions. The government agencies that participate in joint powers are called member agencies, and a JPA can only exercise powers that each member agency independently possesses.
A joint powers agreement is a formal, legal agreement between two or more public agencies that wish to exercise joint powers. Some joint powers agreements are administered by one of the participating agencies. Others are administered by a new, legally independent government entity (called a joint powers agency or a joint powers authority – both referred to as a JPA) that the member agencies create. The new entity need not even call itself a JPA. JPAs are not special districts, although such agencies can enter into joint powers agreements.
As tools for collaboration, JPAs are used for a variety of purposes. By sharing resources and combining services, the member agencies – and their taxpayers – save time and money. There are no official categories for the types of JPAs, but their services generally fall into five broad groups: general public services, financial services, insurance pooling and purchasing discounts, planning services, and regulatory enforcement.
Public agencies authorized to enter into joint powers agreements include "the federal government or any federal department or agency, this state, another state or any state department or agency, a county, county board of education, county superintendent of schools, city, public corporation, public district, regional transportation commission of this state or another state, a federally recognized Indian tribe, or any joint powers authority…"
Given JPA’s inherent design as voluntary agreements among participating agencies, and the existence of JPA law that already authorizes interested agencies to create JPAs, the Legislature has not generally authorized or required the creation or alteration of specific JPAs. However, in recent years, the Legislature has reviewed and/or approved the creation of JPAs for specific purposes, some to address the ongoing housing crisis in the state. For example:
- AB 2593 (McCarty) of 2024 would have authorized a local agency within the County of Sacramento to enter into a joint powers agreement with any other local agency to operate a joint powers authority to assist people experiencing homelessness. AB 2593 died on the Senate inactive file. AB 1086 (McCarty) of 2023 was similar to AB 2593. AB 1086 was referred to the Assembly Local Government Committee but was never heard.
- SB 20 (Rubio), Chapter 147, Statutes of 2023, allowed all local agencies to create regional housing trusts to fund housing to assist people experiencing homelessness and persons and families of extremely low-, very low-, and low-income within their jurisdictions.
According to the Author
"For over a decade, multiple Sacramento County Grand Jury reports, including in 2019 and again in 2023, have warned that the absence of a regional authority and coherent organizational structure makes it virtually impossible to use valuable resources effectively. The 2023 report described Sacramento's homelessness response as "disjointed, lacking accountability, and often reactive rather than proactive," highlighting how eight separate government-funded entities operate with siloed data, conflicting goals, and inconsistent planning.
SB 802 responds to this long-standing call for change by establishing the Sacramento Area Housing and Homelessness Agency, a new Joint Powers Authority. This single, coordinated agency will ensure shared decision-making, strengthen accountability, and better leverage local, state, and federal resources to address homelessness and housing insecurity across Sacramento County. All cities in the county will have the opportunity to participate and weigh in through representation on the agency’s governing board. Importantly, the agency will also include people with lived experience of homelessness, along with technical experts, on its Advisory Committee, ensuring that the voices of those directly impacted help guide local solutions.
By creating a regional structure with clear governance, broad city participation, community representation, and oversight, SB 802 delivers the accountability, collaboration, and leadership we need to address homelessness and housing more effectively and efficiently."
Arguments in Support
A coalition writes in support, "Over the past two decades, multiple oversight reviews have documented Sacramento's repeated failures to establish a Joint Powers Authority. In 2019, the Sacramento County Grand Jury Final Report warned of the dysfunction caused by the absence of a coherent organizational structure. Despite this clear warning, the 2023 Grand Jury report found little systemic progress, describing Sacramento's efforts as "disjointed and lacking accountability." That report again emphasized the lack of a regional authority as a key barrier, with duplicative efforts, siloed data systems, and inconsistent strategic planning across jurisdictions. It is worth noting that the City and County had previously signed a binding agreement to work together on a coordinated regional response to homelessness, a legally binding agreement that remains unfulfilled. Sacramento does not need another roundtable or press release - it deserves a system that delivers results. SB 802 provides that structure: a regional entity with the authority and accountability to align funding, data, and decision-making around a shared, outcome-driven plan to end homelessness."
Arguments in Opposition
Sacramento County is opposed to the state requiring the creation of a JPA, though they are in the process of working with the City of Sacramento and other cities in the county to create a regional entity that will coordinate on homelessness. The County of Sacramento writes, "Although the June 15 amendments make changes to the bill to remove some of the funding concerns, they do not alter our fundamental concern that the governance of homelessness response efforts in Sacramento County should be determined locally, not established in state law. We are operating in a highly dynamic environment regarding homelessness policy, funding, and governance at the federal, state, and local levels. At the same time, Sacramento County, our city partners, the Continuum of Care, and other stakeholders have made significant progress toward developing a regional coordination model that we believe will help move the needle on addressing this critical issue while reflecting local needs and priorities."
FISCAL COMMENTS
According to the Assembly Appropriations Committee:
Ongoing local costs of an unknown amount, but likely in the mid-hundreds of thousands to low millions of dollars annually to Sacramento County and the cities of Sacramento, Elk Grove, Rancho Cordova, Citrus Heights, and Folsom, collectively, for staffing and other resources required to form and carry out the required duties of the JPA, pursuant to this bill.
Because this bill mandates the formation of a JPA, and requires its members to perform certain duties, the bill creates a reimbursable state mandate. This means any costs incurred by the JPA, including costs for tasks previously performed by city or county staff at non-state expense, are potentially reimbursable by the state General Fund, subject to a determination by the Commission on State Mandates.
VOTES
SENATE FLOOR: 36-0-4
YES: Archuleta, Arreguín, Ashby, Becker, Blakespear, Cabaldon, Caballero, Cervantes, Choi, Cortese, Durazo, Gonzalez, Grayson, Grove, Hurtado, Jones, Laird, Limón, McGuire, McNerney, Menjivar, Niello, Ochoa Bogh, Padilla, Pérez, Richardson, Rubio, Seyarto, Smallwood-Cuevas, Stern, Strickland, Umberg, Valladares, Wahab, Weber Pierson, Wiener
ABS, ABST OR NV: Allen, Alvarado-Gil, Dahle, Reyes
ASM HOUSING AND COMMUNITY DEVELOPMENT: 11-0-1
YES: Haney, Ávila Farías, Caloza, Garcia, Kalra, Lee, Ward, Ta, Tangipa, Wicks, Wilson
ABS, ABST OR NV: Patterson
ASM LOCAL GOVERNMENT: 9-0-1
YES: Carrillo, Ta, Pacheco, Ramos, Ransom, Blanca Rubio, Stefani, Ward, Wilson
ABS, ABST OR NV: Johnson
ASM APPROPRIATIONS: 13-1-1
YES: Wicks, Arambula, Calderon, Caloza, Fong, Mark González, Krell, Pacheco, Pellerin, Sharp-Collins, Solache, Ta, Tangipa
NO: Dixon
ABS, ABST OR NV: Hoover
UPDATED
VERSION: August 21, 2026
CONSULTANT: Lisa Engel / H. & C.D. / (916) 319-2085 FN: 0003996
SENATE THIRD READING
STR Bill Id:SB 802
Author:(Ashby)
As Amended Ver:June 15, 2026
Majority vote
SUMMARY
Requires the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom to participate in and work together to establish the Sacramento Regional Housing and Homelessness (SHRA) Joint Powers Authority (JPA) designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento.
Major Provisions
- Makes various legislative findings.
- Requires the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom to do all of the following:
- Bring elected officials from across the region together through the JPA that provides program and policy guidance and establishes shared goals to improve the efficacy of the region′s homeless response system and affordable housing resources;
- Bring the oversight and functions of the Sacramento City and County Continuum of Care (CoC) under the jurisdiction of the JPA, while maintaining the federally required composition and integrity of the CoC; and
- Work collaboratively with the SHRA to develop goals and action plans that address homelessness, affordable housing, and advance a true housing continuum regionally.
- Requires the JPA to do all of the following:
- Set system performance goals and, at a minimum, regularly review state and federal performance metrics to address housing and homelessness;
- Collaborate to update the regionally coordinated homelessness action plan as necessary and oversee implementation of the plan;
- Coordinate on delivery of prevention, outreach, shelter, and housing programs, with local jurisdictions retaining oversight, accountability, and control over land use decisions and programs administered by the local jurisdictions;
- Explore better integration with other systems working in homelessness and housing, including county-administered behavioral health, child and adult welfare, and social safety net services;
- Align regional funding for housing and homelessness, with local jurisdictions retaining final control and approval over local, state, and federal funds eligible to be administered by local jurisdictions;
- Comply with the requirements set forth in the Ralph M. Brown Act;
- Be designated as the federally recognized CoC;
- Provide direction to the CoC lead agency;
- Provide oversight over CoC functions, including all of the following:
- The Homeless Management Information System (HMIS);
- The Coordinated Access System (CES); and
- The Point-in-Time Count.
- Develop a committee structure to ensure community voice continues to be incorporated;
- Include the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom in the JPA;
- Be developed as a formal, robust JPA;
- Have a board that consists solely of the elected officials representing the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom;
- Target both housing and homelessness;
- Incorporate meaningful resources to provide services;
- Have a governance structure that includes the lead entities, respectively, from both the CoC and SHRA; and
- Hold monthly public meetings and incorporate public participation.
- Provides that a local jurisdiction that is a member of the JPA retains oversight and accountability over funding decisions, projects, and programs administered by the local jurisdiction, including contracting for prevention, outreach, sheltering, and housing.
COMMENTS
Continuum of Care (CoC): The Department of Housing and Urban Development (HUD) developed the concept of the CoC in 1995 through its annual competition for homeless assistance grants. The CoC is envisioned as a local network that plans and coordinates funding for services and housing to assist homeless individuals and families. Each community is required to designate a CoC to receive federal funds. The CoC is designed to: promote a community wide commitment to the goal of ending homelessness, provide funding for efforts to rapidly rehouse homeless individuals and families, promote access to and effective use of mainstream programs, and optimize self-sufficiency among individuals and families experiencing homelessness.
Federal regulations require the creation of a CoC governing board, but do not dictate the board membership except that it must be representative of the community and have at least one person with lived experience of homelessness. The makeup of the membership and the board are key to the CoC′s competitiveness for federal funding. Federal funding is tied to how the CoC board and membership are structured, meaning decisions regarding board makeup will impact the competitiveness of the community for funding. The Sacramento City and County CoC (Sacramento CoC) has a 30-member board which includes representation from local government, homeless services providers, people with lived experience, and the broader community of businesses, advocates, and faith-based groups.
A CoC is responsible for designating a lead entity to manage the HMIS. HMIS is a shared localized database used by organizations that provide services to people who are homeless or at risk of becoming homeless. One of the main functions of the HMIS is to connect community agencies with one another, allowing direct service staff to know more about what is happening with their clients and where else they are obtaining services. A CoC is also required to identify a collaborative applicant to apply for a grant for CoC planning funds. In Sacramento, the collaborative applicant is Sacramento Steps Forward (SSF).
Sacramento Steps Forward (SSF): SSF is a non-profit organization that acts as the collaborative applicant for Sacramento′s CoC and serves as the lead agency for Sacramento′s CoC, convening a board of nonprofit providers, advocates, partners with lived expertise, City and County, and public and private sector partners, and acts as the HMIS Lead. As the local HMIS Lead, SSF manages the database for Sacramento and Yolo Counties, granting access to the system, maintaining data quality, and providing regular reports to HUD. The use of HMIS is mandated by Congress for any CoCs who receive federal funding to address homelessness in their communities. Access to HMIS is strictly monitored, requiring background checks and security measures to protect the confidential client data stored in the system.
This bill would require the creation of a JPA made up of the City and County of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom and designate the JPA as the federally recognized CoC. The JPA would also provide direction to the CoC lead agency and provide oversight to the CoC regarding HMIS, CES, and the point-in-time count. While this bill designated the JPA as the CoC, federal regulation requires the CoC to designate the collaborative applicant, the entity authorized to apply for CoC planning funding. To comply with federal regulations, the existing CoC board would need to vote to change the collaborative applicant from SSF to the new JPA.
Why is it hard to solve homelessness? Homelessness is the top issue among voters and one of the hardest policy issues to address. In most communities, the resources needed to solve homelessness – the homeless response system – are siloed among three major parties – cities, counties, and CoCs. Cities tend to be home to more people experiencing homelessness because people have easier access to amenities and resources. Yet, cities do not control much of the funding that is needed to get people into housing, including vouchers, mental health services, and connections to health care. Cities have land use authority and can site more housing, particularly affordable housing and permanent supportive housing, but they still have to seek help from their county to get project-based vouchers and funding for wrap-around services for people living in supportive housing that need extra help to stay housed. Counties have funding for mental health services through the Behavioral Health Services Act – recent legislation requires that 30% of those funds go to support people accessing and maintaining housing through rental assistance and other supports. CoCs have funding to address homelessness and maintain the CES, which matches people experiencing homelessness with services and hopefully a permanent housing unit. While the CoC is responsible for collecting and maintaining the data around homelessness and is the entry point for many people experiencing homelessness into services and connecting to housing, they lack any ability to direct County, SHRA, or city resources. SHRA, the City of Rancho Cordova, the City of Elk Grove, the City of Citrus Heights, the City of Sacramento, and Sacramento County currently sit on the CoC. This entire system lacks adequate resources to house the people who are currently homeless and the resources to help people who are falling into homelessness to stay housed.
Sacramento is not unique in its inability to establish a structure that resolves all of these challenges and aligns resources. Los Angeles County and the City of Los Angeles currently have a JPA, but are in the process of dissolving that entity to create a new structure. Communities around the state are struggling to figure out how to coordinate resources to adequately serve people experiencing homelessness.
The state has provided funds through the Homeless Housing, Assistance and Prevention (HHAP) grant program over the last seven years to help big cities, counties, and CoCs respond to homelessness, with a focus on unsheltered homelessness, but this funding is inadequate to resolve the problem. HHAP has evolved over the last few years to push applicants to develop a coordinated strategy to address homelessness. HHAP requires applicants – CoCs, big cities and counties – to develop a Regional Plan to address homelessness. SSF developed the plan, and though all of the cities within Sacramento County participated, none of the cities not receiving funding from HHAP brought the plan before their City Councils to be ratified.
Local Discussions: A 2022-23 Sacramento County Grand Jury Report lays out past efforts to create a coordinated response to homelessness in the county. In December 2019, the County Board of Supervisors and Sacramento City Council passed resolutions to form a JPA intended to resolve homelessness, but no JPA was established. In 2011, the Board of Supervisors and Sacramento City Council passed a resolution endorsing SSF as the Lead Agency to monitor and coordinate homelessness in the county. In November 2022, Sacramento County voters passed Measure O to require the city and county of Sacramento to approve a legally binding partnership agreement to improve the homelessness crisis. The Grand Jury Report laid out the challenges of addressing homelessness through the siloed system in Sacramento and recommended the creation of a JPA governed by elected officials in the county.
In December 2023, a consulting firm commissioned by SSF and the county identified ways to better align and engage local partners and researched national governance models to develop a report that includes local and national landscape assessments and provides options for alternative organizational approaches to shared governance. The consultants provided several options, based on models that have worked in other communities, which will help to inform what the county presents to the BOS in August. These include:
″Collective Impact Model – A revision of the current structure to advance regional goals by establishing an overarching and revised Partnership Agreement to redefine roles and restructure board under a revised collective impact framework with SSF functioning as the backbone agency.
Regional Governance – This redefines the governance structure under a JPA which designates a distinct entity the JPA responsible for acting as a single representative for ending homelessness in the region. The JPA defines the scope of the JPA and the roles and authority. The JPA can be developed as a new, independent entity or within an existing government body.″
In beginning of June 2026, the County of Sacramento and the Cities of Sacramento, Elk Grove, Folsom, Citrus Heights, Rancho Cordova, and Galt signed a letter of intent to signal their shared commitment to building a more coordinated, effective regional approach to housing and homelessness. The Letter of Intent states that the participating jurisdictions will come together to build a new regional partnership model designed to make a meaningful difference for people experiencing homelessness. It will: ″1) bring elected officials from across the region together through a public, Brown Act compliant governing body that provides program and policy guidance and establishes shared goals to improve the efficacy of the region′s homeless response system and affordable housing resources, and 2) bring the oversight and functions of the Sacramento City and County Continuum of Care (CoC) under the new governing body.″
The Letter of Intent does not state that the mechanism for coordination will be a JPA. It does include a description of the activities and goals of the new government body, including that describing the functions of the CoC without stating the new entity will be the CoC. The functions of the new entity include:
- Be the final decision-making body on federal and state CoC funding;
- Provide direction to the CoC lead agency;
- Provide oversight over CoC functions including the HMIS, CES, and Point-in-Time Count;
- Develop a committee structure to ensure community voice continues to be incorporated.
The letter states that each jurisdiction has identified members of its governing board or council to take part in this first phase of planning. The CoC Board is expected to appoint its members at the June Board meeting.
Joint Exercise of Powers Act: Joint powers are exercised when public officials of two or more agencies agree to establish a joint approach or create another legal entity to work on a common problem, fund a project, or act as a representative body for a specific activity. All manner of federal, state, and local public agencies can agree to exercise joint powers. A California agency can even share joint powers with an agency in another state. The common thread is that a confederation of governments works together and shares resources for mutual support or common actions. The government agencies that participate in joint powers are called member agencies, and a JPA can only exercise powers that each member agency independently possesses.
A joint powers agreement is a formal, legal agreement between two or more public agencies that wish to exercise joint powers. Some joint powers agreements are administered by one of the participating agencies. Others are administered by a new, legally independent government entity (called a joint powers agency or a joint powers authority – both referred to as a JPA) that the member agencies create. The new entity need not even call itself a JPA. JPAs are not special districts, although such agencies can enter into joint powers agreements.
As tools for collaboration, JPAs are used for a variety of purposes. By sharing resources and combining services, the member agencies – and their taxpayers – save time and money. There are no official categories for the types of JPAs, but their services generally fall into five broad groups: general public services, financial services, insurance pooling and purchasing discounts, planning services, and regulatory enforcement.
Public agencies authorized to enter into joint powers agreements include ″the federal government or any federal department or agency, this state, another state or any state department or agency, a county, county board of education, county superintendent of schools, city, public corporation, public district, regional transportation commission of this state or another state, a federally recognized Indian tribe, or any joint powers authority…″
Given JPA′s inherent design as voluntary agreements among participating agencies, and the existence of JPA law that already authorizes interested agencies to create JPAs, the Legislature has not generally authorized or required the creation or alteration of specific JPAs. However, in recent years, the Legislature has reviewed and/or approved the creation of JPAs for specific purposes, some to address the ongoing housing crisis in the state. For example:
- AB 2593 (McCarty) of 2024 would have authorized a local agency within the County of Sacramento to enter into a joint powers agreement with any other local agency to operate a joint powers authority to assist people experiencing homelessness. AB 2593 died on the Senate inactive file. AB 1086 (McCarty) of 2023 was similar to AB 2593. AB 1086 was referred to the Assembly Local Government Committee but was never heard.
- SB 20 (Rubio), Chapter 147, Statutes of 2023, allowed all local agencies to create regional housing trusts to fund housing to assist people experiencing homelessness and persons and families of extremely low-, very low-, and low-income within their jurisdictions.
According to the Author
″For over a decade, multiple Sacramento County Grand Jury reports, including in 2019 and again in 2023, have warned that the absence of a regional authority and coherent organizational structure makes it virtually impossible to use valuable resources effectively. The 2023 report described Sacramento′s homelessness response as ″disjointed, lacking accountability, and often reactive rather than proactive,″ highlighting how eight separate government-funded entities operate with siloed data, conflicting goals, and inconsistent planning.
SB 802 responds to this long-standing call for change by establishing the Sacramento Area Housing and Homelessness Agency, a new Joint Powers Authority. This single, coordinated agency will ensure shared decision-making, strengthen accountability, and better leverage local, state, and federal resources to address homelessness and housing insecurity across Sacramento County. All cities in the county will have the opportunity to participate and weigh in through representation on the agency′s governing board. Importantly, the agency will also include people with lived experience of homelessness, along with technical experts, on its Advisory Committee, ensuring that the voices of those directly impacted help guide local solutions.
By creating a regional structure with clear governance, broad city participation, community representation, and oversight, SB 802 delivers the accountability, collaboration, and leadership we need to address homelessness and housing more effectively and efficiently.″
Arguments in Support
A coalition writes in support, ″Over the past two decades, multiple oversight reviews have documented Sacramento′s repeated failures to establish a Joint Powers Authority. In 2019, the Sacramento County Grand Jury Final Report warned of the dysfunction caused by the absence of a coherent organizational structure. Despite this clear warning, the 2023 Grand Jury report found little systemic progress, describing Sacramento′s efforts as ″disjointed and lacking accountability.″ That report again emphasized the lack of a regional authority as a key barrier, with duplicative efforts, siloed data systems, and inconsistent strategic planning across jurisdictions. It is worth noting that the City and County had previously signed a binding agreement to work together on a coordinated regional response to homelessness, a legally binding agreement that remains unfulfilled. Sacramento does not need another roundtable or press release - it deserves a system that delivers results. SB 802 provides that structure: a regional entity with the authority and accountability to align funding, data, and decision-making around a shared, outcome-driven plan to end homelessness.″
Arguments in Opposition
Sacramento County is opposed to the state requiring the creation of a JPA, though they are in the process of working with the City of Sacramento and other cities in the county to create a regional entity that will coordinate on homelessness. The County of Sacramento writes, ″Although the June 15 amendments make changes to the bill to remove some of the funding concerns, they do not alter our fundamental concern that the governance of homelessness response efforts in Sacramento County should be determined locally, not established in state law. We are operating in a highly dynamic environment regarding homelessness policy, funding, and governance at the federal, state, and local levels. At the same time, Sacramento County, our city partners, the Continuum of Care, and other stakeholders have made significant progress toward developing a regional coordination model that we believe will help move the needle on addressing this critical issue while reflecting local needs and priorities.″
FISCAL COMMENTS
According to the Assembly Appropriations Committee:
Ongoing local costs of an unknown amount, but likely in the mid-hundreds of thousands to low millions of dollars annually to Sacramento County and the cities of Sacramento, Elk Grove, Rancho Cordova, Citrus Heights, and Folsom, collectively, for staffing and other resources required to form and carry out the required duties of the JPA, pursuant to this bill.
Because this bill mandates the formation of a JPA, and requires its members to perform certain duties, the bill creates a reimbursable state mandate. This means any costs incurred by the JPA, including costs for tasks previously performed by city or county staff at non-state expense, are potentially reimbursable by the state General Fund, subject to a determination by the Commission on State Mandates.
VOTES
SENATE FLOOR: 36-0-4
YES: Archuleta, Arreguín, Ashby, Becker, Blakespear, Cabaldon, Caballero, Cervantes, Choi, Cortese, Durazo, Gonzalez, Grayson, Grove, Hurtado, Jones, Laird, Limón, McGuire, McNerney, Menjivar, Niello, Ochoa Bogh, Padilla, Pérez, Richardson, Rubio, Seyarto, Smallwood-Cuevas, Stern, Strickland, Umberg, Valladares, Wahab, Weber Pierson, Wiener
ABS, ABST OR NV: Allen, Alvarado-Gil, Dahle, Reyes
ASM HOUSING AND COMMUNITY DEVELOPMENT: 11-0-1
YES: Haney, Ávila Farías, Caloza, Garcia, Kalra, Lee, Ward, Ta, Tangipa, Wicks, Wilson
ABS, ABST OR NV: Patterson
ASM LOCAL GOVERNMENT: 9-0-1
YES: Carrillo, Ta, Pacheco, Ramos, Ransom, Blanca Rubio, Stefani, Ward, Wilson
ABS, ABST OR NV: Johnson
ASM APPROPRIATIONS: 13-1-1
YES: Wicks, Arambula, Calderon, Caloza, Fong, Mark González, Krell, Pacheco, Pellerin, Sharp-Collins, Solache, Ta, Tangipa
NO: Dixon
ABS, ABST OR NV: Hoover
UPDATED
VERSION: June 15, 2026
CONSULTANT: Lisa Engel / H. & C.D. / (916) 319-2085 FN: 0003581
Date of Hearing: August 5, 2026
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Buffy Wicks, Chair
SBPCA Bill Id:SB 802
Author:(Ashby) – As Amended Ver:June 15, 2026
Policy Committee: | Housing and Community Development | Vote: | 11 - 0 |
Local Government | 9 - 0 | ||
|
|
Urgency: No State Mandated Local Program: Yes Reimbursable: Yes
SUMMARY:
This bill requires the County of Sacramento and the cities of Sacramento, Elk Grove, Rancho Cordova, Citrus Heights, and Folsom to participate in and work together to establish a joint powers authority (JPA) designed to address housing insecurity and homelessness across the County of Sacramento.
Specifically, this bill:
- Requires the County of Sacramento and the cities of Sacramento, Elk Grove, Rancho Cordova, Citrus Heights, and Folsom to do the following:
- Bring elected officials together through the JPA that provides program and policy guidance and establishes shared goals to improve the efficacy of the region’s homeless response system and affordable housing resources.
- Bring the oversight and functions of the Sacramento City and County Continuum of Care (CoC) under the jurisdiction of the JPA.
- Work collaboratively with the Sacramento Housing and Redevelopment Authority (SHRA).
- Specifies the structure and responsibilities of the JPA, including the JPA:
- Be developed as a formal, robust JPA whose board consists solely of the elected officials representing member jurisdictions.
- Have a governance structure that includes the lead entities from both the CoC and SHRA.
- Be designated as the federally recognized CoC and provide direction to the CoC lead agency and oversight over CoC functions, including the Homeless Management Information System (HMIS), the Coordinated Access System (CAS), and the Point-in-Time Count.
- Set system performance goals; update the regionally coordinated homelessness action plan; coordinate on delivery of prevention, outreach, shelter, and housing programs; and align regional funding for housing and homelessness, among other tasks.
- Requires a local jurisdiction that is a member of the JPA to retain oversight and accountability over funding decisions, projects, and programs administered by the local jurisdiction, including contracting for prevention, outreach, sheltering, and housing.
FISCAL EFFECT:
Ongoing local costs of an unknown amount, but likely in the mid-hundreds of thousands to low millions of dollars annually to Sacramento County and the cities of Sacramento, Elk Grove, Rancho Cordova, Citrus Heights, and Folsom, collectively, for staffing and other resources required to form and carry out the required duties of the JPA, pursuant to this bill.
Because this bill mandates the formation of a JPA, and requires its members to perform certain duties, the bill creates a reimbursable state mandate. This means any costs incurred by the JPA, including costs for tasks previously performed by city or county staff at non-state expense, are potentially reimbursable by the state General Fund, subject to a determination by the Commission on State Mandates.
COMMENTS:
- Purpose. According to the author:
For over a decade multiple Sacramento County Grand Jury reports, including in 2019 and again in 2023, have warned that the absence of a regional authority and coherent organizational structure makes it virtually impossible to use valuable resources effectively. The 2023 report described Sacramento’s homelessness response as “disjointed, lacking accountability, and often reactive rather than proactive,” highlighting how eight separate government-funded entities operate with siloed data, conflicting goals, and inconsistent planning.
[This bill] responds to this long-standing call for change by establishing [a new JPA].
- Background. JPAs. Existing law, the Joint Exercise of Powers Act, authorizes two or more public agencies, by agreement, to form a JPA to exercise any power common to the contracting parties, and authorizes the agreement to set forth how the JPA will be exercised. Existing law authorizes, among other entities, the federal government, the state, any state department or agency, a county, city, or special district, a federally recognized Indian tribe, or any JPA to enter into a joint powers agreement. Any interested authorized entity may form or participate in a JPA.
Historically, the Legislature authorizes but does not require the creation of or participation in a JPA. This bill differs from prior bills authorizing regional entities by mandating specified entities form and participate in a JPA.
Sacramento Efforts. According to a 2022-23 Sacramento County Grand Jury Report, in December 2019, the Sacramento County Board of Supervisors and Sacramento City Council passed resolutions to form a JPA intended to resolve homelessness, but no JPA was established. In November 2022, Sacramento County voters passed Measure O to require the county and the City of Sacramento to approve a legally binding partnership agreement to improve the homelessness crisis. The Grand Jury Report recommended the creation of a JPA governed by elected officials in the county.
In June 2026, the County of Sacramento and the cities of Sacramento, Elk Grove, Folsom, Citrus Heights, Rancho Cordova, and Galt signed a letter of intent to signal their shared commitment to building a more coordinated, effective regional approach to housing and homelessness.
The Letter of Intent contains much of the language subsequently amended into this bill but does not require the formation of a JPA.
- Support and Opposition. A large coalition of affordable housing and homelessness advocates, including local business interests, support the bill asserting the lack of a coordinated regional structure, as documented in a 2019 Sacramento County Grand Jury Final Report, is a key component of the region’s failure to adequately address homelessness.
Sacramento County is opposed to the state requiring the creation of a JPA, asserting the governance of homelessness response efforts in Sacramento County should be determined locally, not established in state law. The county indicates it is in the process of working with the City of Sacramento and other cities in the county to create a regional entity that will coordinate on addressing homelessness.
- Prior Legislation. AB 2593 (McCarty), of the 2023-2024 Legislative Session, would have authorized a local agency within the County of Sacramento to enter into a joint powers agreement with any other local agency to operate a JPA to assist the homeless. AB 2593 died on Senate inactive file.
AB 1086 (McCarty), also of the 2023- 24 Legislative Session, was similar to AB 2593. AB 1086 was referred to Assembly Local Government Committee but never heard.
Analysis Prepared by: Jennifer Swenson / APPR. / (916) 319-2081
Date of Hearing: July 1, 2026
ASSEMBLY COMMITTEE ON LOCAL GOVERNMENT
Juan Carrillo, Chair
SBPCA Bill Id:SB 802
Author:(Ashby) – As Amended Ver:June 15, 2026
SENATE VOTE: 36-0
SUBJECT: Housing finance and development: Sacramento Regional Housing and Homelessness Joint Powers Authority Act
SUMMARY: Requires the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom to participate in and work together to establish a joint powers authority (JPA) designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento. Specifically, this bill:
- Establishes the Sacramento Regional Housing and Homelessness JPA Act.
- Requires the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom to participate in and work together to establish a JPA, pursuant to the Joint Exercise of Powers Act, designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento.
- Requires the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom together to do all of the following:
- Bring elected officials from across the region together through the JPA that provides program and policy guidance and establishes shared goals to improve the efficacy of the region’s homeless response system and affordable housing resources.
- Bring the oversight and functions of the Sacramento City and County Continuum of Care (CoC) under the jurisdiction of the JPA, while maintaining the federally required composition and integrity of the CoC.
- Work collaboratively with the Sacramento Housing and Redevelopment Authority (SHRA) to develop goals and action plans that address homelessness, affordable housing, and advance a true housing continuum regionally.
- Requires the JPA to do all of the following:
- Set system performance goals and, at a minimum, regularly review state and federal performance metrics to address housing and homelessness.
- Collaborate to update the regionally coordinated homelessness action plan as necessary and oversee implementation of the plan.
- Coordinate on delivery of prevention, outreach, shelter, and housing programs, with local jurisdictions retaining oversight, accountability, and control over land use decisions and programs administered by the local jurisdictions.
- Explore better integration with other systems working in homelessness and housing, including county-administered behavioral health, child and adult welfare, and social safety net services.
- Align regional funding for housing and homelessness, with local jurisdictions retaining final control and approval over local, state, and federal funds eligible to be administered by local jurisdictions.
- Comply with the requirements set forth in the Ralph M. Brown Act (Brown Act).
- Be designated as the federally recognized CoC.
- Provide direction to the CoC lead agency.
- Provide oversight over CoC functions, including all of the following:
- The Homeless Management Information System (HMIS).
- The Coordinated Access System (CAS).
- The Point-in-Time Count.
- Develop a committee structure to ensure community voice continues to be incorporated.
- Include the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom.
- Be developed as a formal, robust JPA.
- Have a board that consists solely of the elected officials representing the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom.
- Target both housing and homelessness.
- Incorporate meaningful resources to provide services.
- Have a governance structure that includes the lead entities, respectively, from both the CoC and SHRA.
- Hold monthly public meetings and incorporate public participation.
- Requires a local jurisdiction to retain oversight and accountability over funding decisions, projects, and programs administered by the local jurisdiction, including contracting for prevention, outreach, sheltering, and housing.
- Finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique and urgent housing and homelessness conditions in the County of Sacramento and its major cities.
- Contains a number of additional findings regarding the bill’s purpose.
- Provides that, if the Commission on State Mandates determines that this bill contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made, as specified.
EXISTING LAW:
- Allows, pursuant to the Joint Exercise of Powers Act (JPA Act), two or more public agencies by agreement to jointly exercise any power common to the contracting parties, as specified,
if authorized by their legislative or other governing bodies. (GOV § 6500 et seq.) - Defines, for purposes of the JPA Act, public agency to mean “the federal government or any federal department or agency, this state, another state or any state department or agency, a county, county board of education, county superintendent of schools, city, public corporation, public district, regional transportation commission of this state or another state, a federally recognized Indian tribe, or any joint powers authority formed pursuant to the JPA Act by any of these agencies.” (GOV § 6500)
- Defines the composition of a CoC to mean the group organized to carry out the responsibilities of the McKinney-Vento Homeless Assistance Act composed of representatives of organizations, including nonprofit homeless providers, victim service providers, faith-based organizations, governments, businesses, advocates, public housing agencies, school districts, social service providers, mental health agencies, hospitals, universities, affordable housing developers, law enforcement, organizations that serve homeless and formerly homeless veterans, and homeless and formerly homeless persons to the extent these groups are represented within the geographic area and are available to participate. (24 Code of Federal Regulations (CFR) § 578.3 CoC Definition)
- Requires the CoC to establish a board to act on behalf of the CoC through an adopted and written process. The process must be reviewed, updated, and approved by the Continuum at least once every five years. (24 CFR § 578.3 CoC Definition)
- Requires a CoC board to include representatives of the relevant organizations and of projects serving homeless subpopulations and to include at least one homeless or formerly homeless individual. (24 CFR § 578.3 CoC Definition)
- Defines a “collaborative applicant” to mean the eligible applicant that has been designated by the CoC to apply for a grant for CoC planning funds under this part on behalf of the Continuum. (24 CFR § 578.3 CoC Definition)
- Establishes the responsibilities of the CoC, including the following:
- Adopt and follow a written process to select a board to act on behalf of the CoC and requires the process to be reviewed, updated, and approved by the CoC at least once every five years.
- In consultation with the collaborative applicant and the HMIS, lead, develop, follow, and update annually a governance charter, which will include all procedures and policies needed to comply with federal requirements and with HMIS requirements as prescribed by HUD.
- Hold meetings of the full membership, with published agendas, at least semi-annually.
- Make an invitation for new members to join publicly available within the geography of the CoC at least annually.
- Appoint additional committees, subcommittees, or workgroups. (24 CFR § 578.7 CoC Definition)
FISCAL EFFECT: This bill is keyed fiscal and contains a state-mandated local program.
COMMENTS:
- Bill Summary. This bill requires the County of Sacramento and the cities of Sacramento, Elk Grove, Rancho Cordova, Citrus Heights, and Folsom to participate in and work together to establish a JPA designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento. These local governments must:
- Bring elected officials from the region together through the JPA to provide program and policy guidance and establish shared goals to improve the efficacy of the region’s homeless response system and affordable housing resources.
- Bring the oversight and functions of the CoC under the jurisdiction of the JPA, while maintaining the federally required composition and integrity of the CoC.
- Work collaboratively with SHRA to develop goals and action plans that address homelessness, affordable housing, and advance a true housing continuum regionally.
This bill requires the JPA to take a number of specified actions, including being designated as the federally recognized CoC, providing direction to the CoC lead agency, and providing oversight over CoC functions including the HMIS, the CAS, and the point-in-time count.
This bill requires a local jurisdiction to retain oversight and accountability over funding decisions, projects, and programs administered by the local jurisdiction, including contracting for prevention, outreach, sheltering, and housing.
This bill is sponsored by the author.
- Author’s Statement. According to the author, “For over a decade, multiple Sacramento County Grand Jury reports, including in 2019 and again in 2023, have warned that the absence of a regional authority and coherent organizational structure makes it virtually impossible to use valuable resources effectively. The 2023 report described Sacramento’s homelessness response as “disjointed, lacking accountability, and often reactive rather than proactive,” highlighting how eight separate government-funded entities operate with siloed data, conflicting goals, and inconsistent planning.
“SB 802 responds to this long-standing call for change by establishing the Sacramento Area Housing and Homelessness Agency, a new Joint Powers Authority. This single, coordinated agency will ensure shared decision-making, strengthen accountability, and better leverage local, state, and federal resources to address homelessness and housing insecurity across Sacramento County. All cities in the county will have the opportunity to participate and weigh in through representation on the agency’s governing board. Importantly, the agency will also include people with lived experience of homelessness, along with technical experts, on its Advisory Committee, ensuring that the voices of those directly impacted help guide local solutions.
“By creating a regional structure with clear governance, broad city participation, community representation, and oversight, SB 802 delivers the accountability, collaboration, and leadership we need to address homelessness and housing more effectively and efficiently.”
- Background. Joint powers are exercised when public officials of two or more agencies agree to establish a joint approach or create another legal entity to work on a common problem, fund a project, or act as a representative body for a specific activity. All manner of federal, state and local public agencies can agree to exercise joint powers. A California agency can even share joint powers with an agency in another state. The common thread is that a confederation of governments work together and share resources for mutual support or common actions. The government agencies that participate in joint powers are called member agencies, and a JPA can only exercise powers that each member agency independently possesses.
A joint powers agreement is a formal, legal agreement between two or more public agencies that wish to exercise joint powers. Some joint powers agreements are administered by one of the participating agencies. Others are administered by a new, legally independent government entity (called a joint powers agency or a joint powers authority – both referred to as a JPA) that the member agencies create. The new entity need not even call itself a JPA. JPAs are not special districts, although such agencies can enter into joint powers agreements.
As tools for collaboration, JPAs are used for a variety of purposes. By sharing resources and combining services, the member agencies – and their taxpayers – save time and money. There are no official categories for the types of JPAs, but their services generally fall into five broad groups: general public services, financial services, insurance pooling and purchasing discounts, planning services, and regulatory enforcement.
Public agencies authorized to enter into joint powers agreements include "the federal government or any federal department or agency, this state, another state or any state department or agency, a county, county board of education, county superintendent of schools, city, public corporation, public district, regional transportation commission of this state or another state, a federally recognized Indian tribe, or any joint powers authority…"
Given JPA’s inherent design as voluntary agreements among participating agencies, and the existence of JPA law that already authorizes interested agencies to create JPAs, the Legislature has not generally authorized or required the creation or alteration of specific JPAs. However, in recent years, the Legislature has reviewed and/or approved the creation of JPAs for specific purposes, some to address the ongoing housing crisis in the state. For example:
- AB 2593 (McCarty) of 2024 would have authorized a local agency within the County of Sacramento to enter into a joint powers agreement with any other local agency to operate a joint powers authority to assist the homeless. AB 2593 died on Senate inactive file.
- AB 1086 (McCarty) of 2023 was similar to AB 2593. AB 1086 was referred to Assembly Local Government Committee but never heard.
- SB 20 (Rubio), Chapter 147, Statutes of 2023, allowed all local agencies to create regional housing trusts to fund housing to assist the homeless population and persons and families of extremely low-, very low-, and low-income within their jurisdictions.
- SB 1177 (Portantino) Chapter 173, Statutes of 2022, authorized the creation of the Burbank-Glendale-Pasadena Regional Housing Trust; SB 1444 (Allen) Chapter 672, Statutes of 2022, authorized the creation of the South Bay Regional Housing Trust; AB 687 (Seyarto) Chapter 120, Statutes of 2021, authorized the creation of the Western Riverside County Housing Finance Trust.; SB 751 (Rubio) Chapter 670, Statutes of 2019, authorized local agencies within the San Gabriel Valley Council of Governments to enter into a JPA to fund housing; and, AB 448 (Daly) Chapter 336, Statutes of 2018, authorized the creation of the Orange County Housing Finance Trust.
- SB 1403 (Maienschein), Chapter 188, Statutes of 2015, allowed one or more private, non-profit 501(c)(3) corporations that provide services to homeless persons to form a JPA, or enter into a joint powers agreement, with one or more public agencies to encourage and ease information sharing between public agencies and nonprofit corporations to identify the most costly and frequent users of publicly-funded emergency services, provide frequent user coordinated care housing services, and prevent homelessness.
Notably, all of the aforementioned bills authorized – but did not require – the creation of a JPA to address housing or homeless needs.
- SHRA. SHRA is a JPA of the City and County of Sacramento, formed in 1973. It was originally formed to combine the Housing Authorities for both the city and county and became the redevelopment agency for the city and county before redevelopment agencies were dissolved. It serves as the successor agency to the redevelopment agency and is responsible for winding down the activities of redevelopment, including paying down any obligations of the redevelopment agency. SHRA owns and manages thousands of residential units in the county, develops new housing, and administers federal housing choice vouchers. SHRA has a seat on Sacramento’s CoC.
- Continuum of Care (CoC). The Department of Housing and Urban Development (HUD) developed the concept of the CoC in 1995 through its annual competition for homeless assistance grants. The CoC is envisioned as a local network that plans and coordinates funding for services and housing to assist homeless individuals and families. Each community is required to designate a CoC to receive federal funds. The CoC is designed to: promote a community wide commitment to the goal of ending homelessness, provide funding for efforts to rapidly rehouse homeless individuals and families, promote access to and effective use of mainstream programs, and optimize self-sufficiency among individuals and families experiencing homelessness.
Federal regulations require the creation of a CoC governing board, but do not dictate the board membership except that it must be representative of the community and have at least one person with lived experience of homelessness. The makeup of the membership and the board are key to the CoC’s competitiveness for federal funding. Federal funding is tied to how the CoC board and membership are structured, meaning decisions regarding board makeup will impact the competitiveness of the community for funding. The Sacramento City and County CoC (Sacramento CoC) has a 30-member board which includes representation from local government, homeless services providers, people with lived experience, and the broader community of businesses, advocates, and faith-based groups.
A CoC is responsible for designating a lead entity to manage the HMIS. HMIS is a shared localized database used by organizations that provide services to people who are homeless or at risk of becoming homeless. One of the main functions of the HMIS is to connect community agencies with one another, allowing direct service staff to know more about what is happening with their clients and where else they are obtaining services. A CoC is also required to identify a collaborative applicant to apply for a grant for CoC planning funds. In Sacramento, the collaborative applicant is Sacramento Steps Forward (SSF).
- Sacramento Steps Forward (SSF). SSF is a non-profit organization that acts as the collaborative applicant for Sacramento’s CoC and serves as the lead agency for Sacramento’s CoC, convening a board of nonprofit providers, advocates, partners with lived expertise, City and County, and public and private sector partners, and acts as the HMIS Lead. As the local HMIS Lead, SSF manages the database for Sacramento and Yolo Counties, granting access to the system, maintaining data quality, and providing regular reports to HUD. The use of HMIS is mandated by Congress for any CoCs that receive federal funding to address homelessness in their communities. Access to HMIS is strictly monitored, requiring background checks and security measures to protect the confidential client data stored in the system.
- Why is it Hard to Solve Homelessness? Homelessness is the top issue among voters and one of the hardest policy issues to address. In most communities, the resources needed to solve homelessness – the homeless response system – are siloed among three major parties: cities, counties, and CoCs. Cities tend to be home to more people experiencing homelessness because people have easier access to amenities and resources. Yet, cities do not control much of the funding that is needed to get people into housing, including vouchers, mental health services, and connections to health care. Cities have land use authority and can site more housing, particularly affordable housing and permanent supportive housing, but they still have to seek help from their county to get project-based vouchers and funding for wrap-around services for people living in supportive housing that need extra help to stay housed.
Counties have funding for mental health services through the Behavioral Health Services Act – recent legislation requires that 30% of those funds go to support people accessing and maintaining housing through rental assistance and other supports. CoCs have funding to address homelessness and maintain the CES, which matches people experiencing homelessness with services and hopefully a permanent housing unit. While the CoC is responsible for collecting and maintaining the data around homelessness and is the entry point for many people experiencing homelessness into services and connecting to housing, they lack any ability to direct County, SHRA, or city resources. SHRA, the City of Rancho Cordova, the City of Elk Grove, the City of Citrus Heights, the City of Sacramento, and Sacramento County currently sit on the CoC. This entire system lacks adequate resources to house the people who are currently homeless and the resources to help people who are falling into homelessness to stay housed.
Sacramento is not unique in its inability to establish a structure that resolves all of these challenges and aligns resources. Los Angeles County and the City of Los Angeles currently have a JPA, but are in the process of dissolving that entity to create a new structure. Communities around the state are struggling to figure out how to coordinate resources to adequately serve people experiencing homelessness.
The state has provided funds through the Homeless Housing, Assistance and Prevention (HHAP) grant program over the last seven years to help big cities, counties, and CoCs respond to homelessness, with a focus on unsheltered homelessness, but this funding is inadequate to resolve the problem. HHAP has evolved over the last few years to push applicants to develop a coordinated strategy to address homelessness. HHAP requires applicants – CoCs, big cities and counties – to develop a Regional Plan to address homelessness. SSF developed the plan, and though all of the cities within Sacramento County participated, none of the cities not receiving funding from HHAP brought the plan before their City Councils to be ratified.
- Local Discussions. A 2022-23 Sacramento County Grand Jury Report lays out past efforts to create a coordinated response to homelessness in the county. In December 2019, the County Board of Supervisors and Sacramento City Council passed resolutions to form a JPA intended to resolve homelessness, but no JPA was established. In 2011, the Board of Supervisors and Sacramento City Council passed a resolution endorsing SSF as the Lead Agency to monitor and coordinate homelessness in the county. In November 2022, Sacramento County voters passed Measure O to require the city and county of Sacramento to approve a legally binding partnership agreement to improve the homelessness crisis. The Grand Jury Report laid out the challenges of addressing homelessness through the siloed system in Sacramento and recommended the creation of a JPA governed by elected officials in the county.
In December 2023, a consulting firm commissioned by SSF and the county identified ways to better align and engage local partners and researched national governance models to develop a report that includes local and national landscape assessments and provides options for alternative organizational approaches to shared governance. The consultants provided several options, based on models that have worked in other communities, which will help to inform what the county presents to the BOS in August. These include:
“Collective Impact Model – A revision of the current structure to advance regional goals by establishing an overarching and revised Partnership Agreement to redefine roles and restructure board under a revised collective impact framework with SSF functioning as the backbone agency.
“Regional Governance – This redefines the governance structure under a JPA which designates a distinct entity the JPA responsible for acting as a single representative for ending homelessness in the region. The JPA defines the scope of the JPA and the roles and authority. The JPA can be developed as a new, independent entity or within an existing government body.”
In the beginning of June 2026, the County of Sacramento and the Cities of Sacramento, Elk Grove, Folsom, Citrus Heights, Rancho Cordova, and Galt signed a letter of intent to signal their shared commitment to building a more coordinated, effective regional approach to housing and homelessness. The Letter of Intent states that the participating jurisdictions will come together to build a new regional partnership model designed to make a meaningful difference for people experiencing homelessness. It will: “1) bring elected officials from across the region together through a public, Brown Act compliant governing body that provides program and policy guidance and establishes shared goals to improve the efficacy of the region’s homeless response system and affordable housing resources, and 2) bring the oversight and functions of the Sacramento City and County Continuum of Care (CoC) under the new governing body.”
The Letter of Intent does not state that the mechanism for coordination will be a JPA. It does include a description of the activities and goals of the new government body, including describing the functions of the CoC without stating the new entity will be the CoC. The functions of the new entity include:
- Be the final decision-making body on federal and state CoC funding.
- Provide direction to the CoC lead agency.
- Provide oversight over CoC functions including the HMIS, CAS, and Point-in-Time Count.
- Develop a committee structure to ensure community voice continues to be incorporated.
The letter states that each jurisdiction has identified members of its governing board or council to take part in this first phase of planning. The CoC Board is expected to appoint its members at the June Board meeting.
In addition, in a letter dated June 18, 2026, Sacramento County Supervisors Patrick Kennedy and Rich Desmond state, “Although the June 15 amendments make changes to the bill to remove some of the funding concerns, they do not alter our fundamental concern that the governance of homelessness response efforts in Sacramento County should be determined locally, not established in state law…(W)e offer the following comments to identify the changes that would be necessary to address many of our concerns…
“First, any language requiring the creation of a Joint Powers Authority should be removed. Instead, the legislation should authorize, rather than mandate, the County of Sacramento and the Cities of Sacramento, Elk Grove, Rancho Cordova, Citrus Heights, and Folsom to establish a Regional Homeless and Housing Policy Council for the purpose of coordinating a unified regional response to homelessness and housing insecurity within Sacramento County. The Council should be locally constituted, with membership composition determined by participating jurisdictions, provided that a majority of members are duly elected officials of participating agencies. The Council should also constitute a legislative body subject to the Brown Act to ensure transparency and meaningful public participation.
“Second, we remain concerned that provisions relating to the Continuum of Care may conflict with existing federal requirements and could become problematic as federal homelessness policies and funding structures continue to evolve. While the legislation could support or recommend that a regional body serve as the local Continuum of Care, it should not require that outcome. The federal HUD and Continuum of Care landscape remains uncertain, and future changes to federal law, funding, or governance requirements could leave Sacramento County constrained by state statutory language that no longer aligns with federal policy.
“Third, we are concerned that the bill’s inclusion of ‘shall’ in several provisions imposes
obligations on the new body before we've finalized its local design. We ask that this language be changed to ‘may’ to preserve flexibility during that process.
“Finally, we continue to have concerns with several specific provisions contained in Section 2 of the bill, including provisions relating to Continuum of Care functions and meeting frequency requirements…”
- Policy Considerations. In addition to concerns outlined above, the Committee may wish to consider the following:
- Who’s In and Who’s Out? This bill requires Sacramento County and the cities of Sacramento, Elk Grove, Citrus Heights, Rancho Cordova and Folsom to work together to form a JPA to coordinate the region’s homeless response system and affordable housing resources. While Galt and Isleton may not be as large as the other cities in the county, it is not clear why they are not included in this JPA.
- Appropriate Structure? As noted above, JPA law authorizes a variety of entities to enter into joint powers agreements to achieve a common goal. A joint powers agreement is a legally-binding agreement that establishes the details of the agreement, including which agency or agencies are responsible for administering the JPA, the specified purposes and activities of the JPA, the process any party to the agreement must follow if it wishes to exit the agreement, and other matters. It does not require these actions – they are voluntary, pursuant to the goals of each party to the agreement. In addition, when the Legislature has exercised its authority to change JPA law, it has generally done so in order to authorize specific types of JPAs, specific activities a JPA may pursue, or specific agencies or parties that may participate in a JPA. This bill requires, rather than allows, the creation of a JPA with specified members (the county and cities named in the bill). What options exist for affected agencies that might not wish to participate in this new JPA?
- Previous Legislation. SB 679 (Kamlager), Chapter 661, Statutes of 2022, established LACAHSA and authorized it to utilize specified local financing tools for the purpose of funding renter protections and the preservation and production of housing units affordable to households earning up to 80 percent of the area median income.
AB 1487 (Chiu), Chapter 598, Statutes of 2019, established BAHFA throughout the San Francisco Bay Area and set forth the governing structure and powers of the BAHFA Board, allowable financing activities, and allowable expenditures of the revenues generated.
- Arguments in Support. A large coalition in support writes, “For over 15 years, Sacramento’s homelessness response has been fragmented and lacking clear accountability. Despite receiving more than $417 million in state homelessness funding, our region has seen minimal progress. The absence of a unified regional structure has allowed agencies and jurisdictions to operate in silos, with no shared metrics for success and no entity responsible for results. The outcome has been predictable - more money spent, more lives lost, and little change.
“Over the past two decades, multiple oversight reviews have documented Sacramento’s repeated failures to establish a Joint Powers Authority. In 2019, the Sacramento County Grand Jury Final Report warned of the dysfunction caused by the absence of a coherent organizational structure. Despite this clear warning, the 2023 Grand Jury report found little systemic progress, describing Sacramento’s efforts as “disjointed and lacking accountability.” That report again emphasized the lack of a regional authority as a key barrier, with duplicative efforts, siloed data systems, and inconsistent strategic planning across jurisdictions. It is worth noting that the City and County had previously signed a binding agreement to work together on a coordinated regional response to homelessness, a legally binding agreement that remains unfulfilled.
“Sacramento does not need another roundtable or press release - it deserves a system that delivers results. SB 802 provides that structure: a regional entity with the authority and accountability to align funding, data, and decision-making around a shared, outcome-driven plan to end homelessness.
“SB 802 calls for a regional response rooted in accountability, transparency, and collaboration. By establishing a single regional entity to guide our efforts, Sacramento can finally align programs, enforce accountability, increase transparency, and focus resources on what truly works - building housing, providing effective homelessness services, and getting people housed.”
- Arguments in Opposition. Sacramento Area Congregations Together (SacACT) writes, “SB 802 continues an implicit presumption that the overriding barrier to more effective policy and service delivery addressing homelessness and housing is the governance of housing and homelessness services within the County. Without identifying for or citing evidence of specific problems and alternative solutions, it presumes the following:
- converting public/private governance consistent with the federal Continuum of Care (CoC) program to control by elected officials, relegating other stakeholders to advisory committee roles;
- expanding and integrating governance of housing as well as homelessness policy of the County and City of Sacramento to directly include four additional suburban cities, notwithstanding the strong concentration of homelessness and housing development capacity in Sacramento City and County;
- inclusion of housing along with homelessness services without assessment of breadth and relationship of scope of programs and responsibilities.
SacACT’s opposition to SB 802 is based on this context as well as the following issues:
- The national and state housing and homelessness crisis is well documented; these conditions and needs in Sacramento County are not unique among California counties, and do not warrant special state legislation singling out Sacramento County. The bill’s references to earlier reports and JPA recommendations are not directly relevant to current circumstances.
- Mandating membership in a JPA as SB 802 proposes is inconsistent with the statutory authorization pursuant to Gov. Code Sec. 6502 and 6503 for voluntary cooperation among public agencies. It would establish a problematic precedent for State intervention into organizational provisions of local agencies dependent on collaborative relationships and flexibility for responsiveness to local circumstances and agency design and operations.
- The federal Continuum of Care (CoC) program accommodates and involves a variety of governance models and is designed to “promote community-wide commitment to ending homelessness” and the CoC Board is to be representative of relevant organizations and projects serving homeless populations, with authority to determine its governance structure and Collaborative Applicant. The role of community and service providers will be particularly critical in influencing how services might be adapted to be responsive to needs of Sacramento County’s CoC pursuant to changes in federal policy and program requirements while also meeting accountability requirements of State funding such as the Homeless, Housing Assistance and Prevention program (HHAP). Certainty regarding these concerns is lacking in SB 802.
- According to the 2026 Point-In-Time (PIT) count, 87.5% of the unsheltered population within Sacramento County was within the City of Sacramento and the unincorporated County, and the largest portion of interim and permanent supportive housing is also located within these two jurisdictions.2 It is unclear how expanding governance beyond the geographic areas of concentration would mitigate the prospective increase in homelessness, including reentry into homelessness in areas of existing concentrated services.
- Double-Referral. This bill is double-referred to the Housing and Community Development Committee, where it passed on a 11-0 vote on June 24, 2026.
REGISTERED SUPPORT / OPPOSITION:
This bill was substantially amended on June 15, 2026. Additional support and opposition to the current version of this bill could not be verified at the time of publishing.
Support
Caity Maple, Councilmember, City of Sacramento
California Black Chamber of Commerce
California YIMBY
Dignity Moves
Downtown Railyards Ventures
Downtown Sacramento Partnership
House Sacramento (if amended)
Indivisuals (5)
Inner Circle
Karina Talamantes, Vice Mayor, City of Sacramento
LA Alliance for Human Rights
LDK Ventures
Life Skills training and Educational Programs
Midtown Association
Sacramento Advocates for Rail and Transit
Sacramento Regional Business Leaders Council
Sandringham Neighbors Association
Service Employees International Union, California
Sierra Curtis Neighborhood Association
Steinberg Institute
Steve Cohn, Councilmember, City of Sacramento
Turton Real Estate
Wellspace Health
Youth Forward
Opposition
Patrick Kennedy, Supervisor, Sacramento County
Rich Desmond, Supervisor, Sacramento County
California Association of Realtors (prior version)
California State Association of Counties (prior version)
City of Folsom (prior version)
City of Galt (prior version)
Folsom Chamber of Commerce (prior version)
Mayor Kevin McCarty, City of Sacramento (prior version)
Rosario Rodriquez, Chair, Sacramento County Board of Supervisor (prior version)
Sacramento Area Congregations Together (prior version)
Sacramento Association of Realtors (prior version)
Sacramento County Sheriff Jim Cooper (prior version)
Sacramento Housing Alliance (prior version)
Sacramento County Board of Supervisors (prior version)
Urban Counties of California (UCC) (prior version)
Individuals (5) (prior version)
Analysis Prepared by: Angela Mapp / L. GOV. / (916) 319-3958
Date of Hearing: June 24, 2026
ASSEMBLY COMMITTEE ON HOUSING AND COMMUNITY DEVELOPMENT
Matt Haney, Chair
SBPCA Bill Id:SB 802
Author:(Ashby) – As Amended Ver:June 15, 2026
SENATE VOTE: 36-0
SUBJECT: Housing finance and development: Sacramento Area Housing and Homelessness Agency: Multifamily Housing Program: Homekey: Homeless Housing, Assistance, and Prevention program
SUMMARY: Requires the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom to participate in and work together to establish the Sacramento Regional Housing and Homelessness (SHRA) Joint Powers Authority (JPA) designed to make a meaningful difference for people experiencing housing insecurity and homelessness across the County of Sacramento.
- Makes various legislative findings.
- Requires the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom to do all of the following:
- Bring elected officials from across the region together through the JPA that provides program and policy guidance and establishes shared goals to improve the efficacy of the region’s homeless response system and affordable housing resources;
- Bring the oversight and functions of the Sacramento City and County Continuum of Care (CoC) under the jurisdiction of the JPA, while maintaining the federally required composition and integrity of the CoC; and
- Work collaboratively with the SHRA to develop goals and action plans that address homelessness, affordable housing, and advance a true housing continuum regionally.
- Requires the JPA to do all of the following:
- Set system performance goals and, at a minimum, regularly review state and federal performance metrics to address housing and homelessness;
- Collaborate to update the regionally coordinated homelessness action plan as necessary and oversee implementation of the plan;
- Coordinate on delivery of prevention, outreach, shelter, and housing programs, with local jurisdictions retaining oversight, accountability, and control over land use decisions and programs administered by the local jurisdictions;
- Explore better integration with other systems working in homelessness and housing, including county-administered behavioral health, child and adult welfare, and social safety net services;
- Align regional funding for housing and homelessness, with local jurisdictions retaining final control and approval over local, state, and federal funds eligible to be administered by local jurisdictions;
- Comply with the requirements set forth in the Ralph M. Brown Act;
- Be designated as the federally recognized CoC;
- Provide direction to the CoC lead agency;
- Provide oversight over CoC functions, including all of the following:
- The Homeless Management Information System (HMIS);
- The Coordinated Access System (CES); and
- The Point-in-Time Count.
- Develop a committee structure to ensure community voice continues to be incorporated;
- Include the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom in the JPA;
- Be developed as a formal, robust JPA;
- Have a board that consists solely of the elected officials representing the County of Sacramento, the City of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom;
- Target both housing and homelessness;
- Incorporate meaningful resources to provide services;
- Have a governance structure that includes the lead entities, respectively, from both the CoC and SHRA; and
- Hold monthly public meetings and incorporate public participation.
- Provides that a local jurisdiction that is a member of the JPA retains oversight and accountability over funding decisions, projects, and programs administered by the local jurisdiction, including contracting for prevention, outreach, sheltering, and housing.
EXISTING LAW:
- Defines the composition of a CoC to mean the group organized to carry out the responsibilities of the McKinney-Vento Homeless Assistance Act composed of representatives of organizations, including nonprofit homeless providers, victim service providers, faith-based organizations, governments, businesses, advocates, public housing agencies, school districts, social service providers, mental health agencies, hospitals, universities, affordable housing developers, law enforcement, organizations that serve homeless and formerly homeless veterans, and homeless and formerly homeless persons to the extent these groups are represented within the geographic area and are available to participate. (24 Code of Federal Regulations (CFR) § 578.3 CoC Definition)
- Requires the CoC to establish a board to act on behalf of the CoC through an adopted and written process. The process must be reviewed, updated, and approved by the Continuum at least once every five years. (24 CFR § 578.3 CoC Definition)
- Requires a CoC board to include representatives of the relevant organizations and of projects serving homeless subpopulations and to include at least one homeless or formerly homeless individual. (24 CFR § 578.3 CoC Definition)
- Defines a “collaborative applicant” to mean the eligible applicant that has been designated by the CoC to apply for a grant for CoC planning funds under this part on behalf of the Continuum. (24 CFR § 578.3 CoC Definition)
- Establishes the responsibilities of the CoC, including the following:
- Adopt and follow a written process to select a board to act on behalf of the CoC and requires the process to be reviewed, updated, and approved by the CoC at least once every five years;
- In consultation with the collaborative applicant and the HMIS, lead, develop, follow, and update annually a governance charter, which will include all procedures and policies needed to comply with federal requirements and with HMIS requirements as prescribed by HUD;
- Hold meetings of the full membership, with published agendas, at least semi-annually;
- Make an invitation for new members to join publicly available within the geography of the CoC at least annually; and
- Appoint additional committees, subcommittees, or workgroups. (24 CFR § 578.7 CoC Definition)
FISCAL EFFECT: Unknown.
COMMENTS:
Author’s Statement: According to the author, “For over a decade, multiple Sacramento County Grand Jury reports, including in 2019 and again in 2023, have warned that the absence of a regional authority and coherent organizational structure makes it virtually impossible to use valuable resources effectively. The 2023 report described Sacramento’s homelessness response as “disjointed, lacking accountability, and often reactive rather than proactive,” highlighting how eight separate government-funded entities operate with siloed data, conflicting goals, and inconsistent planning.
SB 802 responds to this long-standing call for change by establishing the Sacramento Area Housing and Homelessness Agency, a new Joint Powers Authority. This single, coordinated agency will ensure shared decision-making, strengthen accountability, and better leverage local, state, and federal resources to address homelessness and housing insecurity across Sacramento County. All cities in the county will have the opportunity to participate and weigh in through representation on the agency’s governing board. Importantly, the agency will also include people with lived experience of homelessness, along with technical experts, on its Advisory Committee, ensuring that the voices of those directly impacted help guide local solutions.
By creating a regional structure with clear governance, broad city participation, community representation, and oversight, SB 802 delivers the accountability, collaboration, and leadership we need to address homelessness and housing more effectively and efficiently.”
Continuum of Care (CoC): The Department of Housing and Urban Development (HUD) developed the concept of the CoC in 1995 through its annual competition for homeless assistance grants. The CoC is envisioned as a local network that plans and coordinates funding for services and housing to assist homeless individuals and families. Each community is required to designate a CoC to receive federal funds. The CoC is designed to: promote a community wide commitment to the goal of ending homelessness, provide funding for efforts to rapidly rehouse homeless individuals and families, promote access to and effective use of mainstream programs, and optimize self-sufficiency among individuals and families experiencing homelessness.
Federal regulations require the creation of a CoC governing board, but do not dictate the board membership except that it must be representative of the community and have at least one person with lived experience of homelessness. The makeup of the membership and the board are key to the CoC’s competitiveness for federal funding. Federal funding is tied to how the CoC board and membership are structured, meaning decisions regarding board makeup will impact the competitiveness of the community for funding. The Sacramento City and County CoC (Sacramento CoC) has a 30-member board which includes representation from local government, homeless services providers, people with lived experience, and the broader community of businesses, advocates, and faith-based groups.
A CoC is responsible for designating a lead entity to manage the HMIS. HMIS is a shared localized database used by organizations that provide services to people who are homeless or at risk of becoming homeless. One of the main functions of the HMIS is to connect community agencies with one another, allowing direct service staff to know more about what is happening with their clients and where else they are obtaining services. A CoC is also required to identify a collaborative applicant to apply for a grant for CoC planning funds. In Sacramento, the collaborative applicant is Sacramento Steps Forward (SSF).
Sacramento Steps Forward (SSF): SSF is a non-profit organization that acts as the collaborative applicant for Sacramento’s CoC and serves as the lead agency for Sacramento’s CoC, convening a board of nonprofit providers, advocates, partners with lived expertise, City and County, and public and private sector partners, and acts as the HMIS Lead. As the local HMIS Lead, SSF manages the database for Sacramento and Yolo Counties, granting access to the system, maintaining data quality, and providing regular reports to HUD. The use of HMIS is mandated by Congress for any CoCs who receive federal funding to address homelessness in their communities. Access to HMIS is strictly monitored, requiring background checks and security measures to protect the confidential client data stored in the system.
This bill would require the creation of a JPA made up of the City and County of Sacramento, the City of Elk Grove, the City of Rancho Cordova, the City of Citrus Heights, and the City of Folsom and designate the JPA as the federally recognized CoC. The JPA would also provide direction to the CoC lead agency and provide oversight to the CoC regarding HMIS, CES, and the point-in-time count. While this bill designated the JPA as the CoC, federal regulation requires the CoC to designate the collaborative applicant, the entity authorized to apply for CoC planning funding. To comply with federal regulations, the existing CoC board would need to vote to change the collaborative applicant from SSF to the new JPA.
Why is it hard to solve homelessness? Homelessness is the top issue among voters and one of the hardest policy issues to address. In most communities, the resources needed to solve homelessness – the homeless response system – are siloed among three major parties – cities, counties, and CoCs. Cities tend to be home to more people experiencing homelessness because people have easier access to amenities and resources. Yet, cities do not control much of the funding that is needed to get people into housing, including vouchers, mental health services, and connections to health care. Cities have land use authority and can site more housing, particularly affordable housing and permanent supportive housing, but they still have to seek help from their county to get project-based vouchers and funding for wrap-around services for people living in supportive housing that need extra help to stay housed. Counties have funding for mental health services through the Behavioral Health Services Act – recent legislation requires that 30% of those funds go to support people accessing and maintaining housing through rental assistance and other supports. CoCs have funding to address homelessness and maintain the CES, which matches people experiencing homelessness with services and hopefully a permanent housing unit. While the CoC is responsible for collecting and maintaining the data around homelessness and is the entry point for many people experiencing homelessness into services and connecting to housing, they lack any ability to direct County, SHRA, or city resources. SHRA, the City of Rancho Cordova, the City of Elk Grove, the City of Citrus Heights, the City of Sacramento, and Sacramento County currently sit on the CoC. This entire system lacks adequate resources to house the people who are currently homeless and the resources to help people who are falling into homelessness to stay housed.
Sacramento is not unique in its inability to establish a structure that resolves all of these challenges and aligns resources. Los Angeles County and the City of Los Angeles currently have a JPA, but are in the process of dissolving that entity to create a new structure. Communities around the state are struggling to figure out how to coordinate resources to adequately serve people experiencing homelessness.
The state has provided funds through the Homeless Housing, Assistance and Prevention (HHAP) grant program over the last seven years to help big cities, counties, and CoCs respond to homelessness, with a focus on unsheltered homelessness, but this funding is inadequate to resolve the problem. HHAP has evolved over the last few years to push applicants to develop a coordinated strategy to address homelessness. HHAP requires applicants – CoCs, big cities and counties – to develop a Regional Plan to address homelessness. SSF developed the plan, and though all of the cities within Sacramento County participated, none of the cities not receiving funding from HHAP brought the plan before their City Councils to be ratified.
Local Discussions: A 2022-23 Sacramento County Grand Jury Report lays out past efforts to create a coordinated response to homelessness in the county. In December 2019, the County Board of Supervisors and Sacramento City Council passed resolutions to form a JPA intended to resolve homelessness, but no JPA was established. In 2011, the Board of Supervisors and Sacramento City Council passed a resolution endorsing SSF as the Lead Agency to monitor and coordinate homelessness in the county. In November 2022, Sacramento County voters passed Measure O to require the city and county of Sacramento to approve a legally binding partnership agreement to improve the homelessness crisis. The Grand Jury Report laid out the challenges of addressing homelessness through the siloed system in Sacramento and recommended the creation of a JPA governed by elected officials in the county.
In December 2023, a consulting firm commissioned by SSF and the county identified ways to better align and engage local partners and researched national governance models to develop a report that includes local and national landscape assessments and provides options for alternative organizational approaches to shared governance. The consultants provided several options, based on models that have worked in other communities, which will help to inform what the county presents to the BOS in August. These include:
“Collective Impact Model – A revision of the current structure to advance regional goals by establishing an overarching and revised Partnership Agreement to redefine roles and restructure board under a revised collective impact framework with SSF functioning as the backbone agency.
Regional Governance – This redefines the governance structure under a JPA which designates a distinct entity the JPA responsible for acting as a single representative for ending homelessness in the region. The JPA defines the scope of the JPA and the roles and authority. The JPA can be developed as a new, independent entity or within an existing government body.”
In beginning of June 2026, the County of Sacramento and the Cities of Sacramento, Elk Grove, Folsom, Citrus Heights, Rancho Cordova, and Galt signed a letter of intent to signal their shared commitment to building a more coordinated, effective regional approach to housing and homelessness. The Letter of Intent states that the participating jurisdictions will come together to build a new regional partnership model designed to make a meaningful difference for people experiencing homelessness. It will: “1) bring elected officials from across the region together through a public, Brown Act compliant governing body that provides program and policy guidance and establishes shared goals to improve the efficacy of the region’s homeless response system and affordable housing resources, and 2) bring the oversight and functions of the Sacramento City and County Continuum of Care (CoC) under the new governing body.”
The Letter of Intent does not state that the mechanism for coordination will be a JPA. It does include a description of the activities and goals of the new government body, including that describing the functions of the CoC without stating the new entity will be the CoC. The functions of the new entity include:
- Be the final decision-making body on federal and state CoC funding;
- Provide direction to the CoC lead agency;
- Provide oversight over CoC functions including the HMIS, CES, and Point-in-Time Count;
- Develop a committee structure to ensure community voice continues to be incorporated.
The letter states that each jurisdiction has identified members of its governing board or council to take part in this first phase of planning. The CoC Board is expected to appoint its members at the June Board meeting.
Joint Exercise of Powers Act: Joint powers are exercised when public officials of two or more agencies agree to establish a joint approach or create another legal entity to work on a common problem, fund a project, or act as a representative body for a specific activity. All manner of federal, state, and local public agencies can agree to exercise joint powers. A California agency can even share joint powers with an agency in another state. The common thread is that a confederation of governments works together and shares resources for mutual support or common actions. The government agencies that participate in joint powers are called member agencies, and a JPA can only exercise powers that each member agency independently possesses.
A joint powers agreement is a formal, legal agreement between two or more public agencies that wish to exercise joint powers. Some joint powers agreements are administered by one of the participating agencies. Others are administered by a new, legally independent government entity (called a joint powers agency or a joint powers authority – both referred to as a JPA) that the member agencies create. The new entity need not even call itself a JPA. JPAs are not special districts, although such agencies can enter into joint powers agreements.
As tools for collaboration, JPAs are used for a variety of purposes. By sharing resources and combining services, the member agencies – and their taxpayers – save time and money. There are no official categories for the types of JPAs, but their services generally fall into five broad groups: general public services, financial services, insurance pooling and purchasing discounts, planning services, and regulatory enforcement.
Public agencies authorized to enter into joint powers agreements include "the federal government or any federal department or agency, this state, another state or any state department or agency, a county, county board of education, county superintendent of schools, city, public corporation, public district, regional transportation commission of this state or another state, a federally recognized Indian tribe, or any joint powers authority…"
Given JPA’s inherent design as voluntary agreements among participating agencies, and the existence of JPA law that already authorizes interested agencies to create JPAs, the Legislature has not generally authorized or required the creation or alteration of specific JPAs. However, in recent years, the Legislature has reviewed and/or approved the creation of JPAs for specific purposes, some to address the ongoing housing crisis in the state. For example:
- AB 2593 (McCarty) of 2024 would have authorized a local agency within the County of Sacramento to enter into a joint powers agreement with any other local agency to operate a joint powers authority to assist people experiencing homelessness. AB 2593 died on the Senate inactive file. AB 1086 (McCarty) of 2023 was similar to AB 2593. AB 1086 was referred to the Assembly Local Government Committee but was never heard.
- SB 20 (Rubio), Chapter 147, Statutes of 2023, allowed all local agencies to create regional housing trusts to fund housing to assist people experiencing homelessness and persons and families of extremely low-, very low-, and low-income within their jurisdictions.
- Related to the establishment of housing trusts, SB 1177 (Portantino), Chapter 173, Statutes of 2022, authorized the creation of the Burbank-Glendale-Pasadena Regional Housing Trust; SB 1444 (Allen), Chapter 672, Statutes of 2022, authorized the creation of the South Bay Regional Housing Trust; AB 687 (Seyarto), Chapter 120, Statutes of 2021, authorized the creation of the Western Riverside County Housing Finance Trust; SB 751 (Rubio), Chapter 670, Statutes of 2019, authorized local agencies within the San Gabriel Valley Council of Governments to enter into a JPA to fund housing; and, AB 448 (Daly), Chapter 336, Statutes of 2018, authorized the creation of the Orange County Housing Finance Trust.
- Finally, SB 1403 (Maienschein), Chapter 188, Statutes of 2015, allowed one or more private, non-profit 501(c)(3) corporations that provide services to homeless persons to form a JPA, or enter into a joint powers agreement, with one or more public agencies to encourage and ease information sharing between public agencies and nonprofit corporations to identify the most costly and frequent users of publicly-funded emergency services, provide frequent user coordinated care housing services, and prevent homelessness.
Notably, all of the aforementioned bills authorized – but did not require – the creation of a JPA to address housing or homelessness needs in a local community.
State Authorized Regional Entities: In 2019, AB 1487 (Chiu, Chapter 598), created a new regional option to address the lack of affordable housing in the San Francisco Bay Area. Specifically, that bill provided the Association of Bay Area Governments (ABAG) and the Metropolitan Transportation Commission (MTC) – acting as the Bay Area Housing Finance Agency (BAHFA) – with new tools to raise billions of dollars to fund the production, preservation, and protection of affordable housing. That bill was formulated in partnership with the Bay Area’s local elected leaders and other regional leaders and set forth the governing structure and powers of the board, allowable financing activities, and allowable uses of the revenues generated. Its purpose was to raise, administer, and allocate funding and provide technical assistance at a regional level for tenant protection, affordable housing preservation, and new affordable housing production.
In 2022, the Legislature authorized the County of Los Angeles to establish the Los Angeles County Affordable Housing Solutions Agency (LACAHSA) through the passage of SB 679 (Kamlager, Chapter 661). That bill, similar to AB 1487, authorized LACAHSA to utilize specified local financing tools (taxes and bonds) to fund renter protections and the preservation and production of housing affordable to households earning up to 80% of area median income.
In 2024, in an effort to create a roadmap for other communities to create regional housing entities without having to come to the Legislature, SB 440 (Skinner), Chapter 767 empowered communities to address their own affordable and missing middle housing shortages by allowing regions to create finance agencies that can fund the construction and preservation of affordable housing. SB 440 allowed two or more local governments to establish an Authority for purposes of raising, administering, and allocating funding and providing technical assistance at a regional level for affordable housing development. The Authority is granted specific powers, and the bill established a governance structure and imposed reporting and auditing requirements. It also spelled out the specific types of funding streams that may be collected, and that they may be used for affordable housing development and preservation, and infrastructure necessary for those developments. While SB 440 was modeled on BAHFA and LACAHSA, that bill granted new Authorities additional powers not bestowed on those existing entities. These Authorities, in addition to their ability to manage existing buildings, could hold and acquire existing buildings for purposes of attaching affordability requirements. For any property acquired, these Authorities, unlike BAHFA and LACAHSA, will have the power to set the land use and development parameters for such property, including setting the request for proposal criteria and selection process for a development partner. Lastly, these Authorities are focused on the preservation and construction of housing. BAHFA and LACAHSA also authorized funds to be used for renter protections and renter supports.
The SB 440 Authority model is now available should other communities, such as Sacramento, wish to form or consolidate regional efforts to address affordable housing needs in their communities. The difference between these entities and what is proposed in this bill is that these proposals were initiated through a collaborative process at the local level. In addition, the regional entities that the Legislature created through statute are being organized locally to generate new funding rather than redirecting existing funding.
Arguments in Support: A coalition writes in support, “Over the past two decades, multiple oversight reviews have documented Sacramento’s repeated failures to establish a Joint Powers Authority. In 2019, the Sacramento County Grand Jury Final Report warned of the dysfunction caused by the absence of a coherent organizational structure. Despite this clear warning, the 2023 Grand Jury report found little systemic progress, describing Sacramento’s efforts as “disjointed and lacking accountability.” That report again emphasized the lack of a regional authority as a key barrier, with duplicative efforts, siloed data systems, and inconsistent strategic planning across jurisdictions. It is worth noting that the City and County had previously signed a binding agreement to work together on a coordinated regional response to homelessness, a legally binding agreement that remains unfulfilled. Sacramento does not need another roundtable or press release - it deserves a system that delivers results. SB 802 provides that structure: a regional entity with the authority and accountability to align funding, data, and decision-making around a shared, outcome-driven plan to end homelessness.”
Arguments in Opposition: Sacramento County is opposed to the state requiring the creation of a JPA, though they are in the process of working with the City of Sacramento and other cities in the county to create a regional entity that will coordinate on homelessness. The County of Sacramento writes, “Although the June 15 amendments make changes to the bill to remove some of the funding concerns, they do not alter our fundamental concern that the governance of homelessness response efforts in Sacramento County should be determined locally, not established in state law. We are operating in a highly dynamic environment regarding homelessness policy, funding, and governance at the federal, state, and local levels. At the same time, Sacramento County, our city partners, the Continuum of Care, and other stakeholders have made significant progress toward developing a regional coordination model that we believe will help move the needle on addressing this critical issue while reflecting local needs and priorities.”
Related Legislation:
AB 2593 (McCarty) (2024) would have authorized a local agency within the County of Sacramento to enter into a JPA with any other local agency too operate a joint powers authority (JPA) to assist the homeless. This bill died on the Senate inactive file.
SB 679 (Kamlager), Chapter 661, Statutes of 2022: Established the Los Angeles County Affordable Housing Solutions Agency (LACAHSA), and authorized LACAHSA to utilize specified local financing tools for the purpose of funding renter protections and the preservation and production of housing units affordable to households earning up to 80% of the area median income.
AB 1487 (Chiu), Chapter 598, Statutes of 2019: Established BAHFA throughout the San Francisco Bay Area and set forth the governing structure and powers of the BAHFA Board, allowable financing activities, and allowable expenditures of the revenues generated.
Double-Referred: This bill was also referred to the Assembly Committee on Local Government and the Assembly Committee on Human Services, where it will be heard should it pass out of this Committee.
REGISTERED SUPPORT / OPPOSITION:
Support
California Black Chamber of Commerce
California YIMBY
City of Sacramento
DignityMoves
DignityMoves
Downtown Railyard Ventures
Downtown Sacramento Partnership
Fieldstead and Company
Inner Circle
Inside Circle
Karina Talamantes, Vice Mayor, City of Sacramento
LA Alliance for Human Rights
LDK Ventures
Life Skills Training and Educational Programs
Midtown Association
Sacramento Advocates for Rail and Transit
Sacramento Regional Business Leaders Council
Sandringham Neighborhood Association
Sierra Curtis Neighborhood Association
Steinberg Institute
Steve Cohn, Councilmember, City of Sacramento
Turton Commercial Real Estate
Wellspace Health
Youth Forward
Individuals (5)
Opposition
California Association of Realtors
California State Association of Counties
City of Folsom
City of Galt
Folsom Chamber of Commerce
Mayor Kevin McCarty, City of Sacramento
Rosario Rodriquez, Chair, Sacramento County Board of Supervisor
Sacramento Area Congregations Together
Sacramento Association of Realtors
Sacramento County Sheriff Jim Cooper
Sacramento Housing Alliance
Sacramento County Board of Supervisors
Urban Counties of California (UCC)
Individuals (5)
Analysis Prepared by: Lisa Engel / H. & C.D. / (916) 319-2085
Date of Hearing: July 16, 2025
ASSEMBLY COMMITTEE ON HOUSING AND COMMUNITY DEVELOPMENT
Matt Haney, Chair
SBPCA Bill Id:SB 802
Author:(Ashby) – As Amended Ver:June 23, 2025
SENATE VOTE: Not relevant
SUBJECT: Housing finance and development: Sacramento Area Housing and Homelessness Agency: Multifamily Housing Program: Homekey: Homeless Housing, Assistance, and Prevention program
SUMMARY: Restructures, expands, and amends the Sacramento Housing and Redevelopment Agency (SHRA) and renames it to the Sacramento Housing and Homelessness Agency (SHHA). Moves the Sacramento Continuum of Care to the new SHHA, moves all homelessness funding from the federal and state government that would go to the impacted cities and county to SHHA, transfers fees collected by the County of Sacramento and specified cities in Sacramento County to SHHA, and changes the process for distributing the Regional Housing Needs Allocation (RHNA) in the county. Specifically, this bill:
- Includes the following definitions:
- “Agency” means the SHRA;
- “Governing board” means the governing board of SHRA;
- “Qualified local agency” means any city within the County of Sacramento that has a population of at least 50,000, based on the most recent federal decennial census or a subsequent estimate prepared by the Demographic Research Unit of the Department of Finance (DOF); and
- “Qualified local agency” includes, but is not limited to, the cities of Citrus Heights, Elk Grove, Folsom, Rancho Cordova, and Sacramento.
- Restructures, expands, and amends the SHRA.
- Renames the SHRA as the Sacramento Housing and Homelessness Agency (SHHA).
- Makes Legislative findings and declarations that the purpose of restructuring SHRA is to modernize and expand the agency’s scope and governance to address regional housing and homelessness needs while preserving the agency’s legal status, contracts, funding eligibility, and programmatic history.
- Provides that SHHA shall serve as the regional authority to do all of the following:
- Develop and preserve affordable housing;
- Coordinate and administer homelessness prevention and response services including the Coordinated Entry System;
- Serve as the federally-designated Continuum of Care (CoC);
- Apply for, receive, and administer federal, state, and local funding for housing and homelessness; and
- Manage and implement a comprehensive strategic plan to address and reduce homelessness in the County of Sacramento.
- Establishes the following governing board composition for SHHA:
- At least one elected official from each qualified local agency that is party to the joint powers agreement (JPA) with full delegated powers and duties transferred from the city and county;
- The initial board shall consist of 11 members appointed by the legislative bodies of the County of Sacramento and each of the qualified local agencies as follows:
- Three members appointed by the City Council of the City of Sacramento;
- Three members appointed by the Board of Supervisors of the County of Sacramento;
- Two members appointed by the City Council of the City of Elk Grove; and
- One member appointed by each of the following City Councils: Citrus Heights, Folsom, and Rancho Cordova.
- Provides that the board of SHHA may increase the number of members if a qualified local agency enters into the agreement to join the JPA. The qualified local agency shall be entitled to make one appointment to the board.
- Sets out a process for the governing board to select alternative members in the case a member is not available.
- Provides that the initial Executive Director of SHHA shall be the current Executive Director of SHRA and requires the governing board to establish a process for removing and replacing the Executive Director.
- Sets out the requirements for the bylaws of SHHA, including timing of meetings, ethics rules, and voting rights.
- Requires the Sacramento Local Agency Formation Commission (LAFCO) to form an independent task force as follows:
- Staff of existing entities cannot be appointed to the task force;
- The task force shall consolidate all entities for purposes of establishing the SHHA; and
- The task force shall dissolve 60 days after the establishment of the governing board of SHHA.
- Requires SHHA to adopt a comprehensive strategic plan to address housing and homelessness no later than three years from the date the restructured agreement takes effect.
- Provides that SHRA shall retain its legal identity and shall continue to administer all existing housing, homelessness, and redevelopment programs. Prohibits the creation of an agency that negates the duties of SHRA.
- Requires SHHA to assume or continue responsibility for the administration, oversight, and compliance with all regulations and requirements of programs for all participating agencies in the JPA, including but not limited to all of the following:
- Section 8 Housing Choice Voucher (HCV) Program;
- United States Department of Housing and Urban Development (HUD) Veterans Affairs Supportive Housing;
- Public housing;
- Community Development Block Grant Program (CDBG);
- HOME Investment Partnerships Program (HOME);
- Emergency Solutions Grants (ESG);
- CoC Program;
- Housing Opportunities for Persons With AIDS Program (HOPA);
- State homelessness programs;
- Homeless Housing, Assistance, and Prevention (HHAP) program;
- Homekey program;
- Coordinated Entry System (CES); and
- CoC governance, data, and performance standards mandated by HUD (HMIS).
- Requires SHHA to comply with civil rights laws, including the federal Fair Housing Act, the mandate to affirmatively further fair housing, the Federal Americans with Disabilities Act of 1990, and Title VI of the federal Civil Rights Act of 1964.
- Provides that SHHA shall be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the JPA, including but not limited to the affordable housing ordinance fee collected by the County of Sacramento and the mixed income housing ordinance fee collected by the City of Sacramento.
- Requires the Regional Housing Needs Allocation (RHNA) for all participating entities with the JPA to be consolidated into a single regional goal to be administered by SHHA. Provides that the total RHNA shall be reduced by 20% from the aggregate of the allocations that would otherwise apply to the participating entities individually.
- Provides that SHHA shall be deemed a regional entity for the purposes of statewide housing and homelessness funding programs and shall be granted priority consideration for all applicable state housing and homelessness funding sources.
- Provides that all housing tax increment revenues from former redevelopment areas and allocated to participating cities or to the County of Sacramento shall be transferred to SHHA. Requires these revenues to be used exclusively for the development, preservation, and administration of affordable housing projects. Allows SHHA to issue bonds secured by these revenues to finance current and future housing initiatives.
- Requires SHHA to coordinate its operations with the housing and homelessness departments of each participating jurisdiction to ensure alignment of local priorities and effective delivery of services, including but not limited to the following:
- The Department of Homeless Services and Housing of the County of Sacramento;
- The Department of Community Response of the City of Sacramento;
- The Housing Division of the City of Elk Grove;
- The Housing Division of the City of Rancho Cordova; and
- The Housing and Grants Division of the City of Citrus Heights.
- Requires SHHA to establish and maintain a standing advisory board to ensure compliance with federal and state requirements for public participation in housing authority and CoC governance.
Sets out requirements for the advisory board, including that the membership include the following:
- At least one individual currently or formerly experiencing homelessness;
- At least one individual who is a current resident of public housing or low-income housing;
- Representatives from community-based organizations, service providers, and housing developers; and
- Experts in behavioral health, public housing, and program implementation.
- Requires the advisory board to do all of the following:
- Meet at least quarterly in publicly noticed meetings;
- Provide recommendations on funding, programs, planning, and performance;
- Fulfill HUD and state consultation requirements for funding and compliance, and
Assist in development of the agency’s strategic plan and annual updates
Requires HCD, for future rounds of HHAP, Multi-family Housing Program (MHP), and Homekey funding, to give consideration to the following populations:
Foster youth;
Homeless persons; and
Extremely low-income households, very-low-income households, and lower-income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking.
EXISTING LAW:
- Defines the composition of a CoC to mean the group organized to carry out the responsibilities of the McKinney-Vento Homeless Assistance Act composed of representatives of organizations, including nonprofit homeless providers, victim service providers, faith-based organizations, governments, businesses, advocates, public housing agencies, school districts, social service providers, mental health agencies, hospitals, universities, affordable housing developers, law enforcement, organizations that serve homeless and formerly homeless veterans, and homeless and formerly homeless persons to the extent these groups are represented within the geographic area and are available to participate. (24 Code of Federal Regulations (CFR) § 578.3 CoC Definition)
- Requires the CoC to establish a board to act on behalf of the CoC through an adopted and written process. The process must be reviewed, updated, and approved by the Continuum at least once every five years. (24 CFR § 578.3 CoC Definition)
- Requires a CoC board to include representatives of the relevant organizations and of projects serving homeless subpopulations and to include at least one homeless or formerly homeless individual. (24 CFR § 578.3 CoC Definition)
- Defines a collaborative applicant to mean the eligible applicant that has been designated by the CoC to apply for a grant for CoC planning funds under this part on behalf of the Continuum. (24 CFR § 578.3 CoC Definition)
- Establishes the responsibilities of the CoC, including the following:
- Adopt and follow a written process to select a board to act on behalf of the CoC and requires the process to be reviewed, updated, and approved by the CoC at least once every five years;
- In consultation with the collaborative applicant and the Homelessness Management Information System (HMIS) Lead, develop, follow, and update annually a governance charter, which will include all procedures and policies needed to comply with federal requirements and with HMIS requirements as prescribed by HUD;
- Hold meetings of the full membership, with published agendas, at least semi-annually;
- Make an invitation for new members to join publicly available within the geography of the CoC at least annually; and
- Appoint additional committees, subcommittees, or workgroups. (24 CFR § 578.7 CoC Definition)
- Federal law, Section 8 of the United States Housing Act of 1937, and federal regulations, Part 982 of Chapter IX of Subtitle B of Title 24 of the CFR, establish the HCV Program and enact rules and regulations governing the operation of the program. (24 CFR § 982)
- Creates in each county and city a public body known as the housing authority of the county or city and grants certain powers to those authorities. (Health and Safety Code Section 34240 et seq.)
- Provides that each community’s fair share of housing be determined through the RHNA process. Sets out the process as follows: (a) DOF and the Department of Housing and Community Development (HCD) develop regional housing needs determination estimates or RHNDs; (b) Councils of Governments (COGs) allocate housing via RHNA within each region based on these determinations, and where a COG does not exist, HCD conducts the allocations; and (c) cities and counties incorporate these allocations into their housing elements. (Government Code (GOV) 65584 and 65584.01)
- Allows two or more cities and a county or counties to form a subregional entity for the purpose of allocating the subregion’s RHNA among its members in accordance with a RHNA allocation methodology at least 28 months prior to the region’s scheduled housing element update. Provides that the purpose of establishing a subregion is to recognize a community of interest and mutual challenges and opportunities for providing housing within a subregion. Allows a subregion formed under this provision to include a single county and each of the cities in that county or any other combination of geographically contiguous local government and requires the formation to be approved by the adoption of a resolution by each of the local governments in the subregion as well as the COG. (GOV 65584.03)
FISCAL EFFECT: Unknown.
COMMENTS:
Author Statement: According to the author, “SB 802 addresses two key issues: California faces a severe shortage of shelters that serve the unique needs of women experiencing homelessness. Despite the fact that one in five women in California become homeless to escape intimate partner violence, with more than 40% continuing to face abuse after losing housing, state law does not designate funding specifically for women-only shelters or services tailored to women. Most homeless shelters, transitional housing programs, and permanent supportive housing in California are co-ed, and women are not treated as a protected class in the homelessness response system. As a result, services often fail to account for the distinct and compounding vulnerabilities women face.
In addition, this bill addresses Sacramento County’s housing and homeless system. Sacramento County’s housing and homelessness systems currently operate through multiple entities with limited coordination, making it difficult to deliver services efficiently and equitably across the region. The Sacramento Housing and Redevelopment Agency (SHRA), established in 1973, serves only the City and County of Sacramento, while regional homelessness planning is led by a nonprofit Continuum of Care (CoC) that lacks formal authority over local jurisdictions. As a result, cities such as Elk Grove, Folsom, Citrus Heights, and Rancho Cordova have limited representation in key planning and funding decisions. A 2023 Sacramento County Grand Jury report emphasized the need for stronger regional alignment and named the creation of a Joint Powers Authority (JPA) as its top recommendation to improve coordination, accountability, and outcomes. Without a unified governance structure, jurisdictions often pursue separate approaches, leading to duplicated efforts and missed opportunities for more impactful, collaborative solutions.”
SHRA: SHRA is a JPA of the City and County of Sacramento, formed in 1973. It was originally formed to combine the Housing Authorities for both the city and county of Sacramento and became the redevelopment agency for the city and county before redevelopment agencies were dissolved. It serves as the successor agency to the redevelopment agency and is responsible for winding down the activities of redevelopment, including paying down any obligations of the redevelopment agency. SHRA owns and manages thousands of residential units in the county, develops new housing, and administers federal housing choice vouchers. SHRA has a seat on the Sacramento’s CoC – Sacramento Steps Forward. Records indicated that the city and county have not met as a full joint board of the SHRA in eight years. The city’s housing authority meets on city decisions, while the county housing authority meets on county matters. A separate Sacramento Housing Commission with delegated approvals from both the city and county make decisions so they do not have to go back to the board of supervisors or city council.
Sacramento Steps Forward (SSF): SSF is Sacramento County’s CoC. The CoC is a federally created entity that is responsible for administering federal funding to address homelessness, collect data that is inputted into the HMIS, and managing the Coordinated Entry System (CES). HMIS is a shared localized database used by organizations that provide services to people who are homeless or at risk of becoming homeless. As the local HMIS lead, SSF manages the database for Sacramento and Yolo Counties, granting access to the system, maintaining data quality, and providing regular reports to HUD. The use of an HMIS is mandated by Congress for any CoCs who receive federal funding to address homelessness in their communities. Access to HMIS is strictly monitored, requiring background checks and security measures to protect the confidential client data stored in the system. One of the main functions of the HMIS is to connect community agencies with one another, allowing direct service staff to know more about what is happening with their clients and where else they are obtaining services. SSF also manages the CES. Coordinated Entry is a CoC-established system-wide process to quickly and equitably coordinate the access, assessment, prioritization and referrals to housing and services for people experiencing or at imminent risk of homelessness.
CoCs are federally created entities subject to federal regulations. Federal regulations require a CoC to have two-tiered governance structure – a CoC board and a CoC membership. The board is responsible for day-to-day operations. HUD does not dictate the board membership except it must be representative of the community and have at least one person with lived experience of homelessness. SSF has over 30 members including the County of Sacramento, Cities of Sacramento, Elk Grove, Rancho Cordova, and Citrus Heights, and multiple other local service providers. SSF does not have a board but has been working with a technical advisor since January to address this issue. It is unclear why SSF does not have a board but the CoC membership must vote on the board members. The membership must vote every five years to elect the board. The makeup of the membership and the board are key to the CoCs competitiveness for federal funding. Despite not having a board, SSF has increased its funding this past year, which is a sign that it is competing well. Federal funding is tied to how the CoC board and membership are structured, meaning decisions regarding board makeup will impact the competiveness of the community for funding. This bill would move the CoC to the SHHA without a vote of the CoC and would appear to make the board of the SHHA the board of the CoC. This would violate federal regulations and make the CoC ineligible for federal funding under the McKinney-Vento Act. The committee may wish to consider if this bill should instead require the CoC Board, once it is created, to vote to be moved to SHHA.
RHNA: The RHNA process is used to determine how many new homes, and the affordability level of those homes, each local government must plan for in its housing element to cover the duration of the next eight-year planning cycle. The state is currently in the sixth housing element cycle. The regional housing needs designation is assigned at the COG level, while RHNA is suballocated to subregions of the COG or directly to local governments. RHNA is currently assigned via six income categories: very low-income (0-50% of AMI), low-income (50-80% of AMI), moderate income (80-120% of AMI), and above moderate income (120% or more of AMI). Beginning with the seventh cycle, two new income categories will be incorporated for acutely low-income (0-15% of AMI) and extremely low-income (15-30% of AMI). This bill would consolidate the RHNA for Sacramento County into one single regional goal and have SHHA allocate it to cities in the county. The total RHNA would be reduced by 20% from the aggregate of the allocation that would otherwise apply to the participating entities individually. The committee may wish to remove this provision as it undermines a multi-year effort by the Legislature to reform the RHNA process to make it more equitable and affirmatively further fair housing, fails to account for the ongoing work of the region’s current COG (the Sacramento Area Council of Governments), and is unnecessary as there already exists a process by which various contiguous cities or counties within a COG can choose to form a subregional entity to sub-allocate the RHNA in those jurisdictions.
Local Housing Trust Funds: Cities and counties create local housing trust funds to collect funding to support the construction of affordable housing. If a city has an inclusionary housing ordinance that requires developments to either include a percentage of affordable housing on site or pay an in-lieu fee, those fees are deposited into the local housing trust fund and invested in future affordable housing developments. Cities can also pass local fees with a majority vote to fund housing and homelessness. This bill would require all funds in local housing trust funds to be transferred to the SHHA to administer. Redirecting fees generated in individual cities and spending those funds in other parts of the county could raise Proposition 26 issues and the requirement for a majority vote to collect fees. The committee may wish to require that if housing trust fund dollars are moved to a regional entity, they are still spent in the city that generated the funding.
Having a single entity that administers funds regionally could be beneficial. A single entity could create a common application and award process that would be easier for developers to navigate. SHRA also controls the housing choice vouchers for the county which can be “project-based,” meaning they subsidize the units in a developments, not the individual – these are a major resource needed to fund affordable housing. A regional entity could identify how many affordable units are needed across the region, including how many are needed specifically for people experiencing homelessness, and coordinate vouchers to those areas.
State and Federal Funding Grab: This bill would have SHHA assume or continue responsibility for the administration and oversight of a list of programs for all participating entities in the joint powers agreement. The list includes federal and state funding programs that fund affordable housing and homelessness programs that currently go directly to the cities and the county impacted by the bill.
The Federal government provides funding to local communities through the CDBG and HOME programs. CDBG provides annual grants on a formula basis to states, cities, and counties to develop viable urban communities by providing decent housing and a suitable living environment, and by expanding economic opportunities, principally for low- and moderate-income persons. Cities can choose to receive these funds directly as an entitlement or have HCD administer the funds as non-entitlement jurisdictions. Funding for unincorporated areas are administered by SHRA. All of the cities in the county impacted by this bill receive direct entitlements of CDBG.
This bill would also direct “all state homelessness program funding” to SHHA. Although the bill specifies some programs – like HHAP, which SSF, the City of Sacramento, and the County all currently can apply for, and HomeKey which is a competitive program – there are other programs the state administers through counties. These include the Bringing Families Home Program and CalWORKs Housing Support Program, which the Department of Social Services (DSS) administers as grants to counties. All of these funds could be swept into this new agency. This could create challenges in complying with the program requirements. The CalWORKs Housing Support Program provides rental assistance to CalWORKs recipients and CalWORKs is administered by the county. Bringing Families Homes provides rental assistance to families who have been able to reunite with a child in foster care, except they cannot secure affordable housing. The county administers the foster care system.
As previously discussed, this bill would also move the CoC to the new entity, including the function of managing the CES and the HMIS system – these are the core functions of the CoC as the designated Lead Agency. Federal regulations require the CoC membership to vote to designate the lead agency.
Why is it hard to solve homelessness? Homelessness is the top issue among voters and one of the hardest policy issues to address. In most communities, the resources needed to solve homelessness – the homeless response system – are siloed among three major parties – cities, counties, and CoCs. Cities tend to be home to more people experiencing homelessness because people have easier access to amenities and resources. Yet, cities do not control much of the funding that is needed to get people into housing, including vouchers, mental health services, and connections to health care. Cities have land use authority and can site more housing, particularly affordable housing and permanent supportive housing, but they still have to seek help from their county to get project-based vouchers and funding for wrap-around services for people living in supportive housing that need extra help to stay housed. Counties have funding for mental health services through the Behavioral Health Services Act – recent legislation requires that 30% of those funds go to support people accessing and maintain housing through rental assistance and other supports. CoCs have funding to address homelessness and maintain the CES which matches people experiencing homelessness with services and hopefully a permanent housing unit. While the CoC is responsible for collecting and maintaining the data around homelessness and is the entry point for many people experiencing homelessness into services and connecting to housing, they lack any ability to direct County, SHRA, or city resources. SHRA, the City of Rancho Cordova, the City of Elk Grove, the City of Citrus Heights, the City of Sacramento, and Sacramento County currently sit on the CoC. This entire system lacks adequate resources to house the people who are currently homeless and the resources to help people who are falling into homelessness to stay housed.
Sacramento is not unique in its inability to figure out a structure that resolves all of these challenges and aligns resources. Los Angeles County and the City of Los Angeles have a JPA but are in the process of dissolving that entity to create a new structure. Communities around the state are struggling to figure out how to coordinate resources.
The state has provided funds through HHAP program over the last seven years to help big cities, counties, and CoCs respond to homelessness, with a focus on unsheltered homelessness, but this funding is inadequate to resolve the problem. HHAP has evolved over the last few years to push applicants to develop a coordinated strategy to address homelessness. HHAP requires applicants – CoCs, big cities – and counties - to develop a Regional Plan to address homelessness. SSF developed the plan and though all of the cities within the county participated, none of the cities not receiving funding from HHAP brought the plan before their City Councils to be ratified.
Other options? A 2022-23 Sacramento County Grand Jury Report lays out past efforts to create a coordinated response to homelessness in the county. In December 2019, the County Board of Supervisors and Sacramento City Council passed resolutions to form a JPA intended to resolve homelessness, but no JPA was established. In 2011, the Board of Supervisors and Sacramento City Council passed a resolution endorsing SSF as the Lead Agency to monitor and coordinate homelessness in the county. In November 2022, Sacramento County voters passed Measure O to require the city and county of Sacramento to approve a legally binding partnership agreement to improve the homelessness crisis. The Grand Jury Report laid out the challenges of addressing homelessness through the siloed system in Sacramento and recommended the creation of a JPA governed by elected officials in the county.
In December 2023, a consulting firm commissioned by SSF and the county identified ways to better align and engage local partners and researched national governance models to develop a report that includes local and national landscape assessments and provides options for alternative organizational approaches to shared governance. The consultants provided several options, based on models that have worked in other communities, which will help to inform what the county presents to the BOS in August. These include:
“Collective Impact Model – A revision of the current structure to advance regional goals by establishing an overarching and revised Partnership Agreement to redefine roles and restructure board under a revised collective impact framework with SSF functioning as the backbone agency.
Regional Governance – This redefines the governance structure under a JPA which designates a distinct entity the JPA responsible for acting as a single representative for ending homelessness in the region. The JPA defines the scope of the JPA and the roles and authority. The JPA can be developed as a new, independent entity or within an existing government body.”
In October there is a planned meeting of all the county supervisors and the mayors of all of the cities in the county for a discussion of homelessness. This bill appears to disrupt this local shared governance evaluation process in favor of state-level intervention.
Joint Exercise of Powers Act: Joint powers are exercised when public officials of two or more agencies agree to establish a joint approach or create another legal entity to work on a common problem, fund a project, or act as a representative body for a specific activity. All manner of federal, state and local public agencies can agree to exercise joint powers. A California agency can even share joint powers with an agency in another state. The common thread is that a confederation of governments work together and share resources for mutual support or common actions. The government agencies that participate in joint powers are called member agencies, and a JPA can only exercise powers that each member agency independently possesses.
A joint powers agreement is a formal, legal agreement between two or more public agencies that wish to exercise joint powers. Some joint powers agreements are administered by one of the participating agencies. Others are administered by a new, legally independent government entity (called a joint powers agency or a joint powers authority – both referred to as a JPA) that the member agencies create. The new entity need not even call itself a JPA. JPAs are not special districts, although such agencies can enter into joint powers agreements.
As tools for collaboration, JPAs are used for a variety of purposes. By sharing resources and combining services, the member agencies – and their taxpayers – save time and money. There are no official categories for the types of JPAs, but their services generally fall into five broad groups: general public services, financial services, insurance pooling and purchasing discounts, planning services, and regulatory enforcement.
Public agencies authorized to enter into joint powers agreements include "the federal government or any federal department or agency, this state, another state or any state department or agency, a county, county board of education, county superintendent of schools, city, public corporation, public district, regional transportation commission of this state or another state, a federally recognized Indian tribe, or any joint powers authority…"
Given JPA’s inherent design as voluntary agreements among participating agencies, and the existence of JPA law that already authorizes interested agencies to create JPAs, the Legislature has not generally authorized or required the creation or alteration of specific JPAs. However, in recent years, the Legislature has reviewed and/or approved the creation of JPAs for specific purposes, some to address the ongoing housing crisis in the state. For example:
AB 2593 (McCarty) of 2024 would have authorized a local agency within the County of Sacramento to enter into a joint powers agreement with any other local agency to operate a joint powers authority to assist people experiencing homelessness. AB 2593 died on the Senate inactive file. AB 1086 (McCarty) of 2023 was similar to AB 2593. AB 1086 was referred to Assembly Local Government Committee but never heard.
SB 20 (Rubio), Chapter 147, Statutes of 2023, allowed all local agencies to create regional housing trusts to fund housing to assist people experiencing homelessness and persons and families of extremely low-, very low-, and low-income within their jurisdictions.
SB 1177 (Portantino), Chapter 173, Statutes of 2022, authorized the creation of the Burbank-Glendale-Pasadena Regional Housing Trust; SB 1444 (Allen), Chapter 672, Statutes of 2022, authorized the creation of the South Bay Regional Housing Trust; AB 687 (Seyarto), Chapter 120, Statutes of 2021, authorized the creation of the Western Riverside County Housing Finance Trust.; SB 751 (Rubio), Chapter 670, Statutes of 2019, authorized local agencies within the San Gabriel Valley Council of Governments to enter into a JPA to fund housing; and, AB 448 (Daly), Chapter 336, Statutes of 2018, authorized the creation of the Orange County Housing Finance Trust.
Finally, SB 1403 (Maienschein), Chapter 188, Statutes of 2015, allowed one or more private, non-profit 501(c)(3) corporations that provide services to homeless persons to form a JPA, or enter into a joint powers agreement, with one or more public agencies to encourage and ease information sharing between public agencies and nonprofit corporations to identify the most costly and frequent users of publicly-funded emergency services, provide frequent user coordinated care housing services, and prevent homelessness.
Notably, all of the aforementioned bills authorized – but did not require – the creation of a JPA to address housing or homelessness needs.
State Authorized Regional Entities: In 2019, AB 1487 (Chiu, Chapter 598), created a new regional option to address the lack of affordable housing in the San Francisco Bay Area. Specifically, that bill provided the Association of Bay Area Governments (ABAG) and the Metropolitan Transportation Commission (MTC) – acting as the Bay Area Housing Finance Agency (BAHFA) – with new tools to raise billions of dollars to fund the production, preservation, and protection of affordable housing. That bill was formulated in partnership with the Bay Area’s local elected leaders and other regional leaders and set forth the governing structure and powers of the board, allowable financing activities, and allowable uses of the revenues generated. Its purpose was to raise, administer, and allocate funding and provide technical assistance at a regional level for tenant protection, affordable housing preservation, and new affordable housing production.
In 2022, the Legislature authorized the County of Los Angeles to establish the Los Angeles County Affordable Housing Solutions Agency (LACAHSA) through the passage of SB 679 (Kamlager, Chapter 661). That bill, similar to AB 1487, authorized LACAHSA to utilize specified local financing tools (taxes and bonds) to fund renter protections and the preservation and production of housing affordable to households earning up to 80% of area median income.
In 2024, in an effort to create a roadmap for other communities to create regional housing entities without having to come to the Legislature, SB 440 (Skinner), Chapter 767 empowered communities to address their own affordable and missing middle housing shortages by allowing regions to create finance agencies that can fund the construction and preservation of affordable housing. SB 440 allowed two or more local governments to establish an Authority for purposes of raising, administering, and allocating funding and providing technical assistance at a regional level for affordable housing development. The Authority is granted specific powers, and the bill established a governance structure and imposed reporting and auditing requirements. It also spelled out the specific types of funding streams that may be collected, and that they may be used for affordable housing development and preservation, and infrastructure necessary for those developments. While SB 440 was modeled on BAHFA and LACAHSA, that bill granted new Authorities additional powers not bestowed on those existing entities. These Authorities, in addition to the ability to managing existing buildings, could hold and acquire existing buildings for purposes of attaching affordability requirements. For any property acquired, these Authorities, unlike BAHFA and LACAHSA, will have the power to set the land use and development parameters for such property, including setting the request for proposal criteria and selection process for a development partner. Lastly, these Authorities are focused on the preservation and construction of housing. BAHFA and LACAHSA also authorized funds to be used for renter protections and renter supports.
The SB 440 Authority model is now available should other communities, such as Sacramento, wish to form or consolidate regional efforts to address affordable housing needs in their communities. The difference between these entities and what is proposed in this bill is these proposals were initiated through a collaborative process at the local level. In addition, the regional entities that the Legislature created through statute are being organized locally to generate new funding rather than redirecting existing funding.
Redevelopment: Article XVI, Section 16 of the California Constitution authorizes the Legislature to provide for the formation of RDAs to eliminate blight in an area by means of a self-financing schedule that pays for the redevelopment project with tax increment derived from any increase in the assessed value of property within the redevelopment project area (or tax increment). Generally, property tax increment financing involves a local government forming a tax increment financing district to issue bonds and use the bond proceeds to pay project costs within the boundaries of a specified project area. To repay the bonds, the district captures increased property tax revenues that are generated when projects financed by the bonds increase assessed property values within the project area.
To calculate the increased property tax revenues captured by the district, the amount of property tax revenues received by any local government participating in the district is “frozen” at the amount it received from property within a project area prior to the project area’s formation. In future years, as the project area's assessed valuation grows above the frozen base, the resulting additional property tax revenues — the so-called property tax “increment” revenues — flow to the tax increment financing district instead of other local governments. After the bonds have been fully repaid using the incremental property tax revenues, the district is dissolved, ending the diversion of tax increment revenues from participating local governments.
Prior to Proposition 13, very few RDAs existed; however, after its passage, RDAs became a source of funding for a variety of local infrastructure activities. At the time RDAs were dissolved, the Controller estimated that statewide, RDAs were obligated to spend $1 billion on affordable housing each year. At the time of dissolution, over 400 RDAs statewide were diverting 12% of property taxes, over $5.6 billion yearly.
RDAs were required to dedicate 20% of the tax increment to be used to increase, improve, and preserve the community’s supply of low- and moderate-income housing available at an affordable housing cost. When RDAs were dissolved, successor agencies were established to wind down the RDAs' obligations. Successor agencies were required to effectuate the transfer of an RDA's housing functions and assets to a "housing successor." Cities and counties were given the option of acting as housing successors and taking over the housing assets of their jurisdiction's RDA. If they did not wish to take on this role, the local housing authority was required to act as housing successor. If there was no local housing authority, HCD was required to act as housing successor.
In 2011, facing a severe budget shortfall, the Governor proposed eliminating RDAs in order to deliver more property taxes to other local agencies. Ultimately, the Legislature approved and the Governor signed two measures, ABX1 26 (Blumenfield), Chapter 5 and ABX1 27 (Blumenfield), Chapter 6 that together dissolved RDAs as they existed at the time and created a voluntary redevelopment program on a smaller scale. In response, the California Redevelopment Association (CRA) and the League of California Cities, along with other parties, filed suit challenging the two measures. The Supreme Court denied the petition for peremptory writ of mandate with respect to ABX1 26. However, the Court did grant CRA's petition with respect to ABX1 27. As a result, all RDAs were required to dissolve as of February 1, 2012.
Housing successors are required to maintain any funds generated from housing assets and use them in accordance with the housing related provisions of the Community Redevelopment Law (CRL). This includes real property and other physical assets, funds encumbered for enforceable obligations, any loan or grant receivable, any funds received from rents or operation of properties, rents or other payments from housing tenants or operators, and repayment of loans or deferrals owed. Funding available to a housing successor in the post-redevelopment world is limited to program dollars repaid from loans or investments made by the former RDA. This is a much smaller amount than was generated by RDAs, which produced more than $1 billion in tax increment for housing. SB 341 (DeSaulnier), Chapter 796, Statutes of 2014, revised the rules governing the activities and expenditures of housing successors. RDAs were required to expend funds to improve, increase, or preserve housing affordable to low- and moderate-income families. Housing successors have far less money than RDAs, so the law generally requires them to prioritize that limited funding toward monitoring and maintaining the housing assets that were created or financed by the former RDA.
Generally, former RDA tax increment primarily is used for paying off approved enforceable obligations like bonds and loans. Some agencies have completed payments on these obligations, while others will be making payments for many years to come. As the enforceable obligations decrease, the leftover property tax increment is then allocated to the agencies in which it derives from, including schools and special districts. Housing successors are required to maintain any funds generated from housing assets and use them in accordance with the housing related provisions of RDA law. These assets could include funds encumbered for enforceable obligations. The committee may wish to consider delete the transfer of any tax increment to SHHA to avoid any issue with undermining RDA dissolution law.
Arguments in Support: Several members of the Sacramento City Council submitted letters in support of this bill, including Councilmembers Caity Maple and Mai Vang. Councilmember Maple writes, “Sacramento is one of the most impacted cities in California when it comes to both homelessness and rising housing costs. The 2024 Point-in-Time Count shows that more than 6,600 people remain unhoused in our county. In my district, I meet families, seniors, and young people sleeping outside without access to basic shelter or services. This is not due to a lack of will or resources, but because our response remains fragmented and uncoordinated across jurisdictions. SB 802 would create a regional public agency focused on housing and homelessness that can coordinate across systems to meet the needs of our most vulnerable neighbors. It would allow jurisdictions to pool resources, reduce duplication, and use economies of scale to build the shelter and housing capacity our region desperately needs. A 2023 Sacramento County Grand Jury identified this lack of coordination as our most pressing challenge and made the creation of a Joint Powers Authority its top recommendation. SB 802 answers that call.”
Councilmember Mai Vang writes, “In District 8, we have long recognized that addressing homelessness requires collective responsibility and regional alignment. Since
2020, our district has been home to the Meadowview Navigation Center – a dedicated women’s shelter that has provided safety, stability, and pathways to short-term and long-term housing for unhoused women. SB 802 has the potential to not only strengthen centers like this, but also expand access to services for individuals who are often left behind in outreach efforts due to existing gaps between systems. While our city and partners remain deeply committed to addressing homelessness, we know that a more regional approach is essential. A streamlined framework would allow jurisdictions to better coordinate care, align resources, and develop long-term strategies that truly center our most vulnerable residents. Homelessness knows no boundaries, and this effort is ultimately about people. It’s about ensuring every individual has the opportunity to access stable housing and services. It’s about public health, community well-being, and doing what we can—together—to support our most vulnerable neighbors. Sacramento deserves a housing and homelessness response that works collectively, with shared goals
and shared success. SB 802 is a meaningful step towards that vison.”
Arguments in Opposition: Mayors from all of the cities impacted by this bill, the Board of Supervisors, and City of Sacramento Mayor Kevin McCarty write in opposition of this bill. They state, “The County values partnerships, collaboration, and shared responsibility as evidenced by our success in addressing the needs of the unhoused in our region. In just the last two years, Sacramento County blended State funding and a variety of local and federal funding sources to:
- Successfully launch three Safe Stay Shelter Communities adding 356 new beds that include intensive, wrap around behavioral health services in non-congregate setting. An additional site that will include 225 beds is currently under construction, to open early 2026.
- Expand outreach in the unincorporated County and along the Parkway from a team of 3.5 staff to 23 contracted staff along with County social workers and County behavioral health clinicians and peers who provide proactive encampment response, respond to crisis calls alongside law enforcement and offer an ‘office hour’ approach to outreach to serve the suburban parts of the County.
- Lead the development and expansion of rehousing programs, providing one-time housing funds and on-going rental subsidies to both prevent families from becoming homeless and quickly re-housing them. We are currently working with all four Managed Care Plans to support implementation of a ‘Flex Housing Pool’ to integrate Medi-Cal transitional rent benefits into these programs and creating a consolidated landlord network.
- Successfully launch three Safe Stay Shelter Communities adding 356 new beds that include intensive, wrap around behavioral health services in non-congregate setting. An additional site that will include 225 beds is currently under construction, to open early 2026.
SB 802 disrupts this good work that is on an upward trajectory to giving our very cared-for community members a strong foundation to succeed. As mentioned in our meeting with Senator Ashby on May 22, 2025, the County is also working on the best governance model for our region, which is scheduled for a public hearing in August so that all voices can be heard and considered. In the spirit of partnership and collaboration, we ask that the Senator reconsider her proposal by working with the jurisdictions who take care of the community members on the streets, face-to-face, day and night.”
Committee Amendments: The author submitted amendments to the committee to address several issues raised in the analysis. Staff recommends the committee accept these amendments as committee amendments. Due to timing, these amendments will be taken in the Assembly Local Government Committee. The amendments would:
- Specify that the governing board shall create a plan to ensure equitable distribution of funding and resources across all participating jurisdictions.
(B) The governing board shall establish a removal and replacement process for the executive director.
(3) The governing board shall determine a plan to ensure equitable distribution of funding and resources across all participating jurisdictions.
- Require any funds collected in a local housing trust fund and local housing ordinances fees to be spent in the jurisdictions in which they were originally collected for the purpose they were originally imposed.
- The agency shall be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement pursuant to Section 6539.9.6. These funds shall include, but are not limited to, the affordable housing ordinance fee collected by the County of Sacramento (Section 22.35.010 et seq. of the Sacramento County Code) and the mixed income housing ordinance fee collected by the City of Sacramento (Section 17.712.010 et seq. of the Sacramento City Code). These funds shall only be spent within the jurisdiction from which they were originally collected and for purposes for which they were originally imposed.
- Delete the requirement to the transfer of “housing tax increment revenues” to SHHA:
(h) All housing tax increment revenues derived from former redevelopment areas and allocated to participating cities or to the County of Sacramento shall be transferred to the agency. These revenues shall be used exclusively for the development, preservation, and administration of affordable housing projects. The agency may issue bonds secured by these revenues to finance current and future housing initiatives.
- Delete the language that changes the RHNA process:
(f) Notwithstanding any other law, the regional housing needs allocations pursuant to Section 65584 for all participating entities within the joint powers agreement pursuant to Section 6539.9.6 shall be consolidated into a single regional goal to be administered by the agency. The total regional housing needs assessment allocation for the joint powers agreement shall be reduced by 20 percent from the aggregate of the allocations that would otherwise apply to the participating entities individually.
Related Legislation:
SB 679 (Kamlager), Chapter 661, Statutes of 2022: Established the Los Angeles County Affordable Housing Solutions Agency (LACAHSA), and authorized LACAHSA to utilize specified local financing tools for the purpose of funding renter protections and the preservation and production of housing units affordable to households earning up to 80 percent of the area median income.
AB 1487 (Chiu), Chapter 598, Statutes of 2019: Established BAHFA throughout the San Francisco Bay Area and set forth the governing structure and powers of the BAHFA Board, allowable financing activities, and allowable expenditures of the revenues generated.
Double-referred: This bill was also referred to the Assembly Committee on Local Government and the Assembly Committee on Human Services where it will be heard should it pass out of this committee.
REGISTERED SUPPORT / OPPOSITION:
Support
AARP
Black Women Revolt Against Domestic Violence
California Apartment Association
California YIMBY
Center on Juvenile and Criminal Justice
Community Forward SF
Councilmember Caity Maple, City of Sacramento, District 5
Councilmember Mai Vang, City of Sacramento, District 8
Downtown Women's Center
Franklin Boulevard Business Association
Freedom Forward
LA Casa De Las Madres
Mary Elizabeth Inn
National Council of Jewish Women-SF
People Working Together
Race & Equity in All Planning Coalition (REP-SF)
San Francisco Domestic Violence Consortium
San Francisco SafeHouse
The Women's Building
Vice Mayor Karina Talamantes, Sacramento City Council, District 3
Youth Forward
Individuals (3)
Support If Amended
House Sacramento
Opposition
California (UN)incorporated
California Association of Realtors
Camp Resolution
City of Citrus Heights
City of Elk Grove
City of Folsom
City of Rancho Cordova
Community Lead Advocacy Program Clap
Izaya Michael Foundation
Mayor Bobbie Singh-Allen, City of Elk Grove
Mayor Dr. Jayna Karpinski-Costa, City of Citrus Heights
Mayor Kevin McCarty, City of Sacramento
Mayor Sarah Aquino, City of Folsom
Mayor Siri Pulipati, City of Rancho Cordova
Phil Serna, Sacramento County Board of Supervisors, Chair
Sacramento Area Congregations Together
Sacramento County Board of Supervisors
Sacramento Environmental Justice Coalition
Sacramento Homeless Organizing Committee
Sacramento Homeless Union
Sacramento Housing Alliance
Sacramento Poor People's Campaign
Sacramento Region Business Association
Tai Leadership
Urban Counties of California (UCC)
Individuals (3)
Oppose Unless Amended
Fieldstead and Company
International Brotherhood of Electrical Workers Local 340
Analysis Prepared by: Lisa Engel / H. & C.D. / (916) 319-2085
Date of Hearing: July 16, 2025
ASSEMBLY COMMITTEE ON LOCAL GOVERNMENT
Juan Carrillo, Chair
SBPCA Bill Id:SB 802
Author:(Ashby) – As Amended Ver:June 23, 2025
SENATE VOTE: 36-0
SUBJECT: Housing finance and development: Sacramento Area Housing and Homelessness Agency: Multifamily Housing Program: Homekey: Homeless Housing, Assistance, and Prevention program.
SUMMARY: Restructures, expands, and amends the joint powers authority (JPA) known as the Sacramento Housing and Redevelopment Agency (SHRA) and renames it the Sacramento Housing and Homelessness Agency (SHHA); moves the Sacramento Continuum of Care (CoC) to the new SHHA; moves all homelessness funding from the federal and state government that would go to the impacted cities and county to SHHA; transfers fees collected by the County of Sacramento (Sacramento County) and specified cities in Sacramento County to SHHA; changes the process for distributing the Regional Housing Needs Allocation (RHNA) in Sacramento County; and, makes a number of additional changes. Specifically, this bill:
- Provides the following definitions for the purposes of the provisions of this bill that apply to the Sacramento SHHA:
- “Agency” means the Sacramento SHHA.
- “Governing board” means the governing board of the agency.
- “Qualified local agency” means any city within the County of Sacramento that has a population of at least 50,000, based on the most recent federal decennial census or a subsequent estimate prepared by the Demographic Research Unit of the Department of Finance. “Qualified local agency” includes, but is not limited to, the Cities of Citrus Heights, Elk Grove, Folsom, Rancho Cordova, and Sacramento.
- Requires the JPA currently operating as the SHRA, created pursuant to a 1973 agreement between the City of Sacramento and the County of Sacramento, to be restructured, expanded, amended, and renamed as the SHHA as provided in this bill. Finds and declares that the purpose of the restructuring of the agency is to modernize and expand the agency’s scope and governance to address regional housing and homelessness needs, while preserving the agency’s legal status, contracts, funding eligibility, and programmatic history.
- Requires the SHHA to include as members Sacramento County and each qualified local agency, and to operate under a new joint powers agreement entered into pursuant to this bill.
- Requires the SHHA to serve as the regional authority to do all of the following:
- Develop and preserve affordable housing
- Coordinate and administer homelessness prevention and response services including the Coordinated Entry System
- Serve as the federally-designated Continuum of Care (CoC).
- Apply for, receive, and administer federal, state, and local funding for housing and homelessness.
- Manage and implement a comprehensive strategic plan to address and reduce homelessness in the County of Sacramento.
- Requires the updated joint powers agreement pursuant to 2), above, to provide for a governing board as follows:
- Requires the governing board to be composed of at least one elected official from each qualified local agency that is party to the agreement, with full delegated powers and duties transferred from the cities and county.
- Requires the initial board under the amended joint powers agreement to consist of 11 members appointed by the legislative bodies of Sacramento County and each qualified local agency, in accordance with the following:
- Three members shall be selected from, and appointed by, the City Council of the City of Sacramento.
- Three members shall be selected from, and appointed by, the Board of Supervisors of the Sacramento County.
- Two members shall be selected from, and appointed by, the City Council of the City of Elk Grove.
- One member each shall be selected from, and appointed by, the city councils of the Cities of Citrus Heights, Folsom, and Rancho Cordova.
- Allows the board to increase the number of members if a qualified local agency enters into an agreement to join the joint powers agreement. That qualified local agency shall be entitled to make one appointment to the board.
- Allows each member on the governing board to select an alternate, as specified, to serve on the board when the primary member or members are not available. Each alternate shall be appointed to serve for a specific member. The alternate shall be subject to the same restrictions and shall have the same powers, when serving on the board, as the primary member. The legislative body of any voting entity appointing an alternate shall provide written notification to the secretary of the governing board of each appointment of an alternate in order for the appointment to be effective.
- Provides that a member of the governing board shall serve without compensation but may be reimbursed for actual expenses approved by the board.
- Provides that each governing board member is entitled to one vote on each matter submitted for a vote.
- Provides that, if a vacancy occurs on the governing board because of death, resignation, illness, or for other reason, the secretary of the governing board shall immediately provide written notice to Sacramento County or the qualified local agency appointing the board member, as specified, of the need to appoint a replacement, and the replacement shall be appointed within 60 days of the transmittal of the notice.
- Requires the updated joint powers agreement pursuant to 2), above, to provide for an executive director of the agency, as follows:
- The initial executive director of the agency under the amended joint powers agreement shall be the current executive director of the SHRA.
- The governing board shall establish a removal and replacement process for the executive director.
- Requires the updated joint powers agreement pursuant to 2), above, to provide for bylaws, to be established by the governing board, which shall include, at a minimum, all of the following:
- A regular meeting schedule for the governing board, in accordance with the following:
- The schedule, location, time, and agenda of all regular and special governing board meetings shall be publicly noticed.
- All meetings shall be open to the public, unless the matter is a proper one for closed session. All meetings shall comply with the provisions of the Ralph M. Brown Act, as specified.
- A code of ethics, as follows:
- The key expectations of the code of ethics shall include all of the following:
- Act in the best interest of the agency.
- Do not use official positions for private gain.
- Abstain from decisions where personal or financial interests conflict with Agency interests.
- Each member of the governing board and each employee shall uphold high standards of integrity, fairness, and transparency.
- Each member of the governing board shall comply with the requirements of the Political Reform Act of 1974 (Title 9 (commencing with Section 81000)), and shall file statements of economic interests, as required by law.
- The governing board shall establish process to address any ethics violations.
- The key expectations of the code of ethics shall include all of the following:
- A reimbursement process, including designating what qualifies as a reimbursable expense and establishing procedure for making payments.
- A regular meeting schedule for the governing board, in accordance with the following:
- Requires the Sacramento Local Agency Formation Commission (Sacramento LAFCO) to form and appoint members to an independent task force, with the following provisions:
- Staff of existing entities shall not be appointed to the task force.
- Staff of the SHRA shall provide administrative support to the task force.
- The duties of the independent task force shall be to consolidate all entities for purposes of establishing the SHHA.
- The task force shall dissolve 60 days after the establishment of the governing board of the SHHA.
- Requires the SHHA to adopt a comprehensive strategic plan (strategic plan) to address housing and homelessness no later than three years from the date the restructured agreement takes effect.
- Requires the strategic plan to align with all relevant state and federal requirements.
- Requires the SHHA to submit the strategic plan to the Legislature in compliance with existing law governing reports to the Legislature.
- Requires the SHHA to retain its legal identity as the public housing authority and redevelopment successor entity formerly known as the SHRA and to continue to administer all existing housing, homelessness, and redevelopment programs in compliance with applicable law.
- Prohibits an entity from being created that negates the duties of the SHHA.
- Requires the SHHA to assume or continue responsibility for the administration and oversight of programs for all participating entities in the joint powers agreement pursuant to this bill, including, but not limited to, all of the following:
- Section 8 Housing Choice Voucher (HCV) Program.
- United States Department of Housing and Urban Development (HUD) Veterans Affairs Supportive Housing.
- Public housing.
- Community Development Block Grant Program (CDBG).
- HOME Investment Partnerships Program (HOME).
- Emergency Solutions Grants (ESG).
- CoC Program.
- Housing Opportunities for Persons With AIDS Program (HOPA).
- State homelessness programs.
- Homeless Housing, Assistance, and Prevention (HHAP) program.
- Homekey program.
- Coordinated Entry System (CES).
- CoC governance, data, and performance standards mandated by HUD (HMIS).
- Requires the SHHA to comply with civil rights laws, including the federal Fair Housing Act, the mandate to affirmatively further fair housing, the Federal Americans with Disabilities Act of 1990, and Title VI of the federal Civil Rights Act of 1964.
- Requires the SHHA to maintain eligibility for all funding programs for which the SHRA or Sacramento Steps Forward previously qualified.
- Requires the SHHA to be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement pursuant to this bill. These funds shall include, but are not limited to, the affordable housing ordinance fee collected by Sacramento County and the mixed income housing ordinance fee collected by the City of Sacramento.
- Requires the RHNA for all participating entities within the joint powers agreement pursuant to this bill to be consolidated into a single regional goal to be administered by the SHHA. The total RHNA for the joint powers agreement shall be reduced by 20% from the aggregate of the allocations that would otherwise apply to the participating entities individually.
- Requires the SHHA to be deemed a regional entity for the purposes of statewide housing and homelessness funding programs and to be granted priority consideration for all applicable state housing and homelessness funding sources.
- Requires all housing tax increment revenues derived from former redevelopment areas and allocated to participating cities or to Sacramento County to be transferred to the SHHA and used exclusively for the development, preservation, and administration of affordable housing projects.
- Allows the SHHA to issue bonds secured by housing tax increment revenues referenced in 20), above, to finance current and future housing initiatives.
- Requires the SHHA to coordinate its operations with the housing and homelessness departments of each participating jurisdiction to ensure alignment of local priorities and effective delivery of services. These departments include, but are not limited to, all of the following:
- The Department of Homeless Services and Housing of Sacramento County.
- The Department of Community Response of the City of Sacramento.
- The Housing Division of the City of Elk Grove.
- The Housing Division of the City of Rancho Cordova.
- The Housing and Grants Division of the City of Citrus Heights.
- Allows the SHHA to consult with additional local departments, advisory bodies, or nonprofit partners as needed to fulfill its mission.
- Requires the SHHA to establish and maintain a standing advisory board to ensure compliance with federal and state requirements for public participation in housing authority and CoC governance, and specifies the following for the advisory board:
- Requires the advisory board to be appointed by a majority vote of the governing board and to adopt bylaws for appointments, terms, and procedures.
- Requires the advisory board to include, but not be limited to, all of the following:
- At least one individual currently or formerly experiencing homelessness, as specified, and at least one individual who is a current resident of public housing or low-income housing.
- Representatives from community-based organizations, service providers, and housing developers.
- Experts in behavioral health, public housing, and program implementation.
- Requires the advisory board to do all of the following:
- Meet at least quarterly in publicly noticed meetings.
- Provide recommendations on funding, programs, planning, and performance.
- Fulfill United States Department of Housing and Urban Development and state consultation requirements for funding and compliance.
- Assist in development of the Sacramento SHHA’s strategic plan and annual updates.
- Prohibits the advisory board from having voting authority over governing board decisions.
- Requires the advisory board to consist of seven members, appointed as provided in a) and b), above.
- Requires the department of Housing and Community Development (HCD), for future rounds of HHAPP, Multi-family Housing Program (MHP), and Homekey funding, to give consideration to the following populations:
- Former foster youth.
- Homeless persons.
- Extremely low-income households, very-low-income households, and lower-income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking.
- Finds and declares, with respect to the provisions of this bill regarding the SHHA, that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique and urgent housing and homelessness conditions in Sacramento County and its major cities.
- Contains a number of additional findings and declarations regarding its purpose.
- Provides that, if the Commission on State Mandates determines that this bill contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to current law governing state-mandated local costs.
FISCAL EFFECT: This bill is keyed fiscal and contains a state-mandated local program.
COMMENTS:
- Author’s Statement. According to the author, “For over a decade, multiple Sacramento County Grand Jury reports, including in 2019 and again in 2023, have warned that the absence of a regional authority and coherent organizational structure makes it virtually impossible to use valuable resources effectively. The 2023 report described Sacramento’s homelessness response as ‘disjointed, lacking accountability, and often reactive rather than proactive,’ highlighting how eight separate government-funded entities operate with siloed data, conflicting goals, and inconsistent planning.
“SB 802 responds to this long-standing call for change by establishing the Sacramento Area Housing and Homelessness Agency, a new Joint Powers Authority. This single, coordinated agency will ensure shared decision-making, strengthen accountability, and better leverage local, state, and federal resources to address homelessness and housing insecurity across Sacramento County. All cities in the county will have the opportunity to participate and weigh in through representation on the agency’s governing board. Importantly, the agency will also include people with lived experience of homelessness, along with technical experts, on its Advisory Committee, ensuring that the voices of those directly impacted help guide local solutions.
“By creating a regional structure with clear governance, broad city participation, community representation, and oversight, SB 802 delivers the accountability, collaboration, and leadership we need to address homelessness and housing more effectively and efficiently.”
- Joint Exercise of Powers Act. Joint powers are exercised when public officials of two or more agencies agree to establish a joint approach or create another legal entity to work on a common problem, fund a project, or act as a representative body for a specific activity. All manner of federal, state and local public agencies can agree to exercise joint powers. A California agency can even share joint powers with an agency in another state. The common thread is that a confederation of governments work together and share resources for mutual support or common actions. The government agencies that participate in joint powers are called member agencies, and a JPA can only exercise powers that each member agency independently possesses.
A joint powers agreement is a formal, legal agreement between two or more public agencies that wish to exercise joint powers. Some joint powers agreements are administered by one of the participating agencies. Others are administered by a new, legally independent government entity (called a joint powers agency or a joint powers authority – both referred to as a JPA) that the member agencies create. The new entity need not even call itself a JPA. JPAs are not special districts, although such agencies can enter into joint powers agreements.
As tools for collaboration, JPAs are used for a variety of purposes. By sharing resources and combining services, the member agencies – and their taxpayers – save time and money. There are no official categories for the types of JPAs, but their services generally fall into five broad groups: general public services, financial services, insurance pooling and purchasing discounts, planning services, and regulatory enforcement.
Public agencies authorized to enter into joint powers agreements include "the federal government or any federal department or agency, this state, another state or any state department or agency, a county, county board of education, county superintendent of schools, city, public corporation, public district, regional transportation commission of this state or another state, a federally recognized Indian tribe, or any joint powers authority…"
Given JPA’s inherent design as voluntary agreements among participating agencies, and the existence of JPA law that already authorizes interested agencies to create JPAs, the Legislature has not generally authorized or required the creation or alteration of specific JPAs. However, in recent years, the Legislature has reviewed and/or approved the creation of JPAs for specific purposes, some to address the ongoing housing crisis in the state. For example:
- AB 2593 (McCarty) of 2024 would have authorized a local agency within the County of Sacramento to enter into a joint powers agreement with any other local agency to operate a joint powers authority to assist the homeless. AB 2593 died on Senate inactive file.
- AB 1086 (McCarty) of 2023 was similar to AB 2593. AB 1086 was referred to Assembly Local Government Committee but never heard.
- SB 20 (Rubio), Chapter 147, Statutes of 2023, allowed all local agencies to create regional housing trusts to fund housing to assist the homeless population and persons and families of extremely low-, very low-, and low-income within their jurisdictions.
- SB 1177 (Portantino) Chapter 173, Statutes of 2022, authorized the creation of the Burbank-Glendale-Pasadena Regional Housing Trust; SB 1444 (Allen) Chapter 672, Statutes of 2022, authorized the creation of the South Bay Regional Housing Trust; AB 687 (Seyarto) Chapter 120, Statutes of 2021, authorized the creation of the Western Riverside County Housing Finance Trust.; SB 751 (Rubio) Chapter 670, Statutes of 2019, authorized local agencies within the San Gabriel Valley Council of Governments to enter into a JPA to fund housing; and, AB 448 (Daly) Chapter 336, Statutes of 2018, authorized the creation of the Orange County Housing Finance Trust.
- SB 1403 (Maienschein), Chapter 188, Statutes of 2015, allowed one or more private, non-profit 501(c)(3) corporations that provide services to homeless persons to form a JPA, or enter into a joint powers agreement, with one or more public agencies to encourage and ease information sharing between public agencies and nonprofit corporations to identify the most costly and frequent users of publicly-funded emergency services, provide frequent user coordinated care housing services, and prevent homelessness.
- AB 2593 (McCarty) of 2024 would have authorized a local agency within the County of Sacramento to enter into a joint powers agreement with any other local agency to operate a joint powers authority to assist the homeless. AB 2593 died on Senate inactive file.
Notably, all of the aforementioned bills authorized – but did not require – the creation of a JPA to address housing or homeless needs.
- SHRA. SHRA is a JPA of the City and County of Sacramento, formed in 1973. It was originally formed to combine the Housing Authorities for both the city and county and became the redevelopment agency for the city and county before redevelopment agencies were dissolved. It serves as the successor agency to the redevelopment agency and is responsible for winding down the activities of redevelopment, including paying down any obligations of the redevelopment agency.
SHRA owns and manages thousands of residential units in the county, develops new housing, and administers federal housing choice vouchers. SHRA has a seat on Sacramento’s CoC – Sacramento Steps Forward. The city’s housing authority meets on city decisions, while the county’s housing authority meets on county matters. A separate Sacramento Housing Commission with delegated approvals from both the city and county make decisions so they do not have to go back to the board of supervisors or city council. The county has become disillusioned with SHRA over the years and has been moving funding and policy decisions out of SHRA’s control.
- Sacramento Steps Forward (SSF). SSF is Sacramento County’s CoC. The CoC is a federally created entity that is responsible for administering federal funding to address homelessness, collect data that is input into the HMIS, and managing the Coordinated Entry System (CES). HMIS is a shared localized database used by organizations that provide services to people who are homeless or at risk of becoming homeless. As the local HMIS lead, SSF manages the database for Sacramento and Yolo Counties, granting access to the system, maintaining data quality, and providing regular reports to HUD.
The use of an HMIS is mandated by Congress for any CoCs who receive federal funding to address homelessness in their communities. Access to HMIS is strictly monitored, requiring background checks and security measures to protect the confidential client data stored in the system. One of the main functions of the HMIS is to connect community agencies with one another, allowing direct service staff to know more about what is happening with their clients and where else they are obtaining services. SSF also manages the CES. Coordinated entry is a CoC-established system-wide process to quickly and equitably coordinate the access, assessment, prioritization and referrals to housing and services for people experiencing or at imminent risk of homelessness.
CoCs are federally-created entities subject to federal regulations. Federal regulations require a CoC to have a two-tiered governance structure – a CoC board and a CoC membership. The board is responsible for day-to-day operations. HUD does not dictate the board membership except it must be representative of the community and have at least one person with lived experience of homelessness. SSF has over 30 members including the County of Sacramento, the Cities of Sacramento, Elk Grove, Rancho Cordova, and Citrus Heights, and multiple other local service providers. SSF does not have a board, but has been working with a technical advisor since January to address this issue. It is unclear why SSF does not have a board but the CoC membership must vote on the board members. The membership must vote every five years to elect the board.
The makeup of the membership and the board are key to the CoCs competitiveness for federal funding. Despite not having a board, SSF has increased its funding this past year, which is a sign that it is competing well. Federal funding is tied to how the CoC board and membership are structured, meaning decisions regarding board makeup will impact the competiveness of the community for funding. This bill would move the CoC to the SHHA without a vote of the CoC and would appear to make the board of the SHHA the board of the CoC. This would violate federal regulations and make the CoC ineligible for federal funding under the McKinney-Vento Act.
- RHNA. The RHNA process is used to determine how many new homes, and the affordability level of those homes, each local government must plan for in its housing element to cover the duration of the next eight-year planning cycle. The state is currently in the sixth housing element cycle. The regional housing needs designation is assigned at the COG level, while RHNA is suballocated to subregions of the COG or directly to local governments. RHNA is currently assigned via six income categories: very low-income (0-50% of AMI), low-income (50-80% of AMI), moderate income (80-120% of AMI), and above moderate income (120% or more of AMI). Beginning with the seventh cycle, two new income categories will be incorporated for acutely low-income (0-15% of AMI) and extremely low-income (15-30% of AMI).
This bill would consolidate the RHNA for Sacramento County into one single regional goal and have SHHA allocate it to cities in the county. The total RHNA would be reduced by 20% from the aggregate of the allocation that would otherwise apply to the participating entities individually. There has been a multi-year effort by the Legislature to reform the RHNA process to make it more equitable and affirmatively further fair housing. Also, a process by which various contiguous cities or counties within a COG can choose to form a subregional entity to sub-allocate the RHNA in those jurisdictions already exists.
- State and Federal Funding Grab? This bill would have SHHA assume or continue responsibility for the administration and oversight of a list of programs for all participating entities in the joint powers agreement. The list includes federal and state funding programs that fund affordable housing and homelessness programs that currently go directly to the cities and the county impacted by the bill.
The Federal government provides funding to local communities through the CDBG and HOME programs. CDBG provides annual grants on a formula basis to states, cities, and counties to develop viable urban communities by providing decent housing and a suitable living environment, and by expanding economic opportunities, principally for low- and moderate-income persons. Cities can choose to receive these funds directly as an entitlement or have HCD administer the funds as non-entitlement jurisdictions. Funding for unincorporated areas are administered by SHRA. All of the cities in the county impacted by this bill receive direct entitlements of CDBG.
This bill would also direct “all state homelessness program funding” to SHHA. Although the bill specifies some programs – like HHAP, which SSF, the City of Sacramento, and the County all currently can apply for, and HomeKey which is a competitive program – there are other programs the state administers through counties. These include the Bringing Families Home Program and CalWORKs Housing Support Program, which the Department of Social Services (DSS) administers as grants to counties. All of these funds could be swept into this new agency. This could create challenges in complying with the program requirements. The CalWORKs Housing Support Program provides rental assistance to CalWORKs recipients and CalWORKs is administered by the county. Bringing Families Homes provides rental assistance to families who have been able to reunite with a child in foster care, except they cannot secure affordable housing. The county administers the foster care system.
As previously discussed, this bill would also move the CoC to the new entity, including the function of managing the CES and the HMIS system – these are the core functions of the CoC as the designated Lead Agency. Federal regulations require the CoC membership to vote to designate the lead agency.
- Why is it Hard to Solve Homelessness? Homelessness is the top issue among voters and one of the hardest policy issues to address. In most communities, the resources needed to solve homelessness – the homeless response system – are siloed among three major parties – cities, counties, and CoCs.
Cities tend to be home to more people experiencing homelessness because people have easier access to amenities and resources. Yet, cities do not control much of the funding that is needed to get people into housing, including vouchers, mental health services, and connections to health care. Cities have land use authority and can site more housing, particularly affordable housing and permanent supportive housing, but they still have to seek help from their county to get project-based vouchers and funding for wrap-around services for people living in supportive housing that need extra help to stay housed.
Counties have funding for mental health services through the Behavioral Health Services Act – recent legislation requires that 30% of those funds go to support people accessing and maintain housing through rental assistance and other supports. CoCs have funding to address homelessness and maintain the CES, which matches people experiencing homelessness with services and hopefully a permanent housing unit. While the CoC is responsible for collecting and maintaining the data around homelessness and is the entry point for many people experiencing homelessness into services and connecting to housing, they lack any ability to direct County, SHRA, or city resources. SHRA, the City of Rancho Cordova, the City of Elk Grove, the City of Citrus Heights, the City of Sacramento, and Sacramento County currently sit on the CoC. This entire system lacks adequate resources to house the people who are currently homeless and the resources to help people who are falling into homelessness to stay housed.
Sacramento is not unique in its inability to figure out a structure that resolves all of these challenges and aligns resources. Los Angeles County and the City of Los Angeles have a JPA, but are in the process of dissolving that entity to create a new structure. Communities around the state are struggling to figure out how to coordinate resources.
The state has provided funds through HHAP program over the last seven years to help big cities, counties, and CoCs respond to homelessness, with a focus on unsheltered homelessness, but this funding is inadequate to resolve the problem. HHAP has evolved over the last few years to push applicants to develop a coordinated strategy to address homelessness. HHAP requires applicants – CoCs, big cities, and counties – to develop a Regional Plan to address homelessness. SSF developed the plan and, although all of the cities within the county participated, none of the cities not receiving funding from HHAP brought the plan before their City Councils to be ratified.
- Other Options and Efforts Underway. A 2022-23 Sacramento County Grand Jury Report lays out past efforts to create a coordinated response to homelessness in the county. In December 2019, the County Board of Supervisors and Sacramento City Council passed resolutions to form a JPA intended to resolve homelessness, but no JPA was established. In 2011, the Board of Supervisors and Sacramento City Council passed a resolution endorsing SSF as the Lead Agency to monitor and coordinate homelessness in the county. In November 2022, Sacramento County voters passed Measure O to require the city and county of Sacramento to approve a legally binding partnership agreement to improve the homelessness crisis. The Grand Jury Report laid out the challenges of addressing homelessness through the siloed system in Sacramento and recommended the creation of a JPA governed by elected officials in the county.
In December 2023, a consulting firm commissioned by SSF and the county identified ways to better align and engage local partners and researched national governance models to develop a report that includes local and national landscape assessments and provides options for alternative organizational approaches to shared governance. The consultants provided several options, based on models that have worked in other communities, which will help to inform what the county presents to the BOS in August. These include:
“Collective Impact Model – A revision of the current structure to advance regional goals by establishing an overarching and revised Partnership Agreement to redefine roles and restructure board under a revised collective impact framework with SSF functioning as the backbone agency.
“Regional Governance – This redefines the governance structure under a JPA which designates a distinct entity the JPA responsible for acting as a single representative for ending homelessness in the region. The JPA defines the scope of the JPA and the roles and authority. The JPA can be developed as a new, independent entity or within an existing government body.”
In October there is a planned meeting of all the county supervisors and the mayors of all of the cities in the county for a discussion of homelessness. This bill appears to disrupt this local shared governance evaluation process in favor of state-level intervention.
- State Authorized Regional Entities. In 2019, AB 1487 (Chiu, Chapter 598), created a new regional option to address the lack of affordable housing in the San Francisco Bay Area. Specifically, that bill provided the Association of Bay Area Governments (ABAG) and the Metropolitan Transportation Commission (MTC) – acting as the Bay Area Housing Finance Agency (BAHFA) – with new tools to raise billions of dollars to fund the production, preservation, and protection of affordable housing. That bill was formulated in partnership with the Bay Area’s local elected leaders and other regional leaders and set forth the governing structure and powers of the board, allowable financing activities, and allowable uses of the revenues generated. Its purpose was to raise, administer, and allocate funding and provide technical assistance at a regional level for tenant protection, affordable housing preservation, and new affordable housing production.
In 2022, the Legislature authorized the County of Los Angeles to establish the Los Angeles County Affordable Housing Solutions Agency (LACAHSA) through the passage of SB 679 (Kamlager, Chapter 661). That bill, similar to AB 1487, authorized LACAHSA to utilize specified local financing tools (taxes and bonds) to fund renter protections and the preservation and production of housing units affordable to households earning up to 80% of area median income.
In 2024, in an effort to create a roadmap for other communities to create regional housing entities without having to come to the Legislature, SB 440 (Skinner), Chapter 767 empowered communities to address their own affordable and missing middle housing shortages by allowing regions to create finance agencies that can fund the construction and preservation of affordable housing. SB 440 allowed two or more local governments to establish an Authority for purposes of raising, administering, and allocating funding and providing technical assistance at a regional level for affordable housing development. The Authority is granted specific powers, and the bill established a governance structure and imposed reporting and auditing requirements. It also spelled out the specific types of funding streams that may be collected, and that they may be used for affordable housing development and preservation, and infrastructure necessary for those developments.
While SB 440 was modeled on BAHFA and LACAHSA, that bill granted new Authorities additional powers not bestowed on those existing entities. These Authorities, in addition to the ability to managing existing buildings, could hold and acquire existing buildings for purposes of attaching affordability requirements. For any property acquired, these Authorities, unlike BAHFA and LACAHSA, have the power to set the land use and development parameters for such property, including setting the request for proposal criteria and selection process for a development partner. Lastly, these Authorities are focused on the preservation and construction of housing. BAHFA and LACAHSA also authorized funds to be used for renter protections and renter supports.
The SB 440 Authority model is now available should other communities, such as Sacramento, wish to form or consolidate regional efforts to address affordable housing needs in their communities. The difference between these entities and what is proposed in this bill is these proposals were initiated through a collaborative process at the local level.
- Redevelopment. Article XVI, Section 16 of the California Constitution authorizes the Legislature to provide for the formation of RDAs to eliminate blight in an area by means of a self-financing schedule that pays for the redevelopment project with tax increment derived from any increase in the assessed value of property within the redevelopment project area (or tax increment). Generally, property tax increment financing involves a local government forming a tax increment financing district to issue bonds and use the bond proceeds to pay project costs within the boundaries of a specified project area. To repay the bonds, the district captures increased property tax revenues that are generated when projects financed by the bonds increase assessed property values within the project area.
To calculate the increased property tax revenues captured by the district, the amount of property tax revenues received by any local government participating in the district is “frozen” at the amount it received from property within a project area prior to the project area’s formation. In future years, as the project area's assessed valuation grows above the frozen base, the resulting additional property tax revenues — the so-called property tax “increment” revenues — flow to the tax increment financing district instead of other local governments. After the bonds have been fully repaid using the incremental property tax revenues, the district is dissolved, ending the diversion of tax increment revenues from participating local governments.
Prior to Proposition 13, very few RDAs existed; however, after its passage, RDAs became a source of funding for a variety of local infrastructure activities. At the time RDAs were dissolved, the Controller estimated that statewide, RDAs were obligated to spend $1 billion on affordable housing. At the time of dissolution, over 400 RDAs statewide were diverting 12% of property taxes, over $5.6 billion yearly.
In 2011, facing a severe budget shortfall, the Governor proposed eliminating RDAs in order to deliver more property taxes to other local agencies. Ultimately, the Legislature approved and the Governor signed two measures, ABX1 26 (Blumenfield), Chapter 5 and ABX1 27 (Blumenfield), Chapter 6 that together dissolved RDAs as they existed at the time and created a voluntary redevelopment program on a smaller scale. In response, the California Redevelopment Association (CRA) and the League of California Cities, along with other parties, filed suit challenging the two measures. The Supreme Court denied the petition for peremptory writ of mandate with respect to ABX1 26. However, the Court did grant CRA's petition with respect to ABX1 27. As a result, all RDAs were required to dissolve as of February 1, 2012.
- Housing Successors. RDAs were required to dedicate 20% of the tax increment to be used to increase, improve, and preserve the community’s supply of low- and moderate-income housing available at an affordable housing cost. When RDAs were dissolved, successor agencies were established to wind down the RDAs' obligations. Successor agencies were required to effectuate the transfer of an RDA's housing functions and assets to a "housing successor." Cities and counties were given the option of acting as housing successors and taking over the housing assets of their jurisdiction's RDA. If they did not wish to take on this role, the local housing authority was required to act as housing successor. If there was no local housing authority, HCD was required to act as housing successor.
Housing successors are required to maintain any funds generated from housing assets in the Low and Moderate Income Housing Asset Fund (LMIHAF) and use them in accordance with the housing related provisions of the Community Redevelopment Law (CRL). The LMIHAF includes real property and other physical assets, funds encumbered for enforceable obligations, any loan or grant receivable, any funds revised from rents or operation of properties, rents or other payments from housing tenants or operators, and repayment of loans or deferrals owed to the LMIHAF. Funding available to a housing successor in the post-redevelopment world is limited to program dollars repaid from loans or investments made by the former RDA. This is a much smaller amount than was generated by RDAs, which produced more than $1 billion in tax increment for housing activities statewide each year.
- SB 341 (DeSaulnier), AB 346 (Daly) and AB 1782 (Ta). SB 341 (DeSaulnier), Chapter 796, Statutes of 2014, revised the rules governing the activities and expenditures of housing successors. RDAs were required to expend funds to improve, increase, or preserve housing affordable to low- and moderate-income families. Housing successors have far less money than RDAs, so the law generally requires them to prioritize that limited funding toward monitoring and maintaining the housing assets that were created or financed by the former RDA.
SB 341 allowed, among other provisions, housing successors to spend up to $250,000 in LMIHAF funds toward homelessness prevention and rapid re-housing. SB 341 also allowed housing successors to transfer funds among themselves under certain conditions for the purpose of developing affordable units in transit priority projects, permanent supportive housing, farmworker housing, or special needs housing. AB 346 (Daly), Chapter 35, Statutes of 2017, expanded the types of activities housing successors can spend LMIHAF funds on by adding regional homeless shelters. AB 1782 (Ta), Chapter 85, Statutes of 2024, made further changes including, increasing from $250,000 to $500,000, adjusted for inflation, the amount a successor agency may expend per fiscal year for homeless prevention and rapid rehousing services, among other provisions.
- Inclusionary Housing. Inclusionary housing is a policy tool that encompasses both inclusionary zoning and the payment of inclusionary housing in-lieu fees, aimed at increasing the supply of deed-restricted affordable homes in new residential developments. Inclusionary zoning requires developers to allocate a certain percentage of units in new housing development as affordable to low- and moderate-income households, promoting socioeconomic diversity and equitable access to housing. In-lieu fees offer developers the flexibility to contribute financially to local affordable housing funds instead of integrating affordable units directly into their developments. These fees are then used by local jurisdictions to finance the development of affordable housing elsewhere in the community.
- The Mitigation Fee Act. When approving development projects, cities and counties can require the applicants to mitigate the project's effects by paying fees – known as impact fees, mitigation fees, or developer fees. Impact fees stem from a straightforward principle: new developments should pay for the impacts that they have on the community and the burden they impose on public services.
Prior to establishing, increasing, or imposing a fee as a condition of approving a development project, the Mitigation Fee Act requires local officials to:
- Identify the fee's purpose.
- Identify the fee's use, including the public facilities to be financed.
- Determine a reasonable relationship between the fee's use and the development.
- Determine a reasonable relationship between the public facility's need and the development.
- Determine a reasonable relationship between the amount of the fee and the cost of the public facility or portion of the public facility attributable to the development on which the fee is imposed.
The developer is typically required to pay multiple impact fees, each corresponding to different public services or infrastructure needs that the development will affect, such as roadways, schools, water and sewer infrastructure, public facilities, affordable housing, and parks.
- “Essential Nexus” and “Rough Proportionality.” The U.S. Supreme Court and the California Supreme Court issued a series of decisions in the 1980s and 1990s that affected the scope and application of impact fees. In its 1987 Nollan decision, the U.S. Supreme Court said there must be an "essential nexus" between a project's impacts and the conditions for approval. In the 1994 Dolan decision, the U.S. Supreme Court opined that conditions placed on development must have a "rough proportionality" to a project's impacts.
In the 1996 Ehrlich decision, the California Supreme Court distinguished between "legislatively enacted" conditions that apply to all projects and "ad hoc" conditions imposed on a project-by-project basis. Ehrlich applied the "essential nexus" test from Nollan and the "rough proportionality" test from Dolan to "ad hoc" conditions. The Court did not apply the Nollan and Dolan tests to the conditions that were "legislatively enacted." In other words, local officials face greater scrutiny when they impose conditions on a project-by-project basis. In the 2024 U.S. Supreme Court decision Sheetz vs. County of El Dorado, the Supreme Court opined that that the U.S. Constitution does not distinguish between legislatively enacted and ad-hoc conditions.
As a result of these decisions and the Mitigation Fee Act, local agencies must conduct a nexus study to ensure that any proposed impact fees meet these legal tests. Other requirements in the Mitigation Fee Act ensure that impact fees are appropriately levied and spent, including that a local agency must:
- Hold at least one open and public meeting prior to levying a new fee or increasing an existing one.
- Deposit and spend the fees within five years of collecting them.
- Refund fees or make specific findings on when and how the fees will be spent for construction, if the fees are not spent within five years of collection.
If a local agency levies an impact fee to fund a capital improvement associated with a development, it must deposit the fees with any other fees for that improvement in a separate account or fund. Any person may request an independent audit of how the impact fees have been collected and spent, including an assessment of whether the fees exceed the amount reasonably necessary to cover the costs of the stated projects or services.
- Existing Fees in Sacramento. Affordable housing fees and other residential development requirements can differ greatly from jurisdiction to jurisdiction. Other cities that are included in this bill have affordable housing fee programs, but two existing affordable housing fees are specifically mentioned: one collected by the City of Sacramento and another collected by Sacramento County. Sacramento County’s current affordable housing requirement states that development projects, with some exceptions, must either:
- Pay an affordability fee on all newly constructed market rate units.
- Comply with the development project’s approved affordable housing plan, if one exists.
- Enter into a development agreement or other form of agreement with the County which provides for a fee credit for land dedication, construction of affordable dwelling units, or other mechanism which leads to the production of affordable housing, in an amount at least equivalent to the affordability fee.
- Pay an affordability fee on all newly constructed market rate units.
The current affordability fee for Sacramento County is an amount equal to $2.50 per habitable square foot of each market rate unit. In order to manage these fees, the County created a special fund entitled the Fund for Affordability Fees. It is the duty of the County Board of Supervisors to establish the priorities for the use of the Fund, and the County’s Housing Administrator is required to report biennially on the performance of the affordable housing program, including the number of units produced, the amount of funds collected and the amount of funds expended, among other details.
The City of Sacramento’s housing impact fee apples to developments differently than the county. If a residential project does not exceed 100 gross acres in size the owner must pay a housing impact fee on all newly constructed market rate units. If the residential project exceeds 100 gross acres in size, the owner must pay the impact fee and obtain city council approval of a mixed income housing strategy that demonstrates how the project provides housing for a variety of income and family types consistent with housing element policy.
Certain project types are exempt from paying the housing impact fee. All fees are collected and placed in the citywide low income housing fund where the SHRA director and planning director are required to report to the city council, the planning and design commission, and the Sacramento housing and redevelopment commission on the status of activities undertaken with the housing fund.
- LAFCOs. The Legislature has the authority to create, dissolve, or otherwise modify the boundaries and services of local governments. Beginning in 1963, the Legislature delegated the ongoing responsibility to control the boundaries of cities, county service areas, and most special districts to local agency formation commissions (LAFCOs) in each county. The responsibilities and authority of LAFCOs have been modified in subsequent legislation, including a major revision of the LAFCO statutes in the Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000 [AB 2838 (Hertzberg), Chapter 761, Statutes of 2000]. The courts often refer to LAFCOs as the Legislature’s watchdog over boundary changes. LAFCOs statutory purposes to, among other things, encourage the efficient provision of government services and the orderly formation and development of local agencies.
Local governments can only exercise their powers and provide services where LAFCO allows them to. LAFCOs’ boundary decisions must be consistent with spheres of influence (SOIs) that LAFCOs adopt to show the future boundaries and service areas of the cities and special districts. Before LAFCOs can adopt their SOIs, they must prepare Municipal Service Reviews (MSRs) which analyze population growth, public facilities, and service demands. LAFCOs may also conduct special studies of local governments. While LAFCOs study, deliberate, and approve or deny boundary changes of cities and special districts, they do not have land use authority and are generally prohibited from engaging in land use decisions, including imposing conditions that would directly regulate land use density or intensity, property development, or subdivision requirements.
Most boundary changes begin when a city or special district applies to a LAFCO, or when registered voters or landowners file petitions with a LAFCO. In limited circumstances, LAFCOs can initiate some special district boundary changes: consolidations, dissolutions, mergers, subsidiary districts, or reorganizations. Formations of special districts are generally conducted as authorized in the principal act of the special district, except that the LAFCO typically serves as the conducting authority.
- Bill Summary. This bill reconstructs, expands, amends, and renames the SHRA into the SHHA, and requires the restructured agency to include Sacramento County and each “qualified local agency” under a new joint powers agreement.
Powers and Duties. This bill requires the SHHA to serve as the regional authority to do all of the following:
- Develop and preserve affordable housing.
- Coordinate and homelessness prevention and response services.
- Serve as the CoC.
- Apply for, and administer, federal, state, and local funding for housing and homelessness.
- Manage and implement a strategic plan to address and reduce homelessness in Sacramento County.
- Develop and preserve affordable housing.
The SHHA must retain its legal identity as the public housing authority and redevelopment successor entity formerly known as the SHRA and continue to administer all existing housing, homelessness, and redevelopment programs in compliance with applicable law. This bill requires the SHHA to assume or continue responsibility for the administration and oversight of numerous programs for all member agencies in the joint powers agreement. This bill requires the SHHA to coordinate its operations with the housing and homelessness departments of each member agency to ensure alignment of local priorities and effective delivery services.
This bill requires the SHHA to adopt a comprehensive strategic plan to address housing and homelessness no later than three years from the date the new joint powers agreements takes effect. The plan must align with all relevant state and federal requirements and be submitted to the Legislature in compliance with existing law.
Governance. This bill requires the Governing board to be composed of at least one elected official from each qualified agency that is party to the agreement, with full delegated powers and duties transferred from the cities and the county. The initial board must consist of 11 members appointed by the legislative bodies of the member agencies: three selected from the Sacramento City Council, three selected from the Board of Supervisors of Sacramento County, two members selected from the Elk Grove City Council, and one member each selected from the city councils of Citrus Heights, Folsom, and Rancho Cordova. This bill also provides for the addition of additional members from additional qualified local agencies that enter into the agreement, the designation of alternate board members, board member compensation and reimbursement, board member vacancy procedures and voting procedures.
The SHHA must also establish and maintain an advisory board. The advisory board must be comprised of 7 members, as specified, and must conduct quarterly meetings, provide recommendations, and assist in the development of the SHHA’s strategic plan and annual updates.
Staff and Bylaws. This bill specifies that the initial executive director of the SHHA must be the current executive director of the SHRA, and requires the SHHA board to establish removal and replacement procedures for the executive director. This bill also requires the SHHA board to establish bylaws to include certain information, including a regular meeting schedule, a code of ethics, and a process to address any ethics violations.
Sacramento LAFCO and Task Force. This bill requires the Sacramento LAFCO to form and appoint members to an independent task force. The task force must consolidate all entities for the purposes of establishing the SHHA and must dissolve 60 days after the establishment of the governing board of the SHHA.
Revenues and Allocations. The SHHA must be the designated recipient for all local housing trust funds and local housing ordinance fees collected by each member agency and all housing tax increment revenues derived from former redevelopment areas and allocated to participating cities or to Sacramento County.
RHNA. This bill provides that the RHNA allocations for all member agencies must be consolidated into a single regional goal to be administered by the SHHA and that the total RHNA allocation for the joint powers agreement be reduced by 20% from the aggregate of the allocations that would otherwise apply to the member agencies individually.
Additional Provisions. This bill Requires HCD, for future rounds of HHAP, Multi-family Housing Program (MHP), and Homekey funding, to give consideration to specified populations.
This bill is sponsored by the author.
- Policy Considerations. The Committee may wish to consider the following:
- Who’s In and Who’s Out. This bill requires Sacramento County and each qualified local agency to operate under a new joint powers agreement, and defines “qualified local agency” as any city within Sacramento County that has a population of at least 50,000. According to the 2020 Federal Census, the cities of Citrus Heights, Elk Grove, Folsom, Rancho Cordova, and Sacramento all meet this threshold; however, the cities of Galt (approximately 26,000) and Isleton (less than 1,000) do not. While Galt and Isleton may not be as large as the other cities in the county, it is not clear why they do not also have a seat on the newly-created JPA.
- Will There Still be a Nexus? As explained above, existing law places many requirements on a local agency’s ability to impose and collect development fees. As a result of these requirements, local agencies must conduct a nexus study to ensure that any proposed impact fees meet the essential nexus and rough proportionality legal tests. This bill designates the SHHA as the recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement. However, it is unclear how these fees may ultimately be spent. Will the fees from the different entities be separated into distinct accounts? If a fee that was based off of the local conditions specific to Elk Grove is spent in Rancho Cordova, how is the SHHA going to ensure the use of that fee does not violate Mitigation Fee Act or either the essential nexus or rough proportionality requirements? Could one city’s fee be used to supplement another city’s housing development?
- Who’s In and Who’s Out. This bill requires Sacramento County and each qualified local agency to operate under a new joint powers agreement, and defines “qualified local agency” as any city within Sacramento County that has a population of at least 50,000. According to the 2020 Federal Census, the cities of Citrus Heights, Elk Grove, Folsom, Rancho Cordova, and Sacramento all meet this threshold; however, the cities of Galt (approximately 26,000) and Isleton (less than 1,000) do not. While Galt and Isleton may not be as large as the other cities in the county, it is not clear why they do not also have a seat on the newly-created JPA.
Moreover, the provisions related to locally-adopted fees raise a few additional questions:
- This bill would transfer local fees that have already been adopted by one local community’s elected officials to be administered by a different set of individuals that were not elected by that same community. Should a previously-adopted fee be administered by officials that represent other member agencies?
- Each local fee ordinance is different and contains disparate requirements and restrictions. How would the SHHA ensure that those existing requirements and restrictions are honored?
- While this bill transfers certain fees collected under a local ordinance, local agencies would still have the authority to adopt new, or amend existing, ordinances. What happens if that local ordinance is changed?
- This bill would transfer local fees that have already been adopted by one local community’s elected officials to be administered by a different set of individuals that were not elected by that same community. Should a previously-adopted fee be administered by officials that represent other member agencies?
- Tax Increment Revenues. RDAs, prior to dissolution, were required to allocate at least 20% of their property tax increment revenue to increase, improve, and preserve the community’s supply of low- and moderate-income housing available at an affordable housing cost; however, it is not clear what is meant by “housing tax increment revenues.” Generally, former RDA tax increment primarily is used for paying off approved enforceable obligations like bonds and loans. Some agencies have completed payments on these obligations, while others will be making payments for many years to come. As the enforceable obligations decrease, the leftover property tax increment is then allocated to the agencies in which it derives, including schools and special districts. Housing successors are required to maintain any funds generated from housing assets in the LMIHAF and use them in accordance with the housing-related provisions of RDA law. These assets could include funds encumbered for enforceable obligations. Would this bill’s requirement that all housing increment tax revenues derived from former redevelopment areas be transferred to the SHHA include those in the LMIHAF? If so, would this requirement conflict with long-standing RDA dissolution law?
Moreover, property taxes are distinctly a local resource for cities, counties, special districts, and school districts to utilize for providing the core services and infrastructure an individual community needs. Property taxes also differ greatly between local agencies, since it they are based off of property values. As currently written, this bill would potentially transfer property taxes from within one city to hypothetically be used in another or in an incorporated area of the County. While it is unclear how much property tax revenue may ultimately be captured by this bill, should these resources be utilized outside of the communities in which they were collected?
- Why LAFCO? LAFCOs have been delegated the ongoing responsibility to control the boundaries of cities, county service areas, and most special districts. However, LAFCOs have almost no authority over JPAs. The main task for LAFCOs is to promote orderly development and to help manage the competing interests that development often brings to the forefront, such as discouraging urban sprawl, preserving open-space and prime agricultural lands, and efficiently extending government services. LAFCOs do not have land use authority, approve developments, or directly address homelessness. LAFCOs are specifically prohibited from imposing any conditions that would directly regulate land use density or intensity, property development, or subdivision requirements.
Additionally, city incorporation and the formation of special districts are strictly dictated by existing law and provide LAFCOs little ability to make decisions on such things as governance structure. Furthermore, LAFCOs do not have the authority to prescribe the formation or structure of JPAs. Given the general duties that LAFCOs typically undertake, does the Sacramento LAFCO have the expertise to be in the best position to form and choose which individuals to appoint to the task force as required in this bill?
- Task Force. This bill requires the formation of a task force to consolidate all entities for purposes of establishing the SHHA. However, a number of details regarding the task force are not apparent, such as:
- This bill requires the task force to consolidate the “entities” for the purposes of establishing the SHHA; however, this bill does not define “entities”. It is not immediately clear which entities the task force would be consolidating.
- This bill does not specify who can be appointed to the task force, except that they cannot be staff of existing entities. As “entities” is not defined, it is not apparent who can or cannot participate on the task force.
- One timeline in the bill is for the SHHA to adopt a comprehensive strategic plan within three years of when the restructured agreement takes effect; however, no timeline is provided for how quickly the task force must establish the SHHA.
- Who Gets Priority? This bill states that, “The [SHHA] shall be deemed a regional entity for the purposes of statewide housing and homelessness funding programs and shall be granted priority consideration for all applicable state housing and homelessness funding sources.” Does this provision mean that the SHHA is granted priority consideration for funds only within Sacramento County or within the entire state, potentially placing certain areas at a competitive disadvantage?
- What’s Left? This bill requires the SHHA to serve as the regional authority to develop and preserve affordable housing, coordinate and administer homelessness prevention and response services, apply for, receive, and administer federal, state, and local funding for housing and homelessness, and manage and implement the comprehensive strategic plan to address and reduce homelessness in Sacramento County.
- Task Force. This bill requires the formation of a task force to consolidate all entities for purposes of establishing the SHHA. However, a number of details regarding the task force are not apparent, such as:
However, this bill also requires the SHHA to coordinate its operations with the housing and homelessness departments of each member agency. While this bill contemplates the continued operation of individual housing and homelessness departments, given the different authorities this bill affords the SHHA to provide services countywide, it is not clear what function existing departments will have outside of an advisory role to the SHHA.
- Appropriate Structure? As noted in comment 3), above, JPA law authorizes a variety of entities to enter into joint powers agreements to achieve a common goal. A joint powers agreement is a legally-binding agreement that establishes the details of the agreement, including which agency or agencies are responsible for administering the JPA, the specified purposes and activities of the JPA, the process any party to the agreement must follow if it wishes to exit the agreement, and other matters. It does not require these actions – they are voluntary, pursuant to the goals of each party to the agreement. In addition, when the Legislature has exercised its authority to change JPA law, it has generally done so in order to authorize specific types of JPAs, specific activities a JPA may pursue, or specific agencies or parties that may participate in a JPA.
This bill restructures an existing JPA – the SHRA – into a new entity and significantly alters the members, governance, powers and duties of that JPA. It is unclear how this action will affect the existing joint powers agreement that formed the SHRA. Questions have arisen regarding the legality of such a “restructured” arrangement and how it might affect the current signatories to the existing agreement – the City of Sacramento and the County of Sacramento. To what degree cold this bill affect the ability of the county or the city to exit the agreement if either decides to do so? For other affected agencies that do not wish to participate in the restructured JPA, how might this bill affect their legal status? Would it still compel them to participate in the JPA? Or will they have legal standing to successfully challenge their required participation under this bill? It is unclear whether the Legislature has the authority to alter an existing joint powers agreement and the extent to which this bill could successfully be challenged in court by any of the affected agencies (or others) if is signed into law.
- Committee Amendments. The author submitted amendments to the Housing and Community Development Committee to address several issues raised in that committee’s analysis. Staff recommends the committee accept these amendments as committee amendments. The amendments would:
- Specify that the governing board shall create a plan to ensure equitable distribution of funding and resources across all participating jurisdictions:
(B) The governing board shall establish a removal and replacement process for the executive director.
(3) The governing board shall determine a plan to ensure equitable distribution of funding and resources across all participating jurisdictions.
- Require any funds collected in a local housing trust fund and local housing ordinances fees to be spent in the jurisdictions in which they were originally collected for the purpose they were originally imposed:
The agency shall be the designated recipient of all local housing trust funds and local housing ordinance fees collected by each participating entity within the joint powers agreement pursuant to Section 6539.9.6. These funds shall include, but are not limited to, the affordable housing ordinance fee collected by the County of Sacramento (Section 22.35.010 et seq. of the Sacramento County Code) and the mixed income housing ordinance fee collected by the City of Sacramento (Section 17.712.010 et seq. of the Sacramento City Code). These funds shall only be spent within the jurisdiction from which they were originally collected and for purposes for which they were originally imposed.
- Delete the requirement to the transfer of “housing tax increment revenues” to SHHA:
(h) All housing tax increment revenues derived from former redevelopment areas and allocated to participating cities or to the County of Sacramento shall be transferred to the agency. These revenues shall be used exclusively for the development, preservation, and administration of affordable housing projects. The agency may issue bonds secured by these revenues to finance current and future housing initiatives.
- Delete the language that changes the RHNA process:
(f) Notwithstanding any other law, the regional housing needs allocations pursuant to Section 65584 for all participating entities within the joint powers agreement pursuant to Section 6539.9.6 shall be consolidated into a single regional goal to be administered by the agency. The total regional housing needs assessment allocation for the joint powers agreement shall be reduced by 20 percent from the aggregate of the allocations that would otherwise apply to the participating entities individually.
- Previous Legislation. SB 679 (Kamlager), Chapter 661, Statutes of 2022, established LACAHSA and authorized it to utilize specified local financing tools for the purpose of funding renter protections and the preservation and production of housing units affordable to households earning up to 80 percent of the area median income.
AB 1487 (Chiu), Chapter 598, Statutes of 2019, established BAHFA throughout the San Francisco Bay Area and set forth the governing structure and powers of the BAHFA Board, allowable financing activities, and allowable expenditures of the revenues generated.
- Arguments in Support. Several members of the Sacramento City Council submitted letters in support of this bill, including Councilmembers Caity Maple and Mai Vang. Councilmember Maple writes, “Sacramento is one of the most impacted cities in California when it comes to both homelessness and rising housing costs. The 2024 Point-in-Time Count shows that more than 6,600 people remain unhoused in our county. In my district, I meet families, seniors, and young people sleeping outside without access to basic shelter or services. This is not due to a lack of will or resources, but because our response remains fragmented and uncoordinated across jurisdictions. SB 802 would create a regional public agency focused on housing and homelessness that can coordinate across systems to meet the needs of our most vulnerable neighbors. It would allow jurisdictions to pool resources, reduce duplication, and use economies of scale to build the shelter and housing capacity our region desperately needs. A 2023 Sacramento County Grand Jury identified this lack of coordination as our most pressing challenge and made the creation of a Joint Powers Authority its top recommendation. SB 802 answers that call.”
Councilmember Mai Vang writes, “In District 8, we have long recognized that addressing homelessness requires collective responsibility and regional alignment. Since 2020, our district has been home to the Meadowview Navigation Center – a dedicated women’s shelter that has provided safety, stability, and pathways to short-term and long-term housing for unhoused women. SB 802 has the potential to not only strengthen centers like this, but also expand access to services for individuals who are often left behind in outreach efforts due to existing gaps between systems. While our city and partners remain deeply committed to addressing homelessness, we know that a more regional approach is essential. A streamlined framework would allow jurisdictions to better coordinate care, align resources, and develop long-term strategies that truly center our most vulnerable residents. Homelessness knows no boundaries, and this effort is ultimately about people. It’s about ensuring every individual has the opportunity to access stable housing and services. It’s about public health, community well-being, and doing what we can—together—to support our most vulnerable neighbors. Sacramento deserves a housing and homelessness response that works collectively, with shared goals and shared success. SB 802 is a meaningful step towards that vison.”
- Arguments in Opposition. Mayors from all of the cities impacted by this bill, the Sacramento County Board of Supervisors, and City of Sacramento Mayor Kevin McCarty write in opposition of this bill. They state, “The County values partnerships, collaboration, and shared responsibility as evidenced by our success in addressing the needs of the unhoused in our region. In just the last two years, Sacramento County blended State funding and a variety of local and federal funding sources to:
- Successfully launch three Safe Stay Shelter Communities adding 356 new beds that include intensive, wrap around behavioral health services in non-congregate setting. An additional site that will include 225 beds is currently under construction, to open early 2026.
- Expand outreach in the unincorporated County and along the Parkway from a team of 3.5 staff to 23 contracted staff along with County social workers and County behavioral health clinicians and peers who provide proactive encampment response, respond to crisis calls alongside law enforcement and offer an ‘office hour’ approach to outreach to serve the suburban parts of the County.
- Lead the development and expansion of rehousing programs, providing one-time housing funds and on-going rental subsidies to both prevent families from becoming homeless and quickly re-housing them. We are currently working with all four Managed Care Plans to support implementation of a ‘Flex Housing Pool’ to integrate Medi-Cal transitional rent benefits into these programs and creating a consolidated landlord network.
- Successfully launch three Safe Stay Shelter Communities adding 356 new beds that include intensive, wrap around behavioral health services in non-congregate setting. An additional site that will include 225 beds is currently under construction, to open early 2026.
“SB 802 disrupts this good work that is on an upward trajectory to giving our very cared-for community members a strong foundation to succeed. As mentioned in our meeting with Senator Ashby on May 22, 2025, the County is also working on the best governance model for our region, which is scheduled for a public hearing in August so that all voices can be heard and considered. In the spirit of partnership and collaboration, we ask that the Senator reconsider her proposal by working with the jurisdictions who take care of the community members on the streets, face-to-face, day and night.”
REGISTERED SUPPORT / OPPOSITION:
Support
Black Women Revolt Against Domestic Violence
California Apartment Association
California YIMBY
Center on Juvenile and Criminal Justice
Community Forward SF
Councilmember Caity Maple, City of Sacramento
Councilmember Mai Vang, City of Sacramento
Downtown Women's Center
Freedom Forward
La Casa De Las Madres
Mary Elizabeth Inn
National Council of Jewish Women San Francisco
People Working Together
Race & Equity in All Planning Coalition (REP-SF)
San Francisco Domestic Violence Consortium
San Francisco SafeHouse
The Women's Building
Youth Forward
Seven individuals
Support If Amended
House Sacramento
Concerns
California State Association of Counties (CSAC)
Sacramento Area Council of Governments
Oppose
California (UN)incorporated
California Association of Realtors
Camp Resolution
City of Citrus Heights
City of Folsom
City of Elk Grove
City of Rancho Cordova
Community Lead Advocacy Program Clap
County of Sacramento
Izaya Michael Foundation
Mayor Bobbie Singh-Allen, City of Elk Grove
Mayor Dr. Jayna Karpinski-Costa, City of Citrus Heights
Mayor Kevin McCarty, City of Sacramento
Mayor Sarah Aquino, City of Folsom
Mayor Siri Pulipati, City of Rancho Cordova
Phil Serna, Sacramento County Board of Supervisors, Chair
Sacramento Area Congregations Together
Sacramento Environmental Justice Coalition
Sacramento Homeless Organizing Committee
Sacramento Homeless Union
Sacramento Housing Alliance
Sacramento Poor People's Campaign
Sacramento Region Business Association
Tai Leadership
Urban Counties of California (UCC)
Oppose Unless Amended
Fieldstead and Company, INC.
International Brotherhood of Electrical Workers Local 340
Analysis Prepared by: Angela Mapp / L. GOV. / (916) 319-3958, Jimmy MacDonald / L. GOV. / (916) 319-3958
SENATE RULES COMMITTEE Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 | SB 802 |
CONSENT
Bill No: SB 802
Author: Ashby (D)
Amended: 5/1/25
Vote: 21
SENATE HUMAN SERVICES COMMITTEE: 5-0, 4/21/25
AYES: Arreguín, Ochoa Bogh, Becker, Limón, Pérez
SENATE HOUSING COMMITTEE: 11-0, 4/29/25
AYES: Wahab, Seyarto, Arreguín, Cabaldon, Caballero, Cortese, Durazo, Gonzalez, Grayson, Ochoa Bogh, Padilla
SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8
SUBJECT: Multifamily Housing Program: Homekey: Homeless Housing, Assistance, and Prevention program
SOURCE: San Francisco Safehouse
DIGEST:
This bill requires the Department of Housing and Community Development (HCD) to ensure former foster youth and extremely low income, very low income, and lower income households, as specified, are given consideration relative to the Homeless Housing, Assistance, and Prevention program (HHAP), Homekey, and the Multifamily Housing Program.
ANALYSIS:
Existing Law:
- Establishes the HHAP program to provide jurisdictions with one-time grant funds to support regional coordination and expand or develop local capacity to address their immediate homelessness challenges informed by a best-practices framework focused on moving homeless individuals and families into permanent housing, and supporting the efforts of those individuals and families to maintain their permanent housing. (Health and Safety Code (HSC) 50217)
- Requires, for a Continuum of Care (CoC) to receive HHAP funding, the CoC to provide the California Interagency Council on Homelessness (Cal ICH) data on the demographics and characteristics of the homeless populations in the jurisdiction and on current programs providing housing and homeless services, as reported to the federal government through Homeless Management Information Systems and point-in-time counts. (HSC 50219(a)(7))
- Describes the eligibility requirements for HHAP funding Round 6 which includes requiring a jurisdiction participate in a regionally coordinated homelessness action plan that has been approved by the department. (HSC 5020(a))
This Bill:
- Makes Legislative findings and declarations regarding homeless shelters being predominantly co-ed, with an over 90% male population, resulting in an environment that feels unsafe for women and the need for safe, stable, affordable housing for individuals experiencing trauma, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking, a population of which is overwhelmingly women.
- Provides it is the intent of the Legislature to enact legislation to ensure a portion of all state funding distributed by the HCD is allocated for the construction, development, acquisition, or rehabilitation of housing for extremely low income households, very low income households, or lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking.
- Provides that, upon appropriation by the Legislature, for rounds of the HHAP, the Homekey program and the Multifamily Housing program adopted after the effective date of this act, the HCD shall ensure that both of the following populations who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration: former foster youth; and extremely low income home households, very low income households, and lower income households.
Comments
According to the author. “In 2023, California had 60,000 unhoused women living on the streets, with 21% leaving their homes to escape violence and escalating abuse by an intimate partner. Many women continue to experience, or face an increase in violence, while living on the streets. Yet women only shelters in California have either closed or been forced to transition to co-ed models in order to receive funding. As a result, nearly all homeless shelters, transitional housing, and permanent supportive housing now operate as co-ed facilities. These environments are overwhelmingly male dominated, with over 90% of residents being men. Many women report feeling unsafe in these settings, leading them to remain on the streets, where they face increased risks of violence, exploitation, and instability.
“SB 802 addresses the shortage of resources for shelters serving individuals who have experienced human trafficking, sexual assault or abuse, or domestic violence by requiring the state to prioritize this population in its funding decisions. This will help ensure that women facing homelessness have access to safe, trauma-informed housing options that support recovery, stability, and long-term housing success.”
California Homelessness Data. Since 2016, homelessness in America, and particularly in California, has been growing at an increasing rate. Homelessness has been correlated with a number of negative effects, including high rates of chronic disease and acute illness, a broad range of mental health and substance use issues, greater exposure to violence, malnutrition, extreme weather, and criminal charges. The health, personal, and economic challenges that chronically homeless individuals and families face and the lack of effective, coordinated services to address these problems often lead to a cycle of housing instability and health deterioration. Persistent homelessness impedes access to needed health and employment services. Additionally, the conditions of homelessness often make it more difficult to exit homelessness, by creating barriers to the resources necessary to obtain income through training, education, and employment.
Former foster youth also remain at high risk of experiencing homelessness. Youth who ‘age out’ of the foster care system represent an estimated 20% of the 20,000 youth who leave foster care and are currently homeless. The Chapin Hall CalYOUTH study found that over 35% of youth reported they experienced homelessness while actively participating in extended foster care.
Housing Programs for Foster Youth. Due to the serious challenges faced by foster youth, there are several state programs funded by HCD that provide housing support for the transitional age youth population:
- Housing Navigation and Maintenance Program: funds housing navigators for counties. The role of housing navigator is to act as a housing specialist to assist young adults with their pursuits of locating available housing and overcoming barriers to locating housing
- Transitional Housing Placement: helps all young adults who are 18 to 24 years of age, to secure and maintain supervised housing with priority given to young adults former foster youth.
- Transitional Housing Plus Housing Supplement Program: Funds housing costs for the Transitional Housing Plus program which provides current and former foster youth additional supports they need to successfully transition to independence while reducing the risks of homelessness, unemployment, and instability after foster care.
HHAP. Created by AB 101 (Committee on Budget, Chapter 159, Statutes of 2019), HHAP is a state funded, block grant program designed to provide jurisdictions with funding to support regional coordination and expand or develop local capacity to address their immediate homelessness challenges. HHAP’s flexible funding is informed by a “best-practices framework focused on moving homeless individuals and families into permanent housing and supporting the efforts of those individuals and families to maintain their permanent housing.” To date, the state has awarded five rounds of funding throughout the state to cities, counties, and CoCs to address the homeless crisis.
Round 6 of HHAP program funding is being administered by HCD. The legislature appropriated $1 billion for HHAP in fiscal year 2024-2025 and $760 million is for HHAP round six. According to HCD, the goal of this round of funding is to “reflect the state’s priorities to prevent and expeditiously reduce unsheltered homelessness through homelessness prevention activities and sustain existing Interim Housing Solutions and Permanent Housing Solutions, including long-term sustainability of permanent affordable housing.”[1] Only CoC, large cities and counties are eligible for round 6 funding. Grant awardees are required to submit a number of reports to the state about the use of the funds.
All round six grant recipients must also submit a final report by April 1, 2030. This bill would require that foster youth, homeless persons, and extremely low income households, very low income households, and lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration in the awarding of grants.
Homekey. The Homekey program, administered by HCD, provides grants to cities, counties, cities and counties, and all other state, regional, and local public entities to provide funding for the acquisition, rehabilitation, or both, of motels, hotels, hostels, or other sites and assets, including apartments or homes, ARFs, RCFEs, manufactured housing, commercial properties, and other buildings with existing uses that could be converted to permanent or interim housing. It also provides funds for master leasing of properties for non-congregant housing, conversions of units from nonresidential to residential, new construction of units, purchasing affordability covenants and restrictions for units, relocation costs for displaced individuals as a result of rehabilitation of existing units, and capital operating subsidies for units purchased, converted, or altered with Homekey funds. Homekey 1.0, however, did not include a specific set-aside for youth, and has to date awarded less than 1% of its funding to projects explicitly serving youth experiencing, or at risk of, homelessness. Through AB 140 (Committee on Budget, Chapter111, Statutes of 2022) additional one-time funding was provided for Homekey program to be spent over two year. AB 140 also included a minimum youth set aside of 8% to fund youth focused housing projects (this bill would rename these “projects” to “unit”). Homekey funds are still being spent but the program is converting to Homekey + which will continue to give local jurisdictions grants to construct long-term affordable housing or convert shorter-term facilities such as hotels and motels into long-term housing for individuals and household who are veterans, homeless or at risk of homelessness.
Related/Prior Legislation:
SB 914 (Blanca Rubio, Chapter 665, Statutes of 2022) established the Homeless Equity for Left Behind Populations (HELP) Act and required Cal ICH to set and measure progress toward goals to prevent and end homelessness among domestic violence survivors and their children and among unaccompanied women in California and required initial goals to be established by January 1, 2025, and to be evaluated at least every two years to determine whether updated goals are needed.
AB 140 (Committee on Budget, Chapter 111, Statutes of 2021) among other things, required Cal ICH to conduct a statewide assessment to identify state programs that provide housing or services to persons experiencing or at risk of homelessness, and to collect and analyze data from those programs necessary to provide a comprehensive view of the homelessness response system, as provided. Further, the bill allocated $40 million to establish the Grant Program, to provide grants and technical assistance to local jurisdictions to promote innovation, and expand promising practices that could be shared in the state to address and end family homelessness.
FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No
SUPPORT: (Verified 5/19/25)
San Francisco Safehouse (Source)
Black Women Revolt Against Domestic Violence
Center on Juvenile and Criminal Justice
Community Forward Sf
Downtown Women's Center
Glide
LA Casa De Las Madres
Mary Elizabeth Inn
My Sister's House CA
National Council of Jewish Women-sf
San Francisco Domestic Violence Consortium
The Women's Building
OPPOSITION: (Verified 5/19/25)
None received
Prepared by: Heather Hopkins / HUMAN S. / (916) 651-1524
5/21/25 15:50:29
**** END ****
Homeless Housing, Assistance and Prevention Program ROUND 6 (HHAP 6) 2025 Notice of Funding Availability. February 2025. ↑
SENATE COMMITTEE ON HOUSING
Senator Aisha Wahab, Chair
2025 - 2026 Regular
Bill No: SB 802 Hearing Date: 4/29/25
Author: | Ashby | ||
Version: | 3/26/2025 Amended | ||
Urgency: | No | Fiscal: | Yes |
Consultant: | Alison Hughes | ||
SUBJECT: Multifamily Housing Program: Homekey: Homeless Housing, Assistance, and Prevention program
DIGEST: This bill requires the Homeless Housing, Assistance, and Prevention Program (HHAP), the Multifamily Housing Program (MHP), and the Homekey program to give consideration to former foster youth and extremely low-income households.
ANALYSIS:
Existing law:
- Establishes HHAPP at the state Department of Housing and Community Development (HCD) to provide jurisdictions with one-time grant funds to support regional coordination and expand or develop local capacity to address their immediate homelessness challenges informed by a best-practices framework focused on moving homeless individuals and families into permanent housing and supporting the efforts of those individuals and families to maintain their permanent housing.
- Establishes MHP at HCD to assist the new construction, rehabilitation, and preservation of permanent and transitional rental housing for lower-income households through loans to local government, non-profit developers, and for-profit developers.
- Establishes the Homekey program at HCD, disbursed in accordance with MHP, to acquire, convert, rehabilitate, or capitalize operating subsidies for housing for individuals and families who are experiencing homelessness or who are at risk of homelessness.
This bill:
- Requires HCD, for future rounds of HHAPP, MHP, and Homekey funding, to give consideration to the following populations:
- Foster youth.
- Homeless persons.
- Extremely low-income households, very-low-income households, and lower-income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking.
Background
MHP. MHP, HCD’s flagship program, finances the new construction, rehabilitation, or acquisition and rehabilitation of permanent or transitional rental housing, and the conversion of nonresidential structures to rental housing for lower-income households. Eligible applicants include local public entities, for-profit and nonprofit corporations, Indian reservations and Rancherias.
Homekey. Project Roomkey was established in 2020 with a combination of state and federal funds. This program was designed to provide medically vulnerable Californians experiencing homelessness with temporary housing in hotel and motel rooms as an alternative to staying in congregate shelters, enabling them to safely isolate during the height of the COVID-19 pandemic. In July 2020, Governor Newsom launched Project Homekey under HCD as the next phase in the state’s response to protecting Californians experiencing homelessness who are at high risk for serious illness and are impacted by COVID-19. This program is now known as Homekey.
HHAPP. The HHAPP Program was created to provide jurisdictions with one-time grant funds to expand or develop local capacity to address immediate homelessness challenges. Program funds can be used for services for those experiencing homelessness or at risk of homelessness, such as rapid rehousing, operating subsidies, street outreach, services coordination, delivery of permanent and innovative housing solutions, and homelessness prevention. HHAPP replaced a prior program, the Homeless Emergency Aid Program (HEAP), which also provided block grants to large cities and Continuums of Care (CoCs) for a variety of solutions addressing homelessness. HHAPP was administered by the Interagency Council on Homelessness (Cal-ICH) until July 2024, when it was transferred to HCD.
Comments
- Author statement. “Many women continue to experience, or face an increase in violence, while living on the streets. Yet women only shelters in California have either closed or been forced to transition to co-ed models in order to receive funding. As a result, nearly all homeless shelters, transitional housing, and permanent supportive housing now operate as co-ed facilities. These environments are overwhelmingly male dominated, with over 90% of residents being men. Many women report feeling unsafe in these settings, leading them to remain on the streets, where they face increased risks of violence, exploitation, and instability. SB 802 addresses the shortage of resources for shelters serving individuals who have experienced human trafficking, sexual assault or abuse, or domestic violence by requiring the state consider survivors of violence and trafficking when allocating future shelter and housing assistance funds. This will help ensure that women facing homelessness have access to safe, trauma-informed housing options that support recovery, stability, and long-term housing success.”
- Why call out these populations? In its 2025 action plan, the California Interagency Council on Homelessness (Cal-ICH) notes that 22% of individuals accessing homeless services in 2023 reported having experienced domestic violence.[1] Nationally, on just one day in 2020, 5,591 survivors received services, and there were 984 unmet requests for services; 65% of these unmet requests were for housing or emergency shelter.[2] The need for safe housing and the economic resources to maintain safe housing are two of the most pressing concerns among abused women who are planning to or have recently left the person causing that harm.[3]
The Cal-ICH action plan also notes that 13% of individuals accessing homeless services in 2023 were unaccompanied youth (age 24 or younger). Transition aged youth (TAY) are unlikely to utilize adult services, for a variety of reasons; for example, for example, according to service providers, youth tend to choose to stay in unsheltered locations or with friends because they are often victimized in adult shelters. Unfortunately, youth experiencing homelessness are also at an unusually high risk for several life-threatening conditions including “not having their basic food and shelter needs met, untreated mental health disorders, substance use, sexually transmitted diseases and HIV infection, sexual trafficking, physical and sexual abuse, and suicide.”[4] For this reason, HHAP includes a set-aside specifically for youth homelessness.
- Focus of MHP, HHAPP, and Homekey. MHP provides funding for lower-income housing, while HHAP and Homekey provide funding to address homelessness. Eligible projects for MHP funds include large family, special needs, senior, supportive housing, and at high risk. HHAPP funds projects to prevent and expeditiously reduce unsheltered homelessness through homelessness prevention activities, as well as sustaining existing interim housing solutions and permanent housing solutions. Homekey funds projects to help individuals and families experiencing homelessness, or who are at risk of homelessness, and who are inherently impacted by or at risk for medical diseases or conditions due to the COVID-19 pandemic or other communicable diseases.
This bill would require all three programs to ensure that foster youth and extremely low-income households, who are need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking, are given consideration in future rounds of funding.
- Amendments. The author is proposing several clarifying amendments that, due to timing, will be proposed as committee amendments. These amendments clarify that the bill applies to former foster youth, low-income, very-low-income, and lower-income households, who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking.
- Double referral. This bill was heard in the Committee on Human Services on April 21st, which passed it 5-0.
Related/Prior Legislation
SB 814 (Rubio, 2025) – requires Cal-ICH to annually evaluate its goals relating to domestic violence survivors, their children, and unaccompanied women. This bill is also being heard in this committee today.
SB 914 (Rubio, 665, Statutes of 2022) – enacts the Homeless Equity for Left Behind Populations (HELP) Act, which requires cities, counties, and CoCs receiving state funding, on or after January 1, 2024, to take specific actions to address the needs of domestic violence survivors and unaccompanied women, as specified. Also requires Cal-ICH, by January 1, 2025, to establish initial goals to prevent and end homelessness among domestic violence survivors, their children, and unaccompanied women, as specified, and to evaluate these goals at least every two years to determine whether updates are needed.
SB 234 (Wiener, 2021) – would have created the Transition Aged Youth (TAY) Housing Program under the Homelessness Financing and Coordinating Council, to provide grants for the development of housing for TAY in the form of forgivable loans, as specified, and would have allocated $100 million from the General Fund to the program. This bill was held on the Assembly Appropriations Committee suspense file.
FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No
POSITIONS: (Communicated to the committee before noon on Wednesday,
April 23, 2025.)
SUPPORT:
Black Women Revolt Against Domestic Violence
Center on Juvenile and Criminal Justice
Community Forward Sf
Downtown Women's Center
LA Casa De Las Madres
Mary Elizabeth Inn
My Sister's House CA
National Council of Jewish Women-sf
San Francisco Domestic Violence Consortium
San Francisco Safehouse
The Women's Building
OPPOSITION:
None received
-- END --
Cal-ICH, Action Plan for Preventing and Ending Homelessness in California, December 2024, Cal ICH Action Plan for Preventing and Ending Homelessness. ↑
National Network to End Domestic Violence (2021). 15th Annual Domestic Violence Counts Report. Washington, DC. Retrieved from: https://nnedv.org/wp-content/uploads/2021/05/15th-Annual-DV-Counts-Report-California-Summary.pdf ↑
Clough, A., Draughon, J. E., Njie-Carr, V., Rollins, C., & Glass, N. (2014). “Having housing made everything else possible”: Affordable, safe and stable housing for women survivors of violence. Qualitative Social Work, 13(5), 671-688. ↑
On the COVID-19 Front Line and Hurting: Addressing the Needs of Providers for Youth Experiencing Homelessness in Berkeley and Alameda County, UC Berkeley Public Health, (May 2020). ↑
SENATE COMMITTEE ON HUMAN SERVICES
Senator Arreguín, Chair
2025 - 2026 Regular
Bill No: | SB 802 | ||
Author: | Ashby | ||
Version: | March 26, 2025 | Hearing Date: | April 21, 2025 |
Urgency: | No | Fiscal: | Yes |
Consultant: | Heather Hopkins | ||
Subject: Multifamily Housing Program: Homekey: Homeless Housing, Assistance, and Prevention program
SUMMARY
This bill requires the Department of Housing and Community Development (HCD) to ensure foster youth, homeless persons, and extremely low income households, very low income households, and lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration relative to the Homeless Housing, Assistance, and Prevention program (HHAP), Homekey, and the Multifamily Housing Program.
ABSTRACT
Existing Law:
- Defines, in federal statute, the word “homeless” for the purpose of housing assistance, to mean an individual or family who lacks a fixed, regular, and adequate nighttime residence, such as:
- A primary nighttime residence that is a public or private place not designed for or ordinarily used as a regular sleeping accommodation for human beings, including a car, park, abandoned building, bus or train station, airport, or camping ground;
- A supervised publicly or privately operated shelter designated to provide temporary living arrangements (including congregate shelters, transitional housing, and hotels and motels paid for by charitable organizations or by federal, state, or local government programs for low-income individuals); or
- Exiting an institution where he or she resided for 90 days or less and who resided in an emergency shelter or place not meant for human habitation immediately before entering that institution. (42 CFR 91.5)
- Creates the Cal-ICH and requires it to set and measure progress toward goals to prevent and end homelessness in California. (WIC 8255)
- Establishes the HHAP program to provide jurisdictions with one-time grant funds to support regional coordination and expand or develop local capacity to address their immediate homelessness challenges informed by a best-practices framework focused on moving homeless individuals and families into permanent housing, and supporting the efforts of those individuals and families to maintain their permanent housing. (Health and Safety Code (HSC) 50217)
- Requires, for a Continuum of Care (CoC) to receive HHAP funding, the CoC to provide the Cal ICH data on the demographics and characteristics of the homeless populations in the jurisdiction and on current programs providing housing and homeless services, as reported to the federal government through HMIS and point-in-time counts. (HSC 50219(a)(7))
- Describes the eligibility requirements for HHAP funding Round 6 which includes requiring a jurisdiction participate in a regionally coordinated homelessness action plan that has been approved by the department. (HSC 50240(a))
- Requires the HHAP round 6 regionally coordinated homelessness action plan to include the most recent performance measures for the region of:
- The number of people experiencing homelessness.
- The average length of time people experience homelessness.
- The percentage and number of people exiting homelessness into permanent housing.
- The number of people who return to homelessness after exiting homelessness into permanent housing.
- The number of people falling into homelessness for the first time.
- The number of people who return to homelessness after exiting institutional settings, including, but not limited to, jails, prisons, and hospitals. (HSC 50240(c)(2))
- Establishes the Homekey program at HCD, disbursed in accordance with the Multifamily Housing Program (MHP), including as grants to cities, counties, cities and counties, and all other state, regional, and local public entities, as necessary, and as provided for the following uses:
- Acquisition or rehabilitation, or acquisition and rehabilitation, of motels, hotels, hostels, or other sites and assets, including apartments or homes, adult residential facilities (ARFs), residential care facilities for the elderly (RCFEs), manufactured housing, commercial properties, and other buildings with existing uses that could be converted to permanent or interim housing.
- Master leasing of properties for non-congregant housing.
- Conversion of units from nonresidential to residential.
- New construction of dwelling units.
- The purchase of affordability covenants and restrictions for units.
- Relocation costs for individuals who are being displaced as a result of rehabilitation of existing units.
- Capitalized operating subsidies for units purchased, converted, or altered with funds provided, as specified. (HSC 50675.1.3 (a)(1-7))
This Bill:
- Makes Legislative findings and declarations regarding homeless shelters being predominantly co-ed, with an over 90 percent male population, resulting in an environment that feels unsafe for women and the need for safe, stable, affordable housing for individuals experiencing trauma, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking, a population of which is overwhelmingly women.
- Provides it is the intent of the Legislature to enact legislation to ensure a portion of all state funding distributed by the HCD is allocated for the construction, development, acquisition, or rehabilitation of housing for extremely low income households, very low income households, or lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking.
- Provides that, upon appropriation by the Legislature, for rounds of the Homeless Housing, Assistance, and Prevention program, the Homekey program and the Multifamily Housing program adopted after the effective date of this act, the HCD shall ensure that the following populations are given consideration:
- Foster youth.
- Homeless persons.
- Extremely low income households, very low income households, and lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking.
- Foster youth.
FISCAL IMPACT
This bill has not yet been analyzed by a fiscal committee.
BACKGROUND AND DISCUSSION
Purpose of the Bill:
According to the author, “In 2023, California had 60,000 unhoused women living on the streets, with 21% leaving their homes to escape violence and escalating abuse by an intimate partner. Many women continue to experience, or face an increase in violence, while living on the streets. Yet women only shelters in California have either closed or been forced to transition to co-ed models in order to receive funding. As a result, nearly all homeless shelters, transitional housing, and permanent supportive housing now operate as co-ed facilities. These environments are overwhelmingly male dominated, with over 90% of residents being men. Many women report feeling unsafe in these settings, leading them to remain on the streets, where they face increased risks of violence, exploitation, and instability.
“SB 802 addresses the shortage of resources for shelters serving individuals who have experienced human trafficking, sexual assault or abuse, or domestic violence by requiring the state to prioritize this population in its funding decisions. This will help ensure that women facing homelessness have access to safe, trauma-informed housing options that support recovery, stability, and long-term housing success.”
California Homelessness Data
Since 2016, homelessness in America, and particularly in California, has been growing at an increasing rate. Homelessness has been correlated with a number of negative effects, including high rates of chronic disease and acute illness, a broad range of mental health and substance use issues, greater exposure to violence, malnutrition, extreme weather, and criminal charges. The health, personal, and economic challenges that chronically homeless individuals and families face and the lack of effective, coordinated services to address these problems often lead to a cycle of housing instability and health deterioration. Persistent homelessness impedes access to needed health and employment services. Additionally, the conditions of homelessness often make it more difficult to exit homelessness, by creating barriers to the resources necessary to obtain income through training, education, and employment.
Each January, the U.S. Department of Housing and Urban Development (HUD) has local community CoCs conduct a Point in Time (PIT) count of people experiencing homelessness. HUD defines homelessness as either “sheltered” or “unsheltered”. Sheltered homelessness is when a person is living in a temporary place, such as a temporary shelter and unsheltered homelessness is living out in the open or in places not designated for, or ordinarily used as, a regular sleeping accommodation for people (i.e. the streets, vehicles, or parks). The PIT count is required by HUD as a condition of receiving federal funding. According to the 2024 PIT count information published in December of 2024[1], 187,084 people experienced homelessness in California, representing 24 percent of the nation’s homelessness population. Additionally, Californians accounted for 46 percent of all people experiencing unsheltered homelessness in the nation (112,482 people).
Former foster youth also remain at high risk of experiencing homelessness. Youth who ‘age out’ of the foster care system represent an estimated 20 percent of the 20,000 youth who leave foster care and are currently homeless. The Chapin Hall CalYOUTH study found that over 35 percent of youth reported they experienced homelessness while actively participating in extended foster care.
Housing Programs for Foster Youth
Due to the serious challenges faced by foster youth, there are a few state programs funded by HCD that provide housing support for the transitional age youth population:
- Housing Navigation and Maintenance Program: funds housing navigators for counties. The role of housing navigator is to act as a housing specialist to assist young adults with their pursuits of locating available housing and overcoming barriers to locating housing
- Transitional Housing Placement: helps all young adults who are 18 to 24 years of age, to secure and maintain supervised housing with priority given to young adults former foster youth.
- Transitional Housing Plus Housing Supplement Program: Funds housing costs for the Transitional Housing Plus program which provides current and former foster youth additional supports they need to successfully transition to independence while reducing the risks of homelessness, unemployment, and instability after foster care.
HHAP
Created by AB 101 (Committee on Budget, Chapter 159, Statutes of 2019), HHAP is a state funded, block grant program designed to provide jurisdictions with funding to support regional coordination and expand or develop local capacity to address their immediate homelessness challenges. HHAP’s flexible funding is informed by a “best-practices framework focused on moving homeless individuals and families into permanent housing and supporting the efforts of those individuals and families to maintain their permanent housing.” To date, the state has awarded five rounds of funding throughout the state to cities, counties, and CoCs to address the homeless crisis.
Round 6 of HHAP program funding is being administered by HCD. The legislature appropriated $1 billion for HHAP in fiscal year 2024-2025 and $760 million is for HHAP round 6. According to HCD, the goal of this round of funding is to “reflect the state’s priorities to prevent and expeditiously reduce unsheltered homelessness through homelessness prevention activities and sustain existing Interim Housing Solutions and Permanent Housing Solutions, including long-term sustainability of permanent affordable housing.”[2] Only CoC, large cities and counties are eligible for round 6 funding. Grant awardees are required to submit a number of reports to the state about the use of the funds. Data collected includes:
- An ongoing tracking of the specific uses and expenditures of any program funds broken out by eligible uses listed, including the current status of those funds.
- The number of homeless individuals served by the program funds in that year, and the total number of homeless individuals served in all years of the program.
- The types of housing assistance provided, broken out by the number of individuals.
- Outcome data for an individual served through program funds, including the type of housing that an individual exited to, the percent of successful housing exits, and exit types for unsuccessful housing exits.
- Information regarding individuals and families served, including demographic information, information regarding partnerships among entities or lack thereof, and participant and regional outcomes.
- Racial equity
- A description of barriers and possible solutions to those barriers, if significant progress has not been made towards intend goals.
All round 6 grant recipients must also submit a final report by April 1, 2030. This bill would require that foster youth, homeless persons, and extremely low income households, very low income households, and lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration in the awarding of grants.
Homekey
The Homekey program, administered by HCD, provides grants to cities, counties, cities and counties, and all other state, regional, and local public entities to provide funding for the acquisition, rehabilitation, or both, of motels, hotels, hostels, or other sites and assets, including apartments or homes, ARFs, RCFEs, manufactured housing, commercial properties, and other buildings with existing uses that could be converted to permanent or interim housing. It also provides funds for master leasing of properties for non-congregant housing, conversions of units from nonresidential to residential, new construction of units, purchasing affordability covenants and restrictions for units, relocation costs for displaced individuals as a result of rehabilitation of existing units, and capital operating subsidies for units purchased, converted, or altered with Homekey funds. Homekey 1.0, however, did not include a specific set-aside for youth, and has to date awarded less than 1 percent of its funding to projects explicitly serving youth experiencing, or at risk of, homelessness. Through AB 140 (Committee on Budget, Chapter111, Statutes of 2022) additional one-time funding was provided for Homekey program to be spent over two year. AB 140 also included a minimum youth set aside of 8 percent to fund youth focused housing projects (this bill would rename these “projects” to “unit”). Homekey funds are still being spent but the program is converting to Homekey + which will continue to give local jurisdictions grants to construct long-term affordable housing or convert shorter-term facilities such as hotels and motels into long-term housing for individuals and household who are veterans, homeless or at risk of homelessness.
Related/Prior Legislation:
SB 914 (Blanca Rubio, Chapter 665, Statutes of 2022) established the HELP Act and required Cal ICH to set and measure progress toward goals to prevent and end homelessness among domestic violence survivors and their children and among unaccompanied women in California and required initial goals to be established by January 1, 2025, and to be evaluated at least every 2 years to determine whether updated goals are needed.
AB 140 (Committee on Budget, Chapter 111, Statutes of 2021) among other things, required Cal ICH to conduct a statewide assessment to identify state programs that provide housing or services to persons experiencing or at risk of homelessness, and to collect and analyze data from those programs necessary to provide a comprehensive view of the homelessness response system, as provided. Further, the bill allocated $40 million to establish the Grant Program, to provide grants and TA to local jurisdiction to promote innovation, and expand promising practices that could be shared in the state to address and end family homelessness.
AB 1220 (Luz Rivas, Chapter 398, Statutes of 2021) renamed HCFC to Cal ICH, named the Secretary of Cal HHS as co-chair, reconstituted the Cal ICH membership, and required the Cal ICH to meet at least twice yearly with an advisory committee, among other things, and as provided.
AB 977 (Gabriel, Chapter 397, Statutes of 2021) required recipients of state homeless programs to enter data on the individuals and families it serves into its local HMIS beginning on January 1, 2023. SB 977 also requires all CoCs to provide collected data elements, as specified.
AB 1845 (Luz Rivas, 2020) would have created the Governor’s Office to End Homelessness under the Direction of the Secretary of Homelessness and would have moved the HCFC from the Business Consumer Services and Housing Agency into the Governor’s Office to End Homelessness. AB 1845 was vetoed by the Governor.
AB 101 (Committee on Budget, Chapter 159, Statutes of 2019) among other things, established and provided $650 million in funding for the HHAP Program.
SB 850 (Senate Committee on Budget and Fiscal Review, Chapter 48, Statues of 2018) provided funding for homelessness initiatives, and required that the Governor appoint up to 17 members to HCFC, including the BCSH Secretary, or designee, to serve as chair, a representative from the Department of Transportation and a formerly homeless youth, as provided.
SB 1380 (Mitchell, Chapter 847, Statutes of 2016) created the HCFC to coordinate the state’s response to homelessness and required California to adopt the Housing First model, as provided.
COMMENTS
This bill requires HCD to ensure foster youth, homeless persons, and extremely low income households, very low income households, and lower income households who need safe and stable housing and are experiencing traumatic homelessness, street violence, domestic violence and abuse, sexual abuse and assault, or human trafficking are given consideration relative to the HHAP and the Multifamily Housing Program. These programs are designed to help those experiencing homelessness, so it is unclear why “homeless persons” needs to be added to populations to consider. The author may wish to delete this language as it appears to be redundant.
Double Referral: This bill has been double-referred. Should this bill pass out of this Committee, it will be referred to the Senate Committee on Housing.
POSITIONS
Support:
Black Women Revolt Against Domestic Violence
Center on Juvenile and Criminal Justice
Community Forward Sf
Downtown Women's Center
Glide
LA Casa De Las Madres
Mary Elizabeth Inn
National Council of Jewish Women-sf
San Francisco Domestic Violence Consortium
San Francisco Safehouse
The Women's Building
Oppose:
None
-- END --
Discussed in Hearing
3MIN
Senate Floor
23MIN
Assembly Floor
33MIN
Assembly Standing Committee on Local Government
55MIN
Assembly Standing Committee on Housing and Community Development
11MIN
Senate Standing Committee on Human Services
Bill Author
