Senate Standing Committee on Housing
- Scott Wiener
Legislator
Okay. Call this hearing to order. Welcome to the Senate Committee on housing. We continue to welcome public in person testimony as well as telephonic testimony for individuals wishing to provide public comment remotely today. The participant number is 877-226-8163 and the access code is six, excuse me, 736-2834. We're holding our Committee, of course, in the swing space. I will ask to the TV for anyone watching for all members to make their way down. We do not currently have a quorum. We need two more for a quorum. So we'll begin as a Subcommitee and establish a quorum when a couple more members come. We have six bills on today's agenda. The first two bills are mine. So our Vice Chair, Senator Ochoa Bogh, will preside over those two bills as I present. And once we have a quorum, we'll adopt our committee rules, but we'll pass over that for now. So we will now move to our first item, and I'll pass the gavel to our Vice Chair.
- Rosilicie Ochoa Bogh
Legislator
Welcome, Senator Wiener, you may present your bill.
- Scott Wiener
Legislator
Okay. And, Madam Vice Chair, this is Senate Bill four.
- Rosilicie Ochoa Bogh
Legislator
Yes, I'm sorry. Yes, we'll be reviewing SB four by Senator Wiener.
- Scott Wiener
Legislator
Thank you very much, Madam Vice Chair. Colleagues, Senate Bill four will allow religious institutions and nonprofit colleges to utilize their excess land to create 100% affordable housing. It will address the zoning and also the approval so that we can quickly deliver these new affordable homes. We have done a lot of work in recent years to try to address California's severe housing shortage. We are short millions of homes, and we know that probably somewhere around half of that shortage is our homes that are below market rate, which is what this bill addresses. We know that our churches, synagogues, mosques, other religious institutions, as well as nonprofit colleges have a lot of land, and often they have way more land than they need, whether it's a church or synagogue that has a parking lot that's three times as big as what their congregation needs or simply have land that they're not using. And we know that they often want to build housing to promote their mission to provide housing for people. However, due to zoning restrictions and approval limitations there, sometimes it's either difficult or often impossible for them to do so. We know that from an analysis a few years ago from the Turner center, which is being updated as we speak, looking at only the largest counties in California. So not even all the counties, a small subset of the counties, they identified, I believe, 38,000 acres of potential land for affordable housing. If you take the whole state and you add in the nonprofit colleges, it's a lot more. This will be a game changer for the construction of 100% affordable housing, opening up tens of thousands of acres of land that will be effectively prioritizing the builders, particularly the nonprofit builders, but the builders that build 100% affordable housing, they won't have to compete with the market rate developers, which is often a barrier in terms of accessing land. This bill is, I first introduced this bill in 2020, and it passed the Senate, 39 to nothing. I was very proud of that broad bipartisan support for this Bill among members, because we know there are members in both parties who have a lot of different opinions on housing. It really was a unifying Bill. We did a lot of work in this Committee and also in the governance and Finance Committee that year on the Bill to try to really respect the local context in terms of neighborhood issues. And we've honored all of those agreements from 2020. We have a massive coalition behind this bill of affordable housing, advocates, faith based organizations, and advocates, labor unions, business organizations. I'm very proud of this broad coalition, and I respectfully ask for your aye vote. With me today to testify, and I know we'll probably establish quorum in a moment, but with me today to testify is Abram Diaz, the Director of policy of the nonprofit Housing Association of Northern California, and Rabbi Alfie from Congregation Bennett Israel in Sacramento. So, Madam Chair, I assume we'll want to establish quorum.
- Rosilicie Ochoa Bogh
Legislator
As a matter of fact, yes. Senator, we are currently able to assess.
- Scott Wiener
Legislator
I think your microphone might be off.
- Rosilicie Ochoa Bogh
Legislator
We do have enough members now to be able to establish a quorum, so we're going to go ahead and move forward on that.
- Committee Secretary
Person
[roll call]
- Rosilicie Ochoa Bogh
Legislator
Thank you very much, Madam Secretary. We will now move on to lead witnesses in support.
- Scott Wiener
Legislator
And perhaps, madam vice chair, if we could adopt the rules just to get it out. Without objection here.
- Rosilicie Ochoa Bogh
Legislator
So we'd like to first adopt the Committee rules for 2023 and 2024 legislative session. Without objection. Oh, I'm sorry. Is there any objection adopting the rules? Seeing none, Madam Chair. Okay. Without objection. They are currently adopted. Thank you.
- Scott Wiener
Legislator
Thank you, Madam Vice Chair. And now to our witnesses.
- Abram Diaz
Person
Thank you. Chair and Committee members, please testify in support of Senate Bill four on behalf of the nonprofit Housing Association of Northern California. My name is Abram Diaz and I'm the policy Director for MPH. At MPH, we represent around 750 affordable housing builders, advocates, and community leaders working to support the creation and preservation of affordable homes across California. As we all know, the shortage of housing has created a desperate crisis for our state and California's families. Last year, the California Department of Housing and Community Development released a report enumerating our challenge. We need to build at least 1 million affordable units over the next eight to 10 years. As large property holders, faith based institutions and private colleges are in an important position to help us meet this need. And as previously stated, there are tens of thousands of acres that are possible for us to use to build affordable housing, many in very high opportunity areas. These organizations, as long standing community anchors, wish to lead in addressing our housing and homeless crisis. Our faith partners see this as an extension of not only their mission, but also their moral calling. The problem we're trying to solve is that while many of these institutions are ready to build and support affordable housing, their current zoning prevents it. For our partners, it can take a year at the minimum and more typically several years to allow these projects to move forward. That kind of delay can cost us hundreds of thousands of dollars on these units and discourages and prevents us from building homes for low income families and working families. This bill would ensure that we apply reasonable streamlining principles so that our religious communities can open their doors to Californians in need. We balance this approach by including strong labor requirements and worker protections as well. As you can see in the analysis, the bill has support from about 180 groups from all across the state, including labor equity, housing groups, faith groups, all from Muslim, Jewish, and Christian communities as well. We all collectively urge your support, and I'm happy to help answer questions as needed. Thank you.
- Mona Alfie
Person
Thank you, Madam Chair and Committee Members, and thank you, Senator Wiener, for authoring this important legislation. And thank you to Jake Pet Kepak and all of the co sponsors of this Bill for championing this effort on behalf of California communities of faith. My name is Rabbi Mona Alfie. I'm the senior rabbi at Congregation B'nai Israel here in Sacramento, Sacramento's largest synagogue and the oldest synagogue in the State of California. The most repeated commandment in the Torah is love your neighbor as yourself if for you were slaves in the land of Egypt. Cities across California are facing a housing and homelessness crisis, and we're seeing our neighbors live in the streets in astounding numbers. Driven by our Jewish values and our own history of oppression, countless synagogues are eager to address our homelessness crisis and support our neighbors that are most in need. And we know that our friends in the Muslim, Christian and other faith communities share these same important values. Faith communities are some of the state's leading organizers of volunteer and charity efforts to help our neighbors experiencing homelessness. But food donation drives, temporary shelter options and similar campaigns are largely band aid solutions. Just yesterday, the Sacramento Bee reported a third death this winter due to inclement weather for people who are homeless. The Jewish sage Maimonides has a famous teaching about the ladder of giving charity, where the highest rung, the most impactful way you can give, is to help someone succeed themselves. In fact, this lesson is sometimes credited as inspiration for the proverb about teaching a man to fish. Our communities desperately want to create permanent solutions for those experiencing poverty, hunger, housing, insecurity and homelessness, and we are ready equipped for it. Synagogues and other faith institutions own large properties all over the states, many in communities where affordable housing is desperately needed and many with land to spare. But we need to pass this bill to remove the red tape and prohibitive processes that make it hard to build affordable housing. For some faith institutions, this opportunity could even be their lifeline, providing revenue that can stabilize their organization's finances. This bill is a creative solution to address the critical issue of our time, and it gives communities of faith the important opportunity to form a real mitzvah, a kind and loving deed for our neighbors. Thank you for your consideration.
- Rosilicie Ochoa Bogh
Legislator
Thank you very much. Now we will now move on to lead witnesses in support here in room 1200. Do we have any witnesses in support of SB four here in room 1200? Here they come.
- Silvia Shaw
Person
Madam Chair and Member Sylvia Solis Shaw, here on behalf of the City of Santa Monica, in strong support. Thank you.
- Karen Lange
Person
Good afternoon, Madam Chair and Members Karen Lange, on behalf of the city and County of San Francisco, in support.
- Cynthia Castillo
Person
Good afternoon. My name is Cynthia Castillo. I'm a policy advocate for Western Center on Law and Poverty. We have a support, if amended, position and look forward to conversations to ensure that the projects aren't located on toxic land. Thank you.
- Brian Sapp
Person
Brian Sapp, on behalf of Lighthouse Public affairs and our clients, SPRU and Habitat For Humanity in support.
- Unidentified Speaker
Person
On behalf of inner city Law Center, Skid Row nonprofit pro bono law firm, we are excited to sponsor and support this Bill.
- Susan Rodriguez
Person
Susan Rodriguez, proud Member of Carpenter's Local 152. I reside in Stockton, California, San Joaquin county, and I stand as support with my brothers and sisters today for SB 4, we need housing now.
- Mary Graves
Person
Good afternoon. I'm the Reverend Dr. Mary Graves, Presbyterian Pastor from Redwood City. And because I know of an increasing number of churches that have both the property and the passion to provide affordable housing, I'm here to support SB 4.
- Kyle Swarms
Person
Good afternoon. My name is Kyle Swarms. I'm a resident of Sacramento, a member of Local 46, and I'm here in favor of SB four. Thank you.
- Penny Nixon
Person
My name is Reverend Dr. Penny Nixon from the County of San Mateo, co Director of the Peninsula Solidarity Cohort, and right now I'm working with five churches who desperately desire to build affordable housing on their land.
- Marlon Bussey
Person
My name is Reverend Dr. Marlon Bussey. I pastor in San Mateo, California, and I am the co Director of the Peninsula Solidarity Cohort. My church is one of the ones that is actively trying to build affordable housing in San Mateo. I urge your support for SB four. Thank you.
- Raul Maldonado
Person
Hey, my name is Raul Maldonado. I am currently an East Bay YIMBY lead volunteer. I'm originally based in Oakland. I'm originally based in Modesta, California, Central Valley, currently in Oakland. Right now, I'm here in support on behalf of East Bay YIMBY and also myself for SB four. Thank you.
- Tovis Page
Person
Good afternoon. My name is Dr. Tovis Page. I'm a unitarian universalist minister in San Mateo, and I'm also with the Peninsula Solidarity Cohort to be here to show my support.
- Krista Hansen
Person
My name is Krista Hansen. I am a Member of Peninsula Solidarity cohort and of the congregational church with San Mateo, and we very, very much want this bill to pass.
- Louis Marante
Person
Good afternoon. Louis Marante with Bay Area Council. We represent about 330 of the Bay Area's larger employers and think housing is the number one issue for our region to solve. We're here in strong support of SB four today. Thank you.
- Lauren McCombs
Person
My name is Deacon Lauren McCombs. I am a deacon in the Episcopal Church. I'm a Member of PeninsuLA Solidarity cohort and also faith in Action Bay Area. It's time to support housing in our area. I support SB four. Thank you for your time.
- Scott Govenar
Person
Madam Chair. Scott Governar, behalf of the Construction Employers Association in support.
- Curtis Smith
Person
Madam Chair, my name is Pastor Curtis Smith. I'm the pastor of Destiny Christian center in Stockton, California, and also the Director for Faith in the Valley. And I'm here in strong support of SB four.
- Maria Coronado
Person
Good afternoon, Madam Chair and Committee Members. My name is Maria Coronado with Southwest Mountain States Carpenters, proud member of local 323 and we support SB four. Thank you.
- Alex Regala
Person
Good afternoon. My name is Alex Regala. I'm a policy manager at MidPen Housing affordable housing developer. We stand in strong support of SB four.
- Manley McNinch
Person
Good afternoon. Manley McNich with the Southwest Regional Mountain States Regional Council of Carpenters and Member of local 805. We are here in strong support of SB four. Thank you.
- Anthony Ventura
Person
Good afternoon. My name is Anthony Ventura. I'm a representative with the Southwest Mountain States Regional Council of Carpenters, representing Ventura, Santa Barbara, San Luis Obispo county. We strongly support SB four. Thank you.
- Jordan Panana Carbajal
Person
Madam Chair, Members of the Committee, Jordan Panana Carbajal, on behalf of California YIMBY, in strong support.
- Sam Moss
Person
Hello, my name is Sam Moss. I'm the Executive Director of Mission Housing Development Corporation in San Francisco in affordable housing provider. I'm here today on behalf of Mission Mercy Housing, Tenderloin Housing Clinic and the John Stewart Company, as well as BRIDGE Housing, and we are here in strong support of SB 4. Thank you.
- Laura Foote
Person
Hi, I'm Laura Foote, Executive Director of Yimbi Action, and on behalf of our 3000 members across California, in strong support.
- Lisa Moss
Person
I'm Lisa Moss, and I'm a member of San Francisco YIMBY, and I am very strong support of SB four.
- Jordan Grimes
Person
Good afternoon. Chair and Members, Jordan Grimes, on behalf of environmental nonprofit Green Belt Alliance, here in strong support of SB four. Thank you.
- Arturo Rodriguez
Person
Hello, my name is Arturo Rodriguez, Carpenters Local 2236 out of Oakland, and I'm in strong support of SB four. Thank you.
- John Belperio
Person
Good afternoon, everybody. My name is John Belperio. On behalf of Norcal Carpenters Union, in strong support.
- Ron Roulette
Person
Ron Roulette, Solana County resident, Carpenters Local 180, Norcal carpenters in strong support.
- Ira Kaplan
Person
Hi, my name is Ira Kaplan. I'm a Member of San Francisco YIMBY. I'm here in strong support of SB four. Thank you.
- Matthew Miller
Person
Hello, everyone. Matthew Miller, Norcal Carpenters. I'm a Member of Carpenter or Drywall Lathers Local 9068 in Livermore, in strong support, and we need housing in the peninsula, badly.
- Zach Bowling
Person
Afternoon, everyone. Zach Bowling, volunteer lead with East Bay YIMBY here in strong support for SB four. Thank you.
- Ally Zaperman
Person
Good afternoon. Ali Zaperman, on behalf of the Housing Action Coalition, in enthusiastic support, but I'm also here because I've been housing insecure my entire life and we need solutions now. Thank you.
- Ralph Asannfeld
Person
Good afternoon, my name is Ralph Asannfeld. I'm with YIMBY Action, and I'm here on behalf of chapters and partners. East Bay YIMBY, Grow the Richmond Mountain View YIMBY, Napa Solano for everyone, Northern Neighbors Peninsula for everyone, Progress No Way Valley, San Francisco YIMBY, Santa Cruz YIMBY, Santa Rosa YIMBY, Slow Co YIMBY, South Bay YIMBY, Southside Ford Urban environment mentalists and People for Housing Orange County. Thank you.
- Ryan O'Connell
Person
Ryan O'Connell, Napa resident and here on behalf of how to ADU and the 20,000 homeowners in our community in strong support of SB four.
- Susan Sanderhome
Person
Hi. Susan Sanderhome, San Francisco YIMBY member. I live in support of housing and I'm grateful and I want more people to have the same opportunities.
- Alex Melendrez
Person
Hello. Alex Melendrez. I work at YIMBY Action. I'm also a member of Peninsula for Everyone in strong support of SB four.
- Justine Marcus
Person
Hi, I'm Justine Marcus with enterprise Community Partners. We're a national affordable housing nonprofit, and on behalf of our San Francisco, LA and Stockton offices, we're here in strong support. Thank you. Good afternoon. Gracia CaSio Krings, here on behalf of.
- Graciela Castillo-Krings
Person
Good afternoon. Gracia Castillo-Krings, here on behalf of All Home and SB Silicon Valley Action fan.
- Unidentified Speaker
Person
Afternoon, Pastor Day, Victory and Praise Church and organizer with Faith in the Valley in strong support of SB four. We need housing now.
- Courtney Powell
Person
Good afternoon. My name is Courtney Powell. I'm with resources for community development. We're a nonprofit housing developer in support of SB four.
- Cassie Mancini
Person
Good afternoon. Cassie Mancini, on behalf of the California School Employees Association, in strong support.
- Edward Evans
Person
Afternoon, Madam Chair. Edward Evans, Carpenters Local 217. Norcal Carpenters, in strong support of SB four.
- Javier Santiso
Person
Buenas tardes, mi nombre es Javier Santiso, sor representante Reunion de Carpinteros, El Condava, San Diego. Estoy aquí en total respaldo de SB 4 porque va a traer un pedazo de legislatura que va a dar proteccion a los trabajadores que viven extorsionados y que se les roba su sueldo. Es tiempo que hamos lo corrcecto para protejer a los hombres y mujeres. Gracias.
- Doug Hicks
Person
Good afternoon, Madam Chair and committee. Doug Hicks, Southwest Mountain States Regional Council of Carpenters, representing local 619, San Diego and Imperial counties. Strong support for SB four. Thank you.
- Cliff Berg
Person
Cliff Berg here on behalf of JPAC, the Jewish Public Affairs Committee, representing every major Jewish organization in California from San Diego through Northern California. Pleased to be a co sponsor of SB four. Good afternoon.
- Dan McKellar
Person
Good afternoon. Dan McKellar, Carpenters Local 751, based out of Sonoma County, in strong support SB four.
- Sean McCARTHY
Person
Madam Chair, my name is Sean McCarthy. I'm field representative for Carpenters Local 22 in San Francisco. NorCal Carpenters Union in favor. Thank you.
- Martin Espinoza
Person
Good afternoon. My name is Martinez Espinoza, proud Member of the Carpenters union, in strong support for SB four.
- Antonio Muñoz
Person
Good afternoon, my name is Antonio Munoz out of NorCal Carpenters Local 713 out of Hayward, in strong support of SB four.
- Marina Wiant
Person
Marina Wyatt, with the California Housing Consortium in support.
- Rebecca Marcus
Person
Rebecca Marcus, on behalf of Leading Age California, in support.
- Jason Martinez
Person
Good afternoon. Jason Martinez from the Carpenters Local 701 out of Fresno. I'm also a proud military veteran in support.
- Travis Alexander
Person
Good afternoon. Travis Alexander, Norcal Carpenters Union and Fresno county, resident here in strong support of SB four.
- Onasis McFarland
Person
Onasis Mcfarland, Carpenters Local 180 in Solano County in strong support of SB 4. Thanks.
- Melody Unknown
Person
I'm Melody Hal Weintraub. I'm here representing Temple Isaiah in Contra Costa County and Hope Solutions, which is a home provider in Contra Costa. In support of SB four.
- Jan Warren
Person
Hi, Jan Warren with the MultiFaith Action Coalition shelter and housing task force in Contra Costa County in strong support of SB four.
- Scott Littlehale
Person
Hello. Scott Littlehale, resident of Richmond, California, proud member of Norcal Carpenter's Local Union 152 in Contra Costa County. Strong support of SB four.
- Douglas Leach
Person
I'm Douglas Leach. I'm a member of the Multifaith Action Coalition and would like to also on behalf of the Social Justice alliance of the Interfaith Council of Contra Costa County. Register both organizations. Strong support of SB four.
- Jesse Parlies
Person
Good afternoon, my name is Jesse Parlies, proud member of the Norcal Carpenters Union and President of 713, representing Alameda County, and we are in strong support of SB four. Thank you.
- Eddie Luna
Person
Good afternoon. Eddie Luna, Local 713. I support SB four.
- Daniel Gregg
Person
Good afternoon. Daniel Greg, member at Norcal Carpenters Union Local 2236 in Oakland. Strong support of SB four. Thank you.
- Dan Calamuci
Person
Good afternoon. Dan Calamuci, Carpenters Local 22 in San Francisco, here in strong support of SB four.
- Juan Espinoza
Person
Good afternoon. My name is Juan Espinoza. I'm a proud member of NorCal Carpenters Union Local 217 in San Mateo county, and I'm here in support of SB port. Thank you.
- Todd David
Person
Todd David, on behalf of Abundance San Francisco, standing with our partners in the Carpenters union in strong support.
- Doug Chesshire
Person
Good afternoon, my name is Doug Chesshire. I'm a proud member of Carpenters Local 605 in Monterey County, here in strong support of SB four.
- Laura Drocic
Person
Good afternoon, my name is Laura Drocic. I'm a proud member of the Norcal Carpenters Local 405, San Jose, California, and I'm in strong support of SB four.
- Ed Gable
Person
My name is Ed Gable. I am a resident of Pleasanton, which is a little town in Alameda County, and I'm a union rep with the Carpenters, and I'm in support for this Bill. Thank you.
- Francisco Martinez
Person
Hello, my name is Francisco Martinez. I'm a Napa County resident, and I'm a field rep with Norcal Carpenters Local 2236 and I'm in support of SB 4.
- Mirsa Lopez
Person
Mi nombre es Mirsa Lopez, Carpintera Local 9109, gracias.
- Mary Shay
Person
Mary Ellen Shay, California Association of Local Housing Finance Agencies, in strong support of SB four.
- Luke Vrat
Person
Good afternoon. My name is Luke Vrat, and I'm a proud member of the NorCal Carpenters Union in support of SB four. Thank you.
- Taryn Sandulyak
Person
Hi, I'm Taryn Sandulyak, co founder of Firm Foundation Community Housing in support. Thanks.
- Brian Leahy
Person
Hi, I'm Brian Leahy. I'm part of AARP's response team and our 3.2 million members. We're strong support of SB four.
- Mark Stivers
Person
Mark Stivers with the California Housing Partnership and strong support.
- James Thuerwachter
Person
Madam Chair Members, good afternoon. James Thorwachter with the California State Council of Laborers, proud to be in support.
- Tony Bui
Person
Tony Buoy with the California Apartment Association in strong support. Thanks.
- April Atkins
Person
April Atkins, proud member of Local 22, San Francisco. Strong support. Thank you for allowing me to speak.
- Jay Bradshaw
Person
Good afternoon. Jay Bradshaw, Executive officer, Norcal Carpenters Union. On behalf of our over 36,000 hardworking men and women out in the field and 22 local unions, we strongly support SB four. Thank you.
- Kenneth Doe
Person
Kenneth Doe from 9144 in San Jose. I strongly support SB four.
- Juan Barbosa
Person
Good afternoon. My name is Juan Barbosa, and I'm representing Local 505 in Santa Cruz, California. I'm in strong support of SB four.
- Lonzo Quintana
Person
Lonzo Quintana, travel ladders, Livermore, California. I support SB four.
- Sean Reese
Person
Sean Reese, from Local 1599, Redding, California. I strongly support SB four.
- Chris Martinez
Person
My name is Chris Martinez, local 1599, Redding, California, and I strongly support.
- Jerry Centopia
Person
My name is Jerry Centopia, from Local 46, Sacramento, and I strongly support SB four.
- Giovanni Adelini
Person
My name is Giovanni Adelini, I'm a 25 year member of Lathers Local 68L out of Oakland. I support common sense legislation like SB four.
- Jaime Vasquez
Person
Jaime Vasquez, out of San Jose, local 405, carpenters, and support the SB four.
- Unidentified Speaker
Person
9144 out of San Jose, California. I truly support SB four.
- Alberto Lustre
Person
Alberto Lustre, Local 9144. I support SB four.
- Carlos Valdez
Person
Carlos Valdez, NorCal Carpenters union, Local 46. I'm a resident of Sacramento. I strongly support SB four.
- Unidentified Speaker
Person
My name is Aaron Hadzas, Local 22, carpenters. I support SB four.
- Anthony Levice
Person
Anthony Levice, Local 2236 in strong support of SB four.
- Matt La Jay
Person
Hello. Matt La Jay, on behalf of SEIU, California, in support.
- Brooke Ward
Person
Good afternoon. Brooke Ward, chapter Director of community organizing. Eddie Carr, a Jewish faith community in Los Angeles, also a member of LA Voice, and we support with amendments. Thanks.
- Zachary Hoover
Person
Reverend Zachary Hoover, Executive Director of La Voice, speaking on behalf of our 60 Member congregations, also part of PICO, California. We have a dozen congregations interested in doing this, but face zoning challenges, and we support, with amends.
- Eric Carmona
Person
Eric Carmona, Director of campaigns for PICO, California. We also support with amends.
- Ryan Shields
Person
Ryan Shields, NorCal Carpenters Union we strongly support SB four.
- Rosilicie Ochoa Bogh
Legislator
Perfect. Thank you. Do we have any other witnesses in support?
- Unidentified Speaker
Person
Thank you.
- Rosilicie Ochoa Bogh
Legislator
I'll take that as in support. Yes. Thank you very much, sir. We'll now move on to lead witnesses in opposition here in 1200. Room 1200. We have any witnesses in opposition. Please proceed. Thank you.
- Beverly Yu
Person
Thank you so much. Good afternoon, Madam Vice Chair and members, Beverly Yu on behalf of state Building and Construction Trades Council of California, representing half a million members statewide with an opposed, unless amended position on SB four. Specifically, we urge the Committee to include a skilled and trained workforce requirement for residential construction under the bill instead of the AB 2011 standard from last year. The current language is legally problematic, has not even gone to effect yet, and allows developers to utilize an unenforceable healthcare requirement that's likely preempted under the federal Employee Retirement Income Security act of 1974. The fatal preemption problem is highlighted in the text of the bill and in its severability clause provisions. The bill also includes a superficial apprenticeship requirement that's really nothing more than just a paperwork exercise. With any streamlining bill, worker protection training standards must include both prevailing wage coverage and skilled and trained workforce requirements. Skilled and trained provisions require a percentage of workers on the project be graduates of a state approved apprenticeship programs. Without this requirement, the bill creates two tiers of labor standards that result in residential workers having fewer protections than those in other sectors of construction. Requiring the use of skilled and trained workers on the job site is how the state can best capture the productivity benefits of prevailing wage. This ensures that workplace safety and ultimately the health and safety of people living in these homes. State approved union apprenticeship programs are the state's critical pipeline to these essential jobs and the building trades union members here stick with the construction long term, increasing their lifetime earnings and fueling healthy economies. Despite our move to information technology economy, the world still needs to be physically built. We strongly support getting affordable housing built, but is short sighted to miss an opportunity to invest in and promote a strong pipeline for a highly skilled and trained workforce that will be critical to meeting the housing production needed today and in the future. Opponents of skilled and trained provisions are conflating the total number of housing units needed to be built to the small number of housing projects shovel ready today to fabricate a worker shortage. I want to reiterate there is no worker shortage here in California. Instead of focusing on labor standards for a small segment of industry, we believe labor standards should be expanded to a much broader segment of the affordable housing industry. We urge you to vote no or commit to withholding your vote on the floor and working with us to ensure these important amendments are included before the bill passes off the floor. Thank you very much.
- Jennifer Speck
Person
Jennifer Speck on behalf of the California Association of Realtors, we have an opposed, unless amended, position currently. We're very optimistic that in the end, we'll be able to resolve our concerns with the author, primarily among a variety of technical amendments that we are working on with the Senator. We're concerned about the term ancillary uses within a single family neighborhood. The broad use of ancillary could result in something like a dry cleaner or some kind of service shop located that could provide a beneficial use to the community that the project is built in. What we're looking to do is simply clarify that the commercial uses within the residential single family neighborhood would only include childcare facilities and community centers as defined by HUD. Thank you.
- Scott Wetch
Person
Madam Chair Member Scott Wetch on behalf of the more than 200,000 members of the State Association of Electrical Workers, the California State Pipe Trades Council, the Western States Council of Sheet Metal Workers, the California Coalition of Utility Employees, and the Elevator Constructors Union, you can support housing without stripping worker protections that are in law today in collective bargaining. We call that a takeback. This bill is a takeback and it should be voted down. Thank you.
- Mark Mulliner
Person
Good afternoon, my name is Mark Mulliner. I work for the state building trades, and we are in opposition and less amended. Thank you.
- Rosilicie Ochoa Bogh
Legislator
Okay, let me just clarify that right now. We're moving on to opposition witnesses here in room 1200.
- Mitchell Bechtel
Person
Mitchell Bechtel with the District Council of Iron Workers were opposed unless amended. Thank you.
- Lolly Castillo
Person
Hello, my name is Lolly Castillo. I'm with the IBEW local 11 of Los Angeles representing almost 12,000 members, and. We oppose SB four.
- Ernesto Medrano
Person
Afternoon. My name is Ernesto Medrano, representing the Los Angeles and Orange County's building and construction Trades council, representing over 140,000 hardworking men and women in the construction sector, 48 affiliates and I urge no support for Senate Bill four unless it has true apprenticeship standards and true labor standards. Thank you.
- Raymond Davis
Person
Raymond Davis, President of Iron Workers Local 118 here in Sacramento. I stand with the building trades and oppose this Bill unless amended.
- Ken Miller
Person
My name is Ken Miller, business agent, organizer for Iron Workers Local 378, and I stand in solidarity with the state building trades to oppose unless amended. Thank you.
- Unidentified Speaker
Person
Good afternoon. Troy Arnson with the Iron Workers Local 118 out of Sacramento and I also stand with the state building trades and oppose unless amended. Thank you.
- Matt Goody
Person
Good afternoon. My name is Matt Goody. I'm the business manager for local union 228 plumbers and pipe fitters out of Marysville, California. And I stand with the California State pipe trades and the building trades and opposed unless amended.
- Rosilicie Ochoa Bogh
Legislator
Perfect. Do we have any other witnesses in opposition to SB four here in room 1200, seeing none. Thank you. There is one more, okay.
- John Hershey
Person
My apologies for my tardiness. I am John Hershey with Plumbers and Pipefitters, Local 447 in Sacramento County. And I'm here opposed unless amended. Thank you.
- Rosilicie Ochoa Bogh
Legislator
Any other witnesses in opposition to SB 4, here in room 1200? All right, we'll now move on to witnesses waiting to testify of the teleconference service. We'll be limiting the phone testimony to 20 minutes for all bills during this hearing. Moderator, if you would, please prompt the individuals waiting to testify in support or opposition, and we will begin.
- Committee Moderator
Person
Ladies and gentlemen, if you are in support or opposition of SB 4, please press one, then zero on your phone. You will receive a line number and be placed back in queue. If you have a speaker phone, please pick up the handset before pressing the numbers. And once again, that's support or opposition of SB 4, one then zero. We will go with line number 122. Your line is open, 122.
- Gerald Cox
Person
Gerald Cox with Road Sprinkler Fitters, Local 669. And we stand with the State Building Trades in opposition unless amended.
- Committee Moderator
Person
Thank you. Line number 132. 132, your line is open.
- Mary Blue
Person
Yes, can you hear me?
- Committee Moderator
Person
Yes, we can hear you. Go ahead.
- Mary Blue
Person
Yes, this is Mary Kate Blue, creative brand. I'm here representing Skid Row Action Plan Ad Hoc Skid Row Advisory Committee, with strong support of SB 4 of service providers to the Board of Supervisors. Thank you.
- Committee Moderator
Person
Thank you. Next, we will go to line number 135. Please go ahead. Okay, 135. You pushed yourself out. Go ahead.
- Unidentified Speaker
Person
Can you hear me? But I was calling regarding SB 423. So do I speak to 423? I know this is SB 4.
- Rosilicie Ochoa Bogh
Legislator
No, ma'am. Right now we're only taking testimony in support or in opposition for SB 4.
- Unidentified Speaker
Person
Okay, I go back in queue for SB 423. Okay, thank you.
- Rosilicie Ochoa Bogh
Legislator
Thank you, ma'am.
- Committee Moderator
Person
Next, we will go to line number. Let's see here. We will go to line number 172. Please go ahead.
- Kevan Insko
Person
Hello, this is Kevan Insko with the Friends Committee on Legislation of California in support of SB 4. Thank you.
- Committee Moderator
Person
Next, we will go to line number 180.
- Linda Warner
Person
This is Linda Warner with the California Catholic Conference of Bishops. And I apologize, our support letter got misdirected within the portal. So you don't have us listed on the analysis, but we are in very strong support of SB 4. Thank you.
- Committee Moderator
Person
Thank you. Line number 187.
- Zeke Sandoval
Person
Good afternoon, Chair Members. This is Zeke Sandoval with PATH, one of California's largest and most impactful nonprofit homeless service providers, in full support of SB 4. Thank you.
- Committee Moderator
Person
Thank you. Line number 174. 174?
- Unidentified Speaker
Person
And I'm in strong support of SB 4. Thank you.
- Committee Moderator
Person
Thank you. Line number 167.
- Cornelious Burke
Person
Good afternoon, Senators. This is Cornelius Burke with the California Building Industry Association. We are support, if amended, for SB 4. We request that the labor provisions to be removed from the Bill. Other than that, this is a wonderful Bill, and we want to thank Senator Wiener for his leadership in addressing California's housing crisis.
- Committee Moderator
Person
Thank you. Line number 163. Go ahead.
- Adam Buchbinder
Person
Hi, this is Adam Buchbinder from the City of Campbell in the South Bay and Policy Lead for South Bay YIMBY, proud to support SB 4. Thank you.
- Committee Moderator
Person
Thank you. Line number 194.
- Toby Muresianu
Person
Hi, this is Toby Muresianu. I'm calling from Los Angeles on behalf of West Side for Everyone in strong support of SB 4. Thank you.
- Committee Moderator
Person
Thank you. Line number 32.
- Allison Scheller
Person
Hi, Allison Scheller from Los Angeles, a single family homeowner. I work with a church right now in south central. It's taken us two years to put in 15 units of housing on church property. Thank you, Senator Weiner. I support SB 4.
- Committee Moderator
Person
Thank you. Line number 201. 201?
- Daniel Tamm
Person
This is the Reverend Daniel Tamm of the Episcopal Diocese of Los Angeles. Our bishop has committed 25% of all church lands in the diocese to affordable housing. If only we could get SB 4 passed. Thank you. Strong support.
- Committee Moderator
Person
Thank you. Line number 80. Line number 80?
- Shane Boston
Person
Good afternoon, this is Shane Boston, Business Manager of Plumbers and Pipefitters, Local 484 in Ventura County. I stand with the State Building Trades in strong opposition to this Bill.
- Committee Moderator
Person
Thank you. Line number 176. 176?
- Priscilla Quiroz
Person
Good afternoon, Chair Members. Priscilla Quiroz, on behalf of the City of Beverly Hills, in respectful opposition. Thank you.
- Committee Moderator
Person
Thank you. Line number 115. 115?
- Gretchen Newsom
Person
Good afternoon, this is Gretchen Newsom on behalf of IBEW Local 569 and our 3600 union electricians of San Diego and Imperial Counties, calling in opposition unless amended, for both Senate Bill 4 and 423. You don't build housing by breaking the backs of workers. Thank you.
- Committee Moderator
Person
Thank you. Line number 111. 111?
- Jason Lindsey
Person
Hello. This is Jason Lindsey, President/Business Agent of Iron Workers Local 378, and I stand with the State Building Trades and oppose unless amended.
- Committee Moderator
Person
Thank you. Line number 47. 47?
- Wyatt Stiles
Person
Yeah, my name is Wyatt Stiles with the Local 398 Plumbers and Steamfitters, and I'm standing with the State Building Trades in opposition of this Bill.
- Committee Moderator
Person
Thank you. Line number 125.
- James Ashcroft
Person
Hi, yes, good afternoon. This is James Ashcroft. I'm the Business Agent with Iron Workers Local 378, and I stand opposed to SB 4 unless amended.
- Committee Moderator
Person
Line number 126.
- Paul Moreno
Person
Can you hear me?
- Committee Moderator
Person
Go ahead.
- Paul Moreno
Person
Yes. Good afternoon. My name is Paul Moreno, President/Business Agent, Iron Workers Local 433 LA. And we stand with State Building Trades in opposition of SB 4, unless amended. Thank you.
- Committee Moderator
Person
Thank you. Line number 53. 53?
- Brian Pors
Person
My name is Brian Pors, and I'm a Business Agent for UA Local 393, representing over 3100 plumbers, pipefitters, steamfitters, and HVACR service technicians in Santa Clara and San Benito counties. Today, I'm calling in to oppose SB 4, unless amended, and ask that you all do the same. Thank you for your time.
- Committee Moderator
Person
Thank you. Line number 189. 189?
- Paul Bickmore
Person
Hi. My name is Paul Bickmore. I live in Oakland, and I volunteer with California YIMBY and East Bay for Everyone, and I'm calling in strong support of SB 4. Thanks.
- Committee Moderator
Person
Thank you. Line number 177. 177?
- Robert Naylor
Person
This is Robert Naylor, representing Fieldstud and Company. That's Howard Amundsen, Jr., an Orange County philanthropist, in strong support of SB 4.
- Committee Moderator
Person
Thank you. We will go to line number 203. 203?
- Todd Bloomstine
Person
Madam Chair. Todd Bloomstine, representing the Southern California Contractors Association, in support of SB 4. Thank you.
- Committee Moderator
Person
Thank you. Line number 50.
- Rob Stoker
Person
Vice Chair and Committee, this is Rob Stoker on behalf of Sheet Metal Workers Local 104 and the Building Construction Trades Council of Alameda County. We stand with the State Building Trades in opposition of SB 4, unless amended. Thank you.
- Committee Moderator
Person
Thank you. Next, we will go to line number 147.
- Topher Mathers
Person
Topher Mathers, speaking on behalf of Active San Gabriel Valley, and we support SB 4.
- Committee Moderator
Person
Thank you. Can we get line number 166, please? Go ahead.
- Danny Wright
Person
Good afternoon. Danny Wright, Business Manager, UA Local 246, in Fresno, California, representing members from Fresno, Madera, Kings and Tulares counties. We stand with the Building Trades in opposition unless amended. Thank you.
- Committee Moderator
Person
Thank you. Next, we will go to line number 181. Please go ahead.
- Tim Clark
Person
My name is Tim Clark with Ladera Community Church in Portola Valley. I'm in strong support of the SB 4.
- Committee Moderator
Person
Thank you. Next, we will go to line number 74. Please go ahead.
- Jordan Wynne
Person
Hi, there. This is Jordan Wynne from the United Way of Greater Los Angeles, calling in in strong support of SB 4. Thank you very much.
- Committee Moderator
Person
Thank you. Line number 83, please go ahead.
- David Barboza
Person
Hello, this is David Barboza on behalf of Abundant Housing LA, in strong support of SB 4. Thank you.
- Committee Moderator
Person
Thank you. Next, we will go to line number 61. 61, please go ahead.
- John Lopez
Person
Good afternoon. This is John Henry Lopez with the UA Plumbers and Pipefitters, Local 246, representing Fresno, Madera and Tulare, Kings counties, and I am standing in strong opposition of this Bill, unless amended. Thank you.
- Committee Moderator
Person
Thank you. Line number 101. 101?
- Nick Moore
Person
Hello. This is Nick Moore, Local 8 Elevators Union. I'm standing in solidarity with the State Building Trades, in opposition. You cannot build housing that could be unsafe. A skilled and trained workforce is mandatory for the safety of the residents. Thank you.
- Committee Moderator
Person
Thank you. Line number 142. 142?
- Heidi Gamble
Person
Hello. My name is Reverend Heidi Worthen Gamble. I'm with the Presbyterian of the Pacific, Presbyterians in Southern California in the Los Angeles area, representing 54 churches in strong support of SB 4. We need to find and strike the right balance between worker protection and the need for labor in this affordable housing crisis.
- Committee Moderator
Person
Thank you. We will go to line number 206. 206?
- Martin Rodriguez
Person
Yes, this is Martin Rodriguez, Iron Workers Local 433. I stand with the State Building Trades that oppose this Bill unless amended. Thank you.
- Committee Moderator
Person
Thank you. Line number 72. 72, please go ahead. Line number 72, your line is open.
- Colin Johnson
Person
This is Colin Johnson with the Bricklayers and Allied Crafts, we stand in line with the State Building Trades in opposition of SB 4. Thank you.
- Committee Moderator
Person
Thank you. Line number 200.
- Juan Rodriguez
Person
Good afternoon. This is Juan Rodriguez with IBEW Local 40. We stand with the State Building Trades and oppose SB 4, unless amended.
- Committee Moderator
Person
Thank you. Line number 54. 54.
- Rick Vasquez
Person
Rick Vasquez with Sprinkler Fitters UA Local 709. We stand with the State Building Trades in opposition unless amended. Thank you.
- Committee Moderator
Person
Line number 68.
- Frank Martinez
Person
Hi, my name is Frank Martinez, Policy Director for the Southern California Association of Nonprofit Housing, or SCANPH. We are a co-sponsor of this Bill. SCANPH represents the nonprofit builders of affordable housing in Southern California, a region of 19 million people. Our members strongly support this Bill, and they have real, affordable housing projects in their pipelines that would move forward faster as soon as this Bill is passed. Thank you.
- Committee Moderator
Person
Thank you. Line number 57. 57?
- Kevin Ferreira
Person
Good afternoon. Kevin Ferreira, Sacramento-Sierra Building and Construction Trades Council. And we stand with the California State Building Trades in opposition unless amended. Thank you.
- Committee Moderator
Person
Thank you. Line number 151.
- Carol Kim
Person
Carol Kim with the San Diego Building Trades Council in opposition, again, unless amended. Thank you.
- Committee Moderator
Person
Thank you. Line number 137.
- Larry Mazzola
Person
Yeah, this is Larry Mazzola, UA Local 38. Plumbers and Pipefitters, Business Manager out of San Francisco, strongly oppose this Bill unless amended. And I want to make it clear that there is only one union in support of this Bill, and they are not part of the building trades. Thank you.
- Committee Moderator
Person
Thank you. We will go to line number 76. Please go ahead. Line number 76, please go ahead.
- Peter Lang
Person
Hi, this is Peter Lang, representing Roofers and Waterproofers Local 40 of San Francisco County and San Mateo. And we stand in with State Building Trades in strong opposition of this Bill unless amended.
- Committee Moderator
Person
Thank you. Line number 85. 85? Line number 85, your line is open. Okay, we will move on to the next line, which would be 58. Please go ahead.
- Gorgina Halaufia
Person
Good afternoon. My name is Gorgina Halaufia, with IBEW Local 595, representing nearly 2500 electrical workers in Alameda, San Joaquin and Calaveras counties, standing in solidarity with the State Building Trades, in opposition to Senate Bill 4. Thank you.
- Committee Moderator
Person
Thank you. Line number 138. Line number 138, you're open.
- Patrick Davidson
Person
Yeah. Good afternoon. Can you hear me now?
- Committee Moderator
Person
Go ahead.
- Patrick Davidson
Person
All right, my name is Patrick Davidson, Local 1399, Painters and Allied Trades, represent San Diego and Imperial counties. I stand in opposition with State Building Trades unless amended. Thank you.
- Committee Moderator
Person
Thank you. We'll go to line number 182.
- Rob Nielsen
Person
Hello, this is Rob Nielsen from Palo Alto and Peninsula for Everyone, and I am calling in for strong support of SB 4. Thank you.
- Committee Moderator
Person
Thank you. We will go to line number 89. 89, please go ahead. Line number 89, your line is open. Okay, next, we will move on to line number 130. 130, please go ahead. Line number 130, your line is open. Okay, we will go to line number 133. Line number 133.
- Rudy Gonzalez
Person
Good afternoon. Rudy Gonzalez, San Francisco Building and Construction Trade Council, representing over 1700 apprentices in our area and 8000 skilled and trained union workers. And we oppose, unless amended and staying with State Building Trades.
- Committee Moderator
Person
Thank you. We will go to line number 75. Please go ahead.
- Bert Newton
Person
Yes, this is Reverend Bert Newton in Pasadena with Making Housing and Community Happen, and we are in strong support of SB 4 to address the severe affordable housing crisis.
- Committee Moderator
Person
Next, we will go to line number 141.
- Unidentified Speaker
Person
Be there. What's supposed to be in last year's budget.
- Committee Moderator
Person
Line number 141, your line is open.
- Unidentified Speaker
Person
Thank you. I hope I captured all of that, Fred.
- Committee Moderator
Person
Okay, next we will go to line number 40. Line number 40?
- Todd Berry
Person
Yeah, hi, Todd Berry with Road Sprinkler Fitters, Local 669. And I stand in opposition unless amended with the State Building Trades. Thank you.
- Committee Moderator
Person
Thank you. Next we will go to line number 34.
- Mickey Owens
Person
Mickey Owens. Local 669. I stand with the State Building Trades, in opposition unless amended.
- Committee Moderator
Person
Thank you. Line number 37.
- Joseph Clark
Person
Joseph Clark. Local 669. I stand in opposition with the State Building Trades unless amended.
- Committee Moderator
Person
Thank you. Line number 215.
- Robert Ruckman
Person
Hi, this is Robert Ruckman, lead with Volunteer, lead with San Francisco YIMBY, in strong support. Thank you.
- Committee Moderator
Person
Thank you. Line number 105. 105?
- Frank Austin
Person
Yes, hi, this is Frank Austin. I'm a business representative with UA local 393. We represent 3100 plumbers, pipefitters, steamfitters and HVAC service technicians here in Santa Clara and San Bernardino County. And we stand with State Building Trades and stand in opposition of SB 4 unless amended.
- Committee Moderator
Person
Thank you. Line number 186.
- Edmundo Escarcega
Person
Good afternoon. Edmundo Escarcega here. I'm also a business representative with UA Local 393, Plumbers, Steamfitters and Refrigeration Fitters in Santa Clara and San Benito counties. And we stand with the State Building Trades in opposition to this Bill unless amended. Thank you.
- Committee Moderator
Person
Thank you. Next we will go to line number 99. Please go ahead.
- Committee Moderator
Person
Line number 99, your line is open.
- Doug Mangione
Person
Doug Mangioni, International Brotherhood of Electrical Workers 441, Orange County. We stand with the building trades in opposition to SB 4 unless amended.
- Committee Moderator
Person
Thank you. Line number 211. 211.
- David Watson
Person
Hi, this is David Watson with Mountain View YIMBY in support of SB 4.
- Committee Moderator
Person
Thank you. Line number 221. 221. They took themselves out of queue. We will go with 219. Please go ahead. Okay, 223, please go ahead.
- Ryan Meckel
Person
This is Ryan Meckle. On behalf of Santa Cruz YIMBY, in strong support of SB 4. Thank you.
- Committee Moderator
Person
Thank you. We will now go to 219. Please go ahead.
- Erica Valentine
Person
Good afternoon. My name is Erica Valentine with UA Local 393. Of the plumbers, pipefitters, steamfitters, and HVCA technicians of Santa Clara and San Benito counties. We represent 3100 Members. Today, we stand with the building trades in opposition of SB 4 unless amended. Thank you.
- Committee Moderator
Person
Thank you. Line number 227. 227.
- Sean McFeely
Person
Hi, my name is Sean McFeely. I'm a proud UMB volunteer and strong support. Thank you.
- Committee Moderator
Person
Thank you. Line number 152.
- Brandon Lovenburg
Person
Yes, this is Brandon Lovenburg, UA Local 246. Fresno plumbers and pipe fitters, and we stand in strong opposition of SB 4 unless amended.
- Committee Moderator
Person
Thank you, line number 42. Line number 42.
- Randy Wetmur
Person
Yeah, this is Randy Wetmur, Ironworkers Local 416. We stand with strong opposition on SB four with state-building trades.
- Committee Moderator
Person
Thank you. We will go to line number 39. And this will be our last.
- Chris Grizzle
Person
Chris Grizzle, Local 669. I stand in strong opposition of SB four. Carpenters build walls. They don't hang pipes.
- Rosilicie Ochoa Bogh
Legislator
Thank you very much. Madam Moderator. We have reached our 20 minutes.
- Committee Moderator
Person
Okay, sure.
- Rosilicie Ochoa Bogh
Legislator
What's that? Madam Moderator, we have taken 20 minutes of online testimony, so we're going to stop our online testimony, but we want to thank all of our support and opposition witnesses. We will now bring the discussion back to our members. Do any of our members have any questions or comments they would like to make? Senator Seyarto?
- Kelly Seyarto
Legislator
Thank you. Senator Wiener and I much appreciate your tenacity in trying to address what is almost an impossible problem for California in our housing industries. When you take away zoning, just say you change the zoning. The city doesn't have any say in it. What happens to the rest of their zoning? What happens to their general plan? Because, as I understand it, I've worked in local government a lot.
- Kelly Seyarto
Legislator
Once you change zone for the zoning, for one, and made it more dense or less dense, or added VMT and other things, it affects the ability of other properties that is probably zoned for the same thing that's actually zoned for it to get through the process itself. So how do you address that if the city is not going to be involved so that their general plan, all of their elements that are part of the general plan don't get thrown out of whack.
- Kelly Seyarto
Legislator
And out of whack means in disfavor with the housing commission here in California.
- Scott Wiener
Legislator
Sure. Thank you for that question. A couple of things. This is not, I'm going to say, quote-unquote, throwing out local zoning. There is land that may not be zoned for residential that's owned by religious institutions that will now be zoned for it.
- Scott Wiener
Legislator
The bill, if you look at, and this was extensively negotiated in governance and finance Committee with Senator McGuire, who was the chair at the time, three years ago, their local height limit often applies, or it might be local height limit plus one if it's in a more commercial area.
- Scott Wiener
Legislator
So that this doesn't just eliminate local zoning; it makes some changes to it, particularly for areas where the church land might not be zoned for residential, but in terms of the general or the housing element, I don't think it has any effect on the rest of it. If the city has zoned for different things in different parts of the city, that'll remain.
- Scott Wiener
Legislator
This will help cities meet their arena because we know that cities sometimes zone parcels, and sometimes there are big fights about this, about whether a parcel is actually realistic. Right. And we have a history in which we've tried to move away from cities zoning a cemetery for high-density housing or a brand new target that was just built two years ago for high-density housing or sites that we know are never going to get built.
- Scott Wiener
Legislator
We've tried to move away from that, but there's always disputes, and we know that there are, even now, land that's identified that they hope will become available that may not. So this will be helpful to cities in meeting the hardest part of the arena. Most cities don't even meet their market rate arena, but almost no city meets their below-market rate arena, it's the hardest part to meet. This will help cities meet that obligation.
- Kelly Seyarto
Legislator
Right. And I've heard this a lot in just the three years people have been dealing with this in this legislature for more than three years. It's been 5, 6, 7 years. I see old bills that come through, and not one of them has been successful in dealing with what you're talking about. Otherwise, we all wouldn't be here. I think my issue with bills like this is that we're kind of taking bites out of local control. Like that's the problem, and it's not the problem.
- Kelly Seyarto
Legislator
The problem is, over the last 30 to 40 years, the state has imposed so many regulations and such a process to get through that we have created a situation where our supply is severely behind the demand. And no matter how hard we try and what other fixes we do, we just can't seem to fix that.
- Kelly Seyarto
Legislator
I know current affordable housing projects that were started when I just first got back on a city council eight years ago, and they're just now getting the financing from HCD to be able to start the project. So, it didn't fix the process. Whatever that law was that they were using to get this process going, it didn't fix it.
- Kelly Seyarto
Legislator
What needs fixed is the state's entire process for building everything because not only is the housing falling behind, but once you've built housing, once you've cleared the path to build all the housing, we still have roads, flood control, we have to attract jobs. We need water infrastructure, commercial buildings to support that housing, affordable and safe transit lines. We need schools. And all of that is being affected by the state's process.
- Kelly Seyarto
Legislator
And none of what we have tried to do in the last five years or ten years even has fixed that. And so we keep throwing sequel exemptions into this project, and that project and nothing's working. And so, at some point, we're going to have to face the fact that we got to put everybody to work doing all of those things. But all of those things are being obstructed by our process. And if we don't address that as a state, we're never going to solve this problem.
- Scott Wiener
Legislator
First of all, I don't disagree that the state sometimes puts roadblocks in the way. And some of the work I've done has addressed that on some of the issues that you've raised. I don't disagree with that. What I do disagree with is to suggest that it's only the state because we know that when cities say you're not allowed to build any housing in this area, or you can't build multi-unit, or we're going to reject all affordable housing.
- Scott Wiener
Legislator
There are obstructions that happen at the local level, too, unfortunately. And we have passed streamlining bills in the last, since I've been here, which is a little over six years now that have been very successful in, for example, the next bill we're going to hear, you're going to hear that for affordable housing, the approval time goes from several years to several months. So, I partially agree with you, but I partially disagree. Right.
- Kelly Seyarto
Legislator
And I understand that. But be mindful that local agencies, and especially newer cities, were all made to go through an extremely expensive process. Doing a general plan is a long process. It takes probably three to four or five years, sometimes costs millions of dollars for the community. And it's all based on what they're being told by the state that their general plan has to include. And so they include all those things.
- Kelly Seyarto
Legislator
And then they're given the bag of regulations that need to be enforced for people to be able to come in and build. And then we tell cities that, hey, you guys aren't doing your job. They're just doing what they were told to do. And now we're coming at them with this exemption and that exemption to tell them that, "Hey, you know what? You guys aren't doing your job. You're not letting these things through." They can't.
- Kelly Seyarto
Legislator
They can't by law because that's when the third element of this comes, and that's the lawsuit that comes at the end of the parade to stop everything. And if we don't fix that, we're not going to fix this problem. And I'm kind of tired of throwing solutions at the problem that aren't working because we're not looking at the underlying problem. I always use fire service stuff. It's like aiming the Hose above the fire and letting it go over.
- Kelly Seyarto
Legislator
It looks really cool, but it's not putting the fire out. We need to aim the hose at the right place, and that's the base of the fire, and we simply aren't doing that. And I understand we keep doing it a little here and a little there, but we're not doing it. Otherwise, everybody would be working because we have so much stuff that needs to be done.
- Scott Wiener
Legislator
This is aiming right at the fire.
- Kelly Seyarto
Legislator
Well, I was a firefighter. I'd say this is aiming at the top of the flame. I appreciate your assessment, though. Thank you.
- Rosilicie Ochoa Bogh
Legislator
Thank you. Senator Seyarto. Do we have any other comments, questions? Senator Caballero, please.
- Anna Caballero
Legislator
I don't have any questions. I just want to be able to frame what I think is an unfortunate situation. And I know Senator Wiener has grappled with this as well. There is no question that we have a housing crisis in the state of California. I think we all agree, and what we disagree is the absolute perfect solution. There isn't any. We've got to try to chip away little by little at the things that will actually make a difference.
- Anna Caballero
Legislator
And I really appreciate this year; let me just say that I've supported this bill in the past, and I really appreciated this year the religious institutions being here because this is going to provide an opportunity for outreach into the community to build housing that's desperately needed. And in communities that may have been the most recalcitrant about building affordable housing, my experience serving in local government is that being the mayor of a blue-collar community, we built housing, affordable housing in our communities.
- Anna Caballero
Legislator
But 30 miles away from us, 20 miles away from us, the wealthier communities abrogated their responsibility and did not build affordable housing at all. And so it really put a lot of pressure on those that represented. I'm from a rural agricultural community, put a lot of pressure on us. So the more that we can engage the entire community and to do it through this bill, I think it's a really important thing.
- Anna Caballero
Legislator
Let me just say that I'm really sad and disheartened at the disagreement between the different unions. I'm there with you. I want to have union protections, want to make sure we have good paying jobs and that we're doing everything we can to lift up the work and the workers, both because, quite frankly, a lot of these housing units are going to be starter homes for, for union members to be able to get into and build wealth and leave something to their families.
- Anna Caballero
Legislator
And so this is really important. But the battle over the language has me very concerned. This is a housing bill and it's got some huge impacts on the labor community. But I want to hope that there's a sweet spot where we can get to yes.
- Anna Caballero
Legislator
And so there, I think, are many of us here at the dais that wants to see the disagreements between the trades, and the carpenters resolved so that we can have a happy peace and all be here together and hold hands and move forward. I don't want to be killing housing bills because we can't agree on things. I just don't. This is such a critical issue that we can't wait any longer.
- Anna Caballero
Legislator
And so I'm going to ask Senator Wiener if he's willing to continue to sit at the table and to try to work this thing out. I chair the next committee that this goes to, and, like I said, I don't want to be killing housing bills. We desperately need the work, and we need the units. So, Senator Wiener...
- Scott Wiener
Legislator
Thank you very much, Senator Caballero. And I just want to say that, first of all, a point you made, which is important, is that this bill will put a significant percentage of this land in what we call high-opportunity communities. So we're not just only putting, we're spreading it out. It's going to be in lower-income communities, higher income because we need housing everywhere. In terms of the labor split -
- Scott Wiener
Legislator
- and I do want to correct, there was one caller from a certain union leader, my community, who said only one union was supporting this bill. No, it's actually the carpenters, the operating engineers, the laborers, SEIU, and the School Employees Association. Just to correct the record on that. None of us likes labor versus labor fights. It happens sometimes in the legislature. It's happening here. I authored two trade-sponsored bills last year. I authored two bills last year, public works bills with skilled workforce protections in it.
- Scott Wiener
Legislator
It's not comfortable for me, either, to be involved in this, but I do want to just say because this issue popped up three years ago, especially with respect to 100% affordable housing. It was three years ago with the predecessor of this bill, SB 899. For three years. I have said to the trades until I'm blue in the face, that I want to resolve this, and I want people to come to the table so that we can resolve this. And it takes two to tango.
- Scott Wiener
Legislator
And the trades, respectfully, have not changed their position one inch since that conversation I had with Robbie Hunter three years ago in May of 2020. We did have the slight movement in SB 6 with the agreement to the bitter language in skilled workforce. I offered the beginning. I suggested, "Can we do an AB 2011 SB 6 kind of resolution like we did last year?" And I was told, "No, that the trades no longer support that." Not criticizing. I'm just observing. My door is always open.
- Scott Wiener
Legislator
I met with Mr. Meredith two weeks ago. I'm happy to continue meeting. I know the carpenters were willing to bring everyone to the table to try to resolve this in a way that will actually get housing built, but it does take two to tango.
- Rosilicie Ochoa Bogh
Legislator
Thank you, Senator Wiener. Senator Wahap.
- Aisha Wahab
Legislator
Thank you. And thank you, Senator Caballero. I wanted to ask Senator Wiener specifics about this bill, just so the public is informed. Can you explain the affordability of this particular Bill?
- Scott Wiener
Legislator
So this bill, only 100% below market rate. This only applies to 100% below market rate. It can have a small percentage of 80% to 120% AMI, which is considered moderate income, below market rate housing, with the bulk of it being under 80%. Low, very low, extremely low. The average AMI always must be 80% or lower.
- Scott Wiener
Legislator
We also know that because of the nature of state affordable housing funding streams, there's an incentive to make sure that you have some of that very low and extremely low-income housing in these projects. There's a big financial incentive to do that so that we are actually making sure that we're housing the people who are in the most desperate need for it. But this still only applies to 100% deed-restricted, below-market-rate housing.
- Aisha Wahab
Legislator
My second question was deed restricted. And then, as far as the conversation regarding the labor disputes, I think it's very challenging when the majority of us want to support working people getting paid fairly and much more. I know that is a deep, deep concern of the larger body. This is the Housing Committee. And I do just want to frankly state that if there is a disagreement, we have to prioritize affordability. Right. And so I do just want to state that I do -
- Aisha Wahab
Legislator
Okay.
- Aisha Wahab
Legislator
- second, Senator Caballero's concerns, and if there is a conversation, and I do believe from both sides, there needs to be a good faith effort to come together. Otherwise, we will be prioritizing affordability. Right. And that is one of the biggest concerns that I have, is that we are not developing enough low and extremely low-income housing across the board.
- Aisha Wahab
Legislator
So I will be supporting that, but still stressing very much that affordability is very important to me, but also making sure that all members of labor are on the same page moving forward, hopefully. So thank you. And that's all my questions.
- Rosilicie Ochoa Bogh
Legislator
Thank you, Senator Wahab. We also have Senator Cortese. Let's have Senator Blakespear. Okay, Senator Cortese. And then Senator Blakespear.
- Dave Cortese
Legislator
Thank you, Madam Chair. I'm just going to make a couple of comments. Obviously, if the author wants to respond now, fine. Although full disclaimer, I intend to comment and ask a couple of questions, particularly of witnesses, and those are here to answer questions about workforce standards when we get to the next bill. So, I don't want to be redundant and basically do this twice.
- Dave Cortese
Legislator
My concern, first of all, let me back up just a minute and say to Senator Wiener, as the author, thank you for all of your work. Landmark legislation in the area of streamlining and working through what just a few years ago was really an untouchable topic, which is getting at CEQA and the use of CEQA in some places, in some ways as an obstacle to housing production. You and I served at the regional level in our own Bay Area community, working through the RHNA process.
- Dave Cortese
Legislator
I saw firsthand how frustrated you were, and I know that you're also so environmentally conscious that you're concerned about the colocation, or lack thereof, of affordable housing and jobs, which is a tremendous concern in our own Bay Area cities. So I want to acknowledge all that, as well as obviously the excellent work that your committee staff does in assisting you in producing this work product I've relied upon them myself at times over the last couple of years. So thank you for all that.
- Dave Cortese
Legislator
Similar to Senator Caballero's comments, of course, I know you will expect this from me because we've talked about it. I'm a co-author of this bill, and I coauthored the bill in the hope that we would be able to, through the course of the session here, get to the right place in terms of workforce standards. I do believe that it takes two to tango, so to speak.
- Dave Cortese
Legislator
But I would say at the same time and say this as labor chair, different committee, different jurisdiction, that doesn't fall solely on the building trades council. It falls on both parties coming forward, sitting down, and hashing through what doesn't work or what won't work here, or what hasn't worked in the past. And I know your concern is a concern about what hasn't worked in the past. Got to try something different. I think that's very much a carpenter's concern as well.
- Dave Cortese
Legislator
That said, for me, ultimately, during the course of the run of this bill, the issues about the lack of this language, in my humble opinion, again, as chair of the labor committee and somebody who gets immersed in this stuff day in and day out, the current language doesn't drive apprenticeship, and it isn't going to lead to a trained workforce.
- Dave Cortese
Legislator
It obviously won't lead to application of a trained workforce, but it won't even lead to the creation or the building of a trained workforce in a state which, the last time I checked, was lowest per capita of all 50 states in apprenticeship programs in general, not just in construction. So that has to be resolved so that we're in integrity with the values that at least my caucus holds. Your caucus, our caucus, holds going forward because that's not what we stand for.
- Dave Cortese
Legislator
It's not what we stand for in terms of workforce development. Taking a step back is not. Okay. So, really, all sides need to come forward and address that -all sides. I'm not putting that on the author per se, but I do think it's an unfortunate circumstance of the way we operate as a Legislature.
- Dave Cortese
Legislator
Those rules have been here long before any of us, that we would have a Bill whose primary contention is labor standards coming because it's also a very significant housing bill, but whose primary contention is not the housing piece and the production piece, but the labor piece, starting off in a non-labor Committee, and then with all due respect to Senator Caballero important work in governance and finance going there, where the committee staff and people who focus jurisdictionally on issues.
- Dave Cortese
Legislator
Have not spent 15 or 20 years or 25 years working through these issues in a professional manner. So that also is not on the author or this committee.
- Dave Cortese
Legislator
I think it's an unfortunate circumstance that we have to proceed based on our own rules and rules, in a way that rules has assigned bills in a way that leaves these issues hanging before they're in really the proper forum and the proper technical forum and the proper room to get hashed out in a way that I think would be singular and consistent with all of our values.
- Dave Cortese
Legislator
Consistent with all of our values is not to have multiple standards on residential construction workforce or, frankly, work construction workforce in general. At times. Last year, through no fault of anyone here, we had up to five different versions of workforce standards in different bills being proposed in moving through the legislature, again, without any real attempt to consolidate those into a statement of what our values really are in that regard, a singular, universal standard that would apply to this kind of work.
- Dave Cortese
Legislator
So, as Senator Caballero said, and I think Senator Wahab also alluded to, at least, I don't want to put words in her mouth, but my vote today would not be my vote on the floor if we somehow arrived all the way to the floor without still having addressed all these issues. And I'm certainly willing to do my part. It's not somebody else's work; it's all of our work.
- Dave Cortese
Legislator
But it has to be resolved, as far as I'm concerned before we get to that final day of reckoning. Because otherwise, I think it puts us in the spot, or people like me, of saying it's okay. It's okay to have to not know what our standard really is and to move forward. Bills that frankly are at odds with each other, maybe your bill and my bill. For example, last year, it was two other bills that were at odds with each other.
- Dave Cortese
Legislator
We approve them both as if multiple standards are okay and something that's so vital to creating equity in a California for all. So since I said more than I thought I would on this bill, I will say less on the next bill. But I do have a couple of questions when we get to 423 to ask some of the witnesses. Again, thank you for your work. I'll be an I vote today, of course, as I said, but looking forward to resolution.
- Scott Wiener
Legislator
Thank you. I do want to stress we're in our first committee. This is literally the first time this bill has ever been in Committee. Great to resolve things by first committee. With AB 2011 and SB 6 last year, I don't think that got resolved until August if my memory serves. Senator Caballero was deeply involved in that, and it took a while. If we can get it resolved by the floor, that's great.
- Scott Wiener
Legislator
But I just want to reiterate that when this first came up three years ago, three days later, I was in Mr. Hunter's office to, like, let's try to resolve this. And nothing hasn't moved since then. And there are limits to my ability. I can't tell someone you have to change your position. The trades are entitled to whatever position they want. We're in a democracy, but it makes it hard to negotiate. And believe me, I want to resolve this. That is my desire.
- Rosilicie Ochoa Bogh
Legislator
Senator Blakespear.
- Catherine Blakespear
Legislator
Yes. Thank you. Well, thank you for the thoughtful comments from my colleagues and also to the public for coming and speaking today and expressing your opinion. And I also just want to thank the author, Senator Wiener, for this bill. I think I very much support this bill. When I first saw it and heard the concept, it seemed to make so much sense to me.
- Catherine Blakespear
Legislator
When I think about my community, which I came from being the mayor of, there are so many faith communities that would be interested in this, and they're providing 100% affordable for their communities. So, it's a way to build community from within a very local control type of structure.
- Catherine Blakespear
Legislator
And so I think when I think about why this is so needed, it really comes back to the reality that the low housing supply in this state, which is estimated to be 2.5 million units, a million of them, should need to be affordable in the next eight to 10 years.
- Catherine Blakespear
Legislator
That that problem, the lack of supply, is really a major driver of our other problems in this state, like homelessness and a lack of upward mobility, people's ability to access opportunity, also the mega commutes that then contribute to climate change, a whole bunch of problems that really, in my mind, swirl around this problem of a critically low-housing supply. So when this bill and you also referred to it, it could unlock 38,000 acres of land -
- Catherine Blakespear
Legislator
- and I think that that seems like a really tremendous potential to do a lot in our state. And I go back to the accountability and oversight hearings that we had just last week in this committee, and the reality is that housing creation remains stagnant. So even though in this state we've had some really great bills that have created streamlining and some bright spots like the number of ADUs have gone up by a factor of 10.
- Catherine Blakespear
Legislator
But overall, across the state, the graphs show that we're still stagnant, so we're not making the progress we need to if we really want to deal with homelessness in a substantive way and the middle-class housing affordability crisis that we see. So, I agree with my colleagues that I hope these disagreements get resolved with the labor factions. And it's very painful to be talking to friends and to see these disagreements and to hope that there's a way to find that middle ground.
- Catherine Blakespear
Legislator
It is clearly true that everybody needs to come to the table in good faith in order to find those places. But really focusing on the need for us to create housing as a top priority and to find fair standards that also create good jobs and allow people to access a middle-class lifestyle, all of those things are really what we're going for.= I think we all share those values. And so the question is, how do we get there?
- Catherine Blakespear
Legislator
And I have every faith in all of the negotiating partners that we'll be able to. But I also just want to say thank you, and I'm excited to support this bill today.
- Rosilicie Ochoa Bogh
Legislator
Thank you. Senator Blakespear. I do have a couple of comments, actually. More questions. I understand that California is one of the leading states. California is one of the leading states when it comes to many areas: labor, environment laws, you name it, we have it. I had the privilege to sit on Labor Committee these past two years with Senator Cortese, and something popped into my head with regards to some of the comments and concerns that we saw with bills that were going through committee.
- Rosilicie Ochoa Bogh
Legislator
And I'm not sure if Senator Cortese would like to comment or not, but it was with regards to enforcement. And I know that this bill is trying to address some of these concerns, some of the safety concerns. But with regards to enforcement, what elements or components do you have here? Safeguards within that scope?
- Scott Wiener
Legislator
Yeah, absolutely. There is a problem in the construction industry with wage theft. There are plenty of contractors that do follow the law and do the right thing by their workers. But we have wage theft issues in this industry. And so this bill requires the payment of prevailing wage, the same prevailing wage that you would get in a skilled workforce situation, plus health care and the other requirements.
- Scott Wiener
Legislator
And then, if there is a violation, the labor commissioner can enforce, or the person whose wages have been stolen can enforce it. But I also want to stress that for that enforcement. This bill is voluntary, right? No builder, a church, anyone who's building is required to utilize this bill. If they choose to opt in and utilize this bill, then all these provisions, including the enforcement, apply.
- Scott Wiener
Legislator
They could decide to do it the other way and go seek a rezoning from the city council and have a sequel lawsuit and everything else. But if they choose to do it, then either the labor commissioner or the underpaid worker.
- Rosilicie Ochoa Bogh
Legislator
Okay. So there are components in there that will protect or they have recourse if something were to happen. Correct on that end. And it also allows to have options and choices for those builders or for the local. Okay, so, having said that, I believe we have. Senator Wahap, you would like to...
- Aisha Wahab
Legislator
Yes, I'll move this item.
- Rosilicie Ochoa Bogh
Legislator
Okay.
- Rosilicie Ochoa Bogh
Legislator
All right. So, Madam Secretary, would you like to call the roll?
- Committee Secretary
Person
This is Senate Bill 4 by Senator Wiener. The motion is due, passed, and referred to the Committee on Governance and Finance. [Roll Call]
- Rosilicie Ochoa Bogh
Legislator
We have a 6-1 vote, and we're going to hold the roll open for our absent members. Senator Wiener, would you like to proceed with your second bill, SB 423?
- Scott Wiener
Legislator
Thank you very much, Madam Chair and colleagues, and thank you for your patience. It's a robust conversation today; I now will present Senate Bill 423, which removes the sunset on one of California's most successful housing laws, is Senate Bill 35, which actually was the first bill that I introduced upon getting sworn in the day I was sworn into the legislature in 2016.
- Scott Wiener
Legislator
And this bill does not in any way touch local zoning at all, but it provides a streamlined approval process in cities that are falling short of their regional housing needs assessment goals, and it does it by income category. So, a city becomes streamlined only in the categories where it's falling short of its goals. The purpose of SB 35, and that's also SB 423, is to help cities that are falling short catch up and meet their goals. We've had extensive discussions today about the profound shortage.
- Scott Wiener
Legislator
SB 35 went into effect in 2018. It was a slow start, as is often the case with new housing bills, and then started accelerating. Nearly 20,000 new homes have either been streamlined or are in process to streamline under SB 35. To date, in my city of San Francisco, 3,000 new homes. It's been very successful and has dramatically reduced the approval time. It has primarily benefited below-market-rate housing, about 75% of the units.
- Scott Wiener
Legislator
We have made some changes to the bill to make sure that the mixed-income element is more successful. And we've just talked about some of the labor standards, and perhaps we'll discuss them again. So, colleagues, SB 35 is. It really is, I think, one of our bedrock housing laws. It expires in a couple of years.
- Scott Wiener
Legislator
We want to remove the sunset now because people, cities and builders plan years in advance, and we don't want to wait until the last minute to decide if this bill is going to expire. That would be harmful to the ability of cities and builders to plan. As with the last bill, we've already had some conversations with the building trades. I had two meetings so far. Continue to hope that we'll be able to get to a resolution, and I respectfully ask for your aye vote.
- Scott Wiener
Legislator
With me today to testify on this bill is Jay Bradshaw, the Executive Officer of the Northern California Carpenters Union, and Iman Novin, the President of Novin Development. Thank you.
- Rosilicie Ochoa Bogh
Legislator
Thank you, Senator Wiener. We will now move on to lead witnesses in support.
- Jay Bradshaw
Person
All right. Good afternoon, Madam Chair and committee members honored to be here today, strongly supporting Senate Bill 423. It's been talked about a lot. We are in a serious crisis of housing production in the state of California. No secret about that. At every income level, what's going on with the unhoused? What's going on? The lack of workforce housing. Affordable housing, but housing at all income levels. But there's another crisis going on in residential.
- Jay Bradshaw
Person
When you look at the residential industry, primarily wood frame, multifamily type three, if you like, construction, the type of housing we mostly need produced. There are over 300,000 nonunion workers in that workforce currently, and they are hyper-exploited. It's been talked about a little bit, and that workforce has not been organized. We intend to go out and with the tools in this bill, it has the strongest labor enforcement language of any bill we can find or any law throughout the country.
- Jay Bradshaw
Person
So just not only prevailing wages, health care requirements, opportunity for apprenticeship, but also the strongest labor enforcement language, empowering labor-management committees to bring justice to those jobs. The reality is, right now, only one in seven trades workers in the state of California qualify under skilled and trained in the residential industry, maybe one in 10, and that would be your large residential projects. So this is not from where the carpenters are coming from. It's not about having a fight with anyone in the labor movement.
- Jay Bradshaw
Person
It's about those workers out there, and it's about production. SB 35 itself, a very successful bill, shows it clearly, the primary success. SB 35 required prevailing wages to be paid for affordable housing production, below market rate production. Currently, there are maybe one or two projects that will require skilled and trained, but nothing has moved yet. No housing has happened. So, again, when it comes down to it, what we're looking at is we will not support any labor standards we feel are exclusionary. We have every intention.
- Jay Bradshaw
Person
We think it's our primary purpose as a labor organization in construction to reach out and help those workers pull up into the union family. We see this strongly as pro-labor, pro-union standards that are also pro-housing production. Again, in an industry that, unfortunately, overall, has been ignored. The carpenter's union is actually the largest footprint of any labor union in the residential industry. We have a third of the registered apprentices out there, and overall, all crafts.
- Jay Bradshaw
Person
We have the most amount of skilled and trained certified workers. It's easy to track the numbers through LM-2s and everything else, but also looking at the DAS graduation rates. So again, we are absolutely all in for apprenticeship and opportunity, but those workers that are out there now, and we do need to increase the workforce, upwards of 80,000 workers per year.
- Jay Bradshaw
Person
So we not only need the current non-union workforce in residential, we need to grow that and grow opportunity, but we cannot leave that workforce out. And we need to produce housing fast. So, with the platforms to go out, bring workers' rights to those jobs, and grow, it's the organizing opportunity of a lifetime for any labor organization. Again, whether it be by intention or not, skilled and trained will exclude those 90 workers, and we'll actually exclude about 100,000 union members currently in the State of California.
- Jay Bradshaw
Person
We can't afford that. So we appreciate your support on this. Remember those workers. Remember, we need to produce the housing to bring solutions to our state. We strongly support this bill.
- Jay Bradshaw
Person
Thank you.
- Rosilicie Ochoa Bogh
Legislator
Thank you, sir. Do we have any other witnesses in support?
- Scott Wiener
Legislator
Yes, coming forward. Thank.
- Iman Novin
Person
Thank you. Good afternoon, Senate Housing Committee and Senator Wiener; thank you for the opportunity to speak today. My name is Iman Novin. I am the President and founder of Novin Development. We are a mission-driven, affordable, and workforce housing developer in the State of California. We've got approximately 14 projects and over 600 units in the pipeline, serving a broad range of incomes. I created a Novin Development to focus on missing middle housing, workforce housing.
- Iman Novin
Person
And so we're very much interested in figuring out how to make mixed-income work. As you know, most state bills and funding is focused on very low and low-income housing. However, the majority of our population is in the missing middle, and so we're very keenly aware of SB 35. We've used it on two projects, and neither of them would have been approved without SB 35.
- Iman Novin
Person
In fact, we had council members in a political environment working to use a small section of the bill that allows for a council oversight hearing to basically derail our project and stop it from getting approved. And so it was with the help of the carpenters union, YIMBY Law, HCD's housing Accountability unit, and SB 35 that we eventually got housing approved on a site that was entitled for housing. So it's a very useful build, and our projects wouldn't have happened without it.
- Iman Novin
Person
It was through this implementation that it revealed some of the challenges and, I think, some of the improvements in SB 35, particularly around the use for mixed-income housing. The labor standards, as written, are more stringent for mixed-income projects where, let's say, only half of the project is receiving state subsidy, the other half is privately financed, and the labor standards are way more difficult to meet.
- Iman Novin
Person
So it naturally moves people or developers into building 100% affordable housing projects because you're able to leverage state funding for the entire project and the cost is lower. And so I wholeheartedly agree with Senator Cortese. There should be a single standard across this bill for whether it's mixed-income or if it's a 100% affordable housing project.
- Iman Novin
Person
I think that'll help to streamline and create missing middle housing, because it's not an either or, it's an and we need deeply affordable housing, but we also need missing middle housing. Other challenges. The council oversight hearing, I think this makes some great changes to that so it's not misused, and then the fact that it streamlines the provisions permanently so that we have access to the streamlined process beyond 2025. These are critical changes that we support.
- Iman Novin
Person
Ultimately, SB 423 also replaces restrictive hiring rules with high road labor standards for all construction workers, and again, I think the example of our project, the skilled and trained workforce requirements, really didn't work out. And we had to take a project that started out as 5050 affordable housing and turn it into 100% affordable housing project to ultimately make it viable. So with that, again, I strongly urge you to support this bill today. And happy to take any questions. Thank you for your time.
- Rosilicie Ochoa Bogh
Legislator
Thank you very much. Now we're going to hear from witnesses in support here in room 1200.
- Scott Govenar
Person
Madam Chair, Scott Govenar, on behalf of the Construction Employers Association, in support. Thank you.
- Karen Lange
Person
Madam Chair and members: Karen Lang, on behalf of San Francisco Mayor London Breed, in support.
- Michael Gunning
Person
Thank you, Madam Chair and members. Michael Gunning with Lighthouse Public Affairs here on behalf of SPUR, Habitat for Humanity, Sandhill Properties, BuildCasa, and United Way Greater LA. Thank you.
- Susan Rodriguez
Person
Susan Rodriguez. We need housing now. Carpenter's Local 152 member, I live in Stockton, California, San Joaquin County. I am in support of SB 423. Thank you,
- Laura Drocic
Person
Good afternoon. My name is Laura Drocic. I'm a field representative out of Nor Cal Carpenters Union. I am also a proud member of Local Union 405, San Jose, California. I am in support of 423.
- Doug Chesshire
Person
Doug Chesshire: Carpenters Local 605 out of Monterey County. I'm here in support of SB 423. Thank you very much.
- Matthew Miller
Person
Hello, everyone. Matthew Miller, Nor Cal Carpenters Union. I'm a member of Local 9068 out of Livermore. I live in Burlingame Peninsula and we need affordable housing on the peninsula. I'm fortunate enough to live on the peninsula. A lot of my brothers and sisters cannot afford to live out there. Thank you.
- Ed Evans
Person
Madam Chair. Ed Evans, Carpenters Local 217, Nor Cal Carpenters Union. We represent San Mateo County, and we are in strong support of Senate Bill 423. Thank you.
- Dan McCullough
Person
Good afternoon. Dan McCullough, Carpenters Local 751 out of Sonoma County, based there, and representing their members, and we are in strong support of SB 423. Thank you.
- Sean McGarry
Person
Good afternoon. Sean McGarry, Carpenters Local 22, business agent, San Francisco Norcal Carpenters Union. I stand in support of 423. Thank you.
- Kyle Swarens
Person
Good afternoon. My name is Kyle Swarens. I'm a member of Local 46. I'm a representative of Carpenter's Local 751, 3518, and 152. I cover members up in Humboldt all the way north of San Francisco, and I'm here in favor of SB 423. Thank you.
- Abram Diaz
Person
Abram Diaz with NPH and speaking on behalf of my colleagues at All Home and the Silicon Valley Home Action Fund in strong support of SB 423.
- Kyle Swarens
Person
Alex Rogala with MidPen Housing, a regional affordable housing developer. We are in support of SB 423.
- Voleck Taing
Person
Voleck Taing with the Silicon Valley Leadership Group in support.
- Mahdi Manji
Person
Mahdi Manji with Inner City Law Center. We're a skid rows, pro Bono legal service provider, and we serve folks who are homeless and at risk of homelessness. We are very proud to support and sponsor SB 423.
- Bryan Shields
Person
Bryan Shields, Pile Drivers Local 34, covering northern 46 counties, proudly support SB 423.
- Jordan Carbajal
Person
Madam Chair and members of the committee: Jordan Panana Carbajal on behalf of California YIMBY as a proud co-sponsor in support of SB 423. Thank you so much.
- Arturo Rodriguez
Person
Hello again. Arturo Rodriguez, Carpenter's Local 2236 out of Oakland, in strong support of this Bill. Thank you.
- John Belperio
Person
Good afternoon, Chair and committee members. My name is John Belperio, member of Carpenter's Local 180 in Solano County, a resident of Vacaville, strongly support this Bill 423. Thank you.
- Sean Hebard
Person
Good afternoon. Sean Hebard, proud member of NorCal Carpenters Union 505 in Santa Cruz County, in strong support of SB 423.
- Susan Setterholm
Person
Susan Satterholm, a member of San Francisco YIMBY and a resident of low-income supportive housing, and a mother of a millennial trying to find housing in San Jose. I strongly support this.
- Marina Wiant
Person
Marina Wiantt with the California Housing Consortium, proud to be a co-sponsor of this critical piece of legislation and urge your support today.
- Sam Moss
Person
Hello. Sam Moss, I'm the Executive Director of Mission Housing Development Corporation, a nonprofit affordable housing developer. I'm here representing BRIDGE Housing, Mercy Housing, and the Tenderloin Housing Clinic, John Stewart Corporation. We are in strong support, and among us, we have delivered thousands upon thousands of affordable housing units because of SB 35. So please extend. Thank you.
- Laura Foote
Person
Hi. Laura Foote: Executive Director of YIMBY Action and mom to Freddie Fog Moss. This is his first housing committee meeting, but probably not his last, and asking you to build housing for this generation and the next one in strong support.
- Jordan Grimes
Person
Good afternoon, Chair and members. Jordan Grimes, on behalf of Greenbelt Alliance, we're an environmental nonprofit serving the nine-county Bay Area in strong support today. Thank you so much.
- Alex Melendrez
Person
Hello. Alex Melendrez, City of San Bruno. I work at YIMBY Action. I am also a member of Peninsula for Everyone. I am in strong support of SB 423. Thank you.
- Ali Sapirman
Person
Good afternoon. Ali Sapirman here on behalf of the Housing Action Coalition, Abundant SF, and last but not least, South Bay YIMBY. Thank you so much. In strong support, of course.
- Lewis Morant
Person
Good afternoon, Senators. Lewis Morant with the Bay Area Council. We represent about 330 of the Bay Area's largest employers here in strong support of extending SB 35 today. Thank you. Good afternoon.
- Ralph Asannfeld
Person
Chair and Members, my name is Ralph Hassenfeld.
- Ralph Asannfeld
Person
I'm with UMB action, and I'm here in strong support of this bill on behalf of Grow the Richmond, Mountain View YIMBY, Napa Solana for Everyone, Northern Neighbors, Pennisula for Everyone, Progress Noe Valley, San Francisco YIMBY, Santa Cruz YIMBY, Santa Rosa YIMBY, SLOCo YIMBY, South Bay YIMBY, Southside Ford, Urban Environmentalist, and Fremont for Everyone. Thank you.
- Ron Rowlett
Person
Ron Rowlett, Carpenters Local 180, strong support. Thank you.
- Richard Burns
Person
Richard Burns, Carpenters Local 213, strong support. Thank you very much. Really appreciate your time. Thank you.
- Ryan O'Connell
Person
Ryan O'Connell, Napa resident, and How to ADU strong support. Thank you.
- Jose Amador
Person
Good afternoon, everyone. Jose Amador from the Southwest Mountain States Regional Council, Carpenters Local 721, located at Whittier, California, and we strongly support SB 423. Thank you.
- Maria Coronado
Person
Good afternoon, Madam Chair and committee members. Maria Coronado live in Burbank, California. Proud member of Local 323, and we are in strong support of this bill.
- April Atkins
Person
April Atkins, business rep, Local 22, San Francisco, in strong support of 423.
- Jesse Peralez
Person
Good afternoon. Jesse Peralez, President, 713, and we're in support of SB 423. Thank you.
- Onassis McFarlane
Person
Onassis McFarlane, Local 180, Solana County, in support of this bill. Thanks.
- Anthony Levice
Person
Good afternoon. My name is Anthony Levice. I'm a member of Local 2236 out of Oakland, and I strongly support Senate Bill 423. Thank you.
- Antonio Muñoz
Person
Good afternoon. Antonio Munoz at a Carpenter's Local 713, representing Alameda County, in strong support of Bill 423.
- Jason Martinez
Person
Good afternoon. Jason Martinez, I'm a member of Local 701 for the Carpenters Union out of Fresno and also a proud military veteran in support of 423. Thank you.
- Courtney Pal
Person
Good afternoon. My name is Courtney Pal. I'm with Resources for Community Development. We're a nonprofit affordable housing developer in support of SB 423. Thanks.
- Travis Alexander
Person
Good afternoon. Travis Alexander, Lathers Local 9083 out of Fresno, and we strongly support SB 423.
- Eddy Luna
Person
Good afternoon. Eddy Luna, Norcal, proud, proud member of NorCal Carpenters Local 713, and please do the right thing on support of this bill 423.
- Juan Espinoza
Person
Good afternoon. My name is Juan Espinoza. I'm a proud member of NorCal Carpenters Local 217 in San Mateo County, and I'm here in strong support of SB 423. Thank you.
- Douglas Leach
Person
I'm Douglas Leach, a resident of Danville, in support of this bill. Thanks.
- Francisco Martinez
Person
Good evening. Francisco Martinez, Field Rep. Carpenters Local 2236 Nor Cal carpenters, covering 46 Northern California counties, and we're in support of this bill.
- Edward Gable
Person
My name is Ed Gable. I'm a member of Local 102 in Livermore, and we support this bill.
- Daniel Gregg
Person
Good afternoon. My name is Daniel Gregg. I'm a member at Norcal Carpenters Local 2236 in Oakland strongly support SB 423. Thank you.
- Misa Lopez
Person
Misa Lopez [foreign language] Por favor, pass this bill.
- Mary Shay
Person
Mary Ellen Shay, California Association of Local Housing Finance Agencies. Strong support.
- J.T. Harechmak
Person
Hi, J.T. Harechmak with NPH nonprofit Housing Association of Northern California, and strong support.
- Rigoberto Gallardo
Person
Rigoberto Gallardo from San Jose, California, fully support SB 423. Thank you.
- Juan Barbosa
Person
Good afternoon. My name is Juan Barbosa, and I'm a field representative at Local 505 in Santa Cruz County. I'm in strong support of SB 423. Thank you.
- Aaron Hadzess
Person
Good afternoon. My name is Aaron Hadzess. I currently work at Local 22 in San Francisco, and I'm strong support of 424, 3.
- Kenneth Do
Person
Kenneth Do with Local 9144 in San Jose, and I strongly support SB 423.
- Chris Martinez
Person
Chris Martinez, Local 1599 out of Redding, California, and I strongly support this bill.
- Gary Santarpia
Person
Gary Santarpia: member of North California Local 46, and I'm in strong support of SB 423.
- Jaime Vasquez
Person
Hi Jaime Vasquez, out of Local 405 in San Jose, California, and strongly support SB 423.
- Giovanni Adelini
Person
Giovanni Adelini, I'm a resident of Placerville. I'm a member of 68L in Oakland, and I strongly support this long overdue legislation, SB 423.
- Chris Palomo
Person
Chris Palomo: member at a Local 180 in Vallejo. I'm a strong support of SB 423.
- Alberto Lustre
Person
Alberto Lustre: 9144, strongly support 423.
- Pedro Mendez
Person
Committee members. Good afternoon. Pedro Mendez, Carpenters Local 22. I'm here in strong support this bill. Thanks.
- Carlos Valdez
Person
Carlos Valdez, Norcal Carpenters Union Local 46, Sacramento. I'm in strong support of SB 43.
- Tony Bui
Person
Tony Bui with the California Apartment Association in strong support. Thanks.
- Kyle Patterson
Person
Kyle Patterson, Southwest Mountain States, South Los Angeles. We're in strong support of this bill, SB 423.
- Ray Lawson
Person
Good evening, committee members: Ray Lawson from the beautiful city of Long Beach, California, Local 562; we are strongly in support of this bill. Thank you.
- Danny Curtin
Person
Madam Chair, Members. Danny Curtin, California Conference of Carpenters. I really want you to understand that skilled and trained, as it stands now, would literally exclude the 330,000 or over 300,000 nonunion construction workers in housing and exclude a significant portion of the union construction workers that are in housing. It is a very complex, difficult standard. Be happy to answer some questions afterwards.
- Danny Curtin
Person
And we're in support of AB - SB 423. Thank you.
- Scott Littlehale
Person
Scott Littlehale: Richmond, California resident, member of Carpenter's Local 152 and a researcher of housing construction labor standards for 20 years. In strong support of 423.
- Rosilicie Ochoa Bogh
Legislator
Thank you. Do we have any other witnesses in support of SB 423 here in room 1200? Seeing none, we'll now move on to witnesses in opposition of SB 423 here in room 1200.
- Sabrina Hernandez
Person
Good afternoon, Madam Chair, committee members. My name is Sabrina Hernandez. I'm a native San Franciscan, a graduate of a state-approved apprenticeship training program, and I'm a state-certified electrician. I'm here today to speak on behalf of the California State Building and Construction Trades Council.
- Sabrina Hernandez
Person
I've been a member of my organization, the International Brotherhood of Electrical Workers for 35 years. I served my apprenticeship and worked with tools in the field for about half of my career.
- Sabrina Hernandez
Person
The other half I spent creating and directing our Electrical Industry Office of Labor Compliance, where my job involves speaking with workers on public construction projects in San Francisco: where all construction workers, union and non-union, should receive, by law, prevailing wages, and where apprentices registered in state-approved apprenticeship training programs are mandated, the opportunity to work a percentage of hours on projects so that they may learn their craft from experienced and skilled journey persons.
- Sabrina Hernandez
Person
All too often, I meet workers who are unaware that they're entitled to prevailing wages, workers who don't have the benefit of union representation, for example, and many of whom are immigrants with limited English language skills or otherwise vulnerable. I've helped many of these folks who are too afraid to speak up about wage theft or other abuses, fearful of losing their jobs, too afraid to say no even when asked to perform work.
- Sabrina Hernandez
Person
They have no experience in putting their lives and the lives of their coworkers at risk. No one can contest the wrong in subjecting workers to dangerous work they're not trained to perform. And what about the folks who occupy and use the building being built by the unskilled, whether it be a school, a hospital, or housing? Are those buildings safe? I think it's an important question.
- Sabrina Hernandez
Person
I was glad when California legislators passed skilled and trained requirements for construction workers, ensuring that baseline percentages of workers on public and fast-track housing in California would be required to be graduates of state-approved apprenticeship training programs or have equivalent measures of skill and experience.
- Sabrina Hernandez
Person
These programs make high-skill, high-paying careers accessible to people of color, women like me, and vulnerable folks like many of those I've met on San Francisco job sites, people for whom skilled training is the difference between fear and empowerment, between being an abused worker and being a valued worker stepping onto the path of the middle class. SB 423 removes the requirements to use skilled and trained workers and employ apprentices.
- Sabrina Hernandez
Person
Don't let exploitative, profit-driven developers get rich at the expense of the safety of California's construction workers. Please do not allow SB 423 to move forward unless it is amended to retain strong language mandating skilled and trained measures. California's construction workforce, all of us deserve these protections. We urge the members of this committee to work with the State Building Construction and Trades Council before the bill gets off the Senate floor.
- Sabrina Hernandez
Person
Thank you very much for your time.
- Sara Flocks
Person
Madam Chair, Members: Sara Flocks of the California Labor Federation, representing 2 million union members in the State of California. We also stand with the building trades and with my sister from the IBEW in opposing SB 423 unless amended. SB 35 was the product of extensive negotiations that resulted in allowing streamlining for projects if developers were able to meet labor standards that included the prevailing wage and a skilled and trained workforce.
- Sara Flocks
Person
This ensured that workers were paid fairly but also that these projects were creating good middle-class jobs. SB 423 removes those labor standards for residential construction workers. We oppose this on policy, but we oppose this as a matter of principle. It is unacceptable to strip labor protections and labor standards from any worker in the state of California, whether they're a construction worker, a nurse, a teacher, a firefighter, a truck driver, or any other person Californian who works in this state.
- Sara Flocks
Person
For those reasons, we must oppose this bill. And as a federation of unions that represent members in every industry in the state, we know that affordable housing is a priority for working Californians. It's a priority for our members. We hear it every day. But we also know that it's not a standalone problem. The affordable housing crisis is inextricably linked to the lack of good middle-class jobs. We cannot address one without addressing the other. We cannot solve this crisis on the backs of workers.
- Sara Flocks
Person
It is only going to cause another crisis. It is for those reasons that we stand with our brothers and sisters and siblings in the building trades and ask that you vote no on this bill today. We oppose unless amended. Thank you.
- Jason Rhine
Person
Madam Chair, Members: Jason Rhine, League of California Cities. We are also opposed to this measure.
- Mark Mulliner
Person
Good afternoon. My name is Mark Mulliner. I work for the California State Building Trades. We represent half a million construction workers in California, and we oppose this unless amended. Thank you.
- Mario Yedidia
Person
Madam Chair and Members: Mario Yedidia, the Western Regional Political Director for UNITE HERE and the hospitality workers are here in solidarity with the building and Construction Trades Council. Opposed unless amended. Thank you.
- Kyler Joaquin
Person
Good afternoon, Members. Kyler Joaquin here. On behalf of the 200,000-plus members of the California State's Pipe Trade Council, the California State Association of Electrical Workers, the Coalition of California Utility Employees, as well as the Western States Council of Sheet Metal Workers, in opposition to the bill is currently constructed. Thank you.
- Lali Castillo
Person
Hello. My name is Lali Castillo with IBEW Local 11 of Los Angeles, representing almost 12,000 members. We stand in solidarity with the building trades to oppose SB 423 unless amended. Thank you.
- Manuel Pinheiro
Person
Good afternoon, worthy senators. Thank you for all your work that you do for the State of California. I'm Manuel Pinheiro, CEO of Monterey/Santa Cruz Building & Construction Trades Council. We oppose 423 - SB 423 unless it's amended, and we stand right with the state building trades. Thank you.
- Sharon Gonsalves
Person
Good afternoon. Sharon Gonzalez, on behalf of the cities of Bakersfield, Corona, Rancho Cucamonga, and Rancho Palos Verdes, in opposition. Thank you.
- Francisco Martinez
Person
My name is Scott Reese. I'm a business agent with Local 393 UA, Santa Clara County, San Bernardino counties. We support the building trades and impose unless amended.
- Matthew Broad
Person
Matt Broad here on behalf of the California Teamsters in the town in paradise, in opposition. Thank you.
- John Hershey
Person
Hello, my name is John Hershey with the United Association of Plumbers and Pipefitters Local 447 in the Sacramento region, and we are opposed unless amended. Thank you.
- Jason Gonzalez
Person
Good afternoon, Madam Chair. Jason Gonzalez, representing the cities of Elk Grove, Indian Wells, Lakewood, and Rancho Cordova, is in opposition. Thank you.
- Johnnie Pina
Person
Good afternoon, Chair and committee members. Johnnie Pina, representing the city of Montebello, in opposition unless amended to impose a sunset of January 1, 2030, and to exempt cities that are in compliance with their housing element. Thank you.
- Carlin Shelby
Person
Good afternoon, Carlin Shelby, on behalf of the cities of Tracy, Mission Viejo, La Habra, Laguna Beach, Placentia, and Del Mar, in opposition. Thank you.
- Mitchell Bechtel
Person
Mitchell Bechtel with the District Council of Iron Workers. We stand with the state building trades in opposition unless amended. Thank you.
- Ernesto Medrano
Person
Ernesto Medrano with the Los Angeles/Orange Counties Building and Construction Trades Council, representing 140,000 hardworking men and women, and I stand with the state building trades in opposition to this bill.
- Matt Goody
Person
Good afternoon. Matt Goody with Local Union 228, Plumbers and Pipefitters in Marysville, California. And we stand with the state building trades and oppose this bill unless amended.
- Cameron Robertson
Person
I'm Cameron Robertson. Opposed as well. Local 447, Plumbers and Pipefitters. Thank you.
- Jake Bash
Person
My name is Jake Bash with Local 447, Plumbers and Pipefitters. And I strongly disagree with SB 423. Thanks.
- Bo Fairburn
Person
My name is Bo Fairburn, local Plumbers and Pipefitters, 447, apprentice. We strongly oppose.
- Beverly Yu
Person
Good afternoon, Beverly Yu; on behalf of the State Building Construction Trades Council, I would just like to reiterate the comments made by my colleagues in the primary testimony. We strongly oppose this bill unless amended, as this bill seeks to provide carveouts for market rate and for-profit developers and rolls back labor protections. We look forward to continuing discussions with the author and the sponsors on this bill. Thank you very much.
- Alex Lantsberg
Person
Good afternoon, senators. My name is Alex Lantsberg, Research and Advocacy Director with the San Francisco Electrical Construction Industry in opposition to 423. I am also a longtime labor standards researcher, and I vehemently oppose the half-truths and misrepresentations in the testimony and support. Thank you.
- Joshua Medrano
Person
Good afternoon, chair members of the committee. My name is Joshua Medrano. I am the Executive Secretary-Treasurer of the Tricounties Building and Construction Trades Council of San Luis Obispo, Santa Barbara, and Ventura counties, representing over 14,000 hard-working, skilled, and trained workers. On behalf of the Tricounties Building and Construction Trades Council, we stand with the State Building and Construction Trades Council of California in opposition unless amended. Intended to be an extension of SB 35 in 2017.
- Joshua Medrano
Person
The bill eliminates the existing safety and construction training standards on housing, specifically a requirement that a small percentage of workers on the project be graduates of state-approved apprenticeship programs. The labor protections in SB 35 that were previously negotiated.
- Rosilicie Ochoa Bogh
Legislator
Sir, we don't have you as a lead witness right now. We're just taking name, organization, and support or opposition.
- Joshua Medrano
Person
Understood. Joshua Madrano, in extreme opposition of this bill.
- Rosilicie Ochoa Bogh
Legislator
Thank you. Thank you, sir.
- Rosilicie Ochoa Bogh
Legislator
Veronica Godinez, resident of Tracy Summit, mason, proud member of Local 400 out of San Jose. And I'm in opposition of SB 423 unless amended. Thank you.
- Rosilicie Ochoa Bogh
Legislator
Thank you, ma'am. Do we have any other witnesses in opposition to SB 423 here in room 1200? Maybe one more? No? Okay. All right, now we will. Thank you. We'll now move on to witnesses waiting to testify via the teleconference service. We'll be limiting phone testimony to 20 minutes for all bills during this hearing.
- Rosilicie Ochoa Bogh
Legislator
Moderator, if you would, please prompt the individuals waiting to testify in support of or opposition. And we will. We begin.
- Committee Moderator
Person
Of course. Ladies and gentlemen, once again, if you are in support or opposition of SB 423, please press 10. You'll hear a tone, and you will be given your - We will first go to line 60. Please. Go ahead.
- Mark Gleason
Person
Good afternoon. Mark Gleason, representing Teamsters Local 665. We stand with the State-Building Trades in opposition to SB 423. Thank you.
- Committee Moderator
Person
Next, we'll be going to line 219. Please go ahead.
- Erica Valentine
Person
Hi, yes, this is Erica Valentine, the Political Director for UA Local 393. We represent 3,100 members, plumbers, pipers team, fitters, and HVACR technicians in Santa Clara, San Benito county. We stand with the building trades in opposition to this bill unless it's amended.
- Committee Moderator
Person
Next, we will go to line 284. Please go ahead.
- Committee Moderator
Person
Is this me?
- Committee Moderator
Person
Yes, this is you. Your line is open.
- Adam Bookbinder
Person
I'm terribly sorry. Hi, this is Adam Bookbinder from the city of Campbell in the South Bay, representing South Bay MB, proudly supporting SB 423. Thank you.
- Committee Moderator
Person
Next, we'll be going to line 186. Please go ahead.
- Unidentified Speaker
Person
Childcare, stable housing, waste, theft, and keeping our jobs local.
- Unidentified Speaker
Person
We ask we focus on responsible construction policy because we have numerous projects that are being proposed or approved without any commitment to use skilled and trained workers. Developers of these projects are putting profits.
- Committee Moderator
Person
Next, we'll go to line 220. Please go ahead.
- Eddie Reyes
Person
Excuse me, did you say 220?
- Committee Moderator
Person
Yes, and your line is open.
- Eddie Reyes
Person
Yes, my name is Eddie Reyes, Iron Workers Local 377, president and San Francisco resident. I stand with the San Francisco - with the State Building Trades in strong opposition to SB 423. The only ones who are in favor of this are the carpenters, who just disassociated with the state-building trades. Please amend. Thank you.
- Committee Moderator
Person
Next, we're going to line 89. Please go ahead.
- Jeff Hunerlach
Person
Yeah, my name is Jeff Hunerlach with the Humboldt Del Norte Building and Construction Trades. Secretary-treasurer. We stand with the State-Building Trades in opposition of SB 423, unless amended. Thank you.
- Committee Moderator
Person
Next, we'll be going to line 42. Please go ahead.
- Randy Wetmur
Person
Good afternoon. Randy Wetmur, Ironworkers Local 416, Los Angeles. We stand strong in opposition with State Building Trades on SB 423. Thank you.
- Committee Moderator
Person
Next, we will be going to line 319. Please go ahead.
- Toby Muresianu
Person
Hi, this is Toby Muresianu calling from Los Angeles. On behalf of Westside For Everyone and strong support. Thank you.
- Committee Moderator
Person
Next, we'll be taking line 321. Please go ahead.
- Mina Layba
Person
Good afternoon; my name is Mina Layba. I'm the legislative affairs manager. On behalf of the city of Thousand Oaks, we stand in respectful opposition. Thank you.
- Committee Moderator
Person
Next, we'll go to line 318. Please go ahead.
- Bobby Garrity
Person
Hi, this is Bobby Garrity from Redlands and California YIMBY, calling in strong support of SB 423.
- Committee Moderator
Person
Next, we'll be going to line 291. Please go ahead.
- Cynthia Owens
Person
Good. This is Cindy Owens with the city of Beverly Hills, and we are opposed.
- Committee Moderator
Person
Next, we'll be going to line 29 - 265. Please go ahead.
- Slaughter Bradley
Person
This is Slaughter Bradley with Building Trades of the Inland Empire. As a business manager and Executive secretary, we are strongly opposed to this Bill and enjoy your rest of your day.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Now we will go to line number 267.
- Unidentified Speaker
Person
Please go ahead.
- Chuck Nower
Person
Chuck Nower, Carpenter's Local 1599, Chester County, California. We are in strong support of SB 234.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
We will go to line 246.
- Unidentified Speaker
Person
Please go ahead.
- Brian Pors
Person
Hello, my name is Brian Pors. I'm a business agent for UA local 393, representing over 3100 plumbers, pipe fitters, steam fitters and HVACR service technicians in Santa Clara and San Benito counties. Today I'm calling and standing in solidarity with the Building Trades Council and strongly oppose SB 423. Thank you for your time.
- Brian Pors
Person
Bye bye.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Line number 288. Line 288.
- Juan Vaneza
Person
Juan Vaneza Field Representative Norcal, Carpenters Union Member at 217, Foster City, California, in strong support of SB 423. Thank you all for your time.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Line number 294.
- Joel Toscano
Person
Good afternoon. My name is Joel Toscano, field representative of Northbound Carpenters union out of 713, Alameda County, and showing support this Bill.
- Joel Toscano
Person
Thank you.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Line number 310. 310.
- Leonard Basoco
Person
Here I am. Hello. My name is Leonard Basoco. I'm a resident of Vallejo, California. I'm a representative at Carpenter's Local 180 covering Solano County, and I strongly support this Bill, SB 423. Thank you.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
We will go to line number 47.
- Wyatt Stiles
Person
Hi my name is Wyatt Stiles, representing over 1000 Members of local 398, plumbers, steam fitters and welders, and we are joining the State Building Trades in opposition of SB 423. Thank you.
- Unidentified Speaker
Person
Next we will go to line number 325.
- Unidentified Speaker
Person
Thank you.
- Carol Kim
Person
Hello. This is Carol Kim. I'm the business manager of the San Diego County Building and Construction Trades Council. I'm also the CEO of the SDBTC Family Housing Corporation, and we are in strong opposition of SD 423 unless amended.
- Carol Kim
Person
Thank you.
- Unidentified Speaker
Person
Line number 157.
- Unidentified Speaker
Person
Thank you.
- Tony Sanchez
Person
My name is Tony Sanchez. I'm with the Painters and Allied Trades. I'm a strong opposed of SB 423. Thank you.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Line number 156.
- David Safella
Person
Hi, this is David Safella with the Painters and Allied Trades District Council 36, local 1399. And we're going to be supporting the State Building Trades in opposition. Sorry, opposition of SB 423.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
We will go to line number 330.
- Unidentified Speaker
Person
I stand with the state building trades in opposition of this Bill unless amended. Thank you.
- Unidentified Speaker
Person
118.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
We will now go to line number 226.
- Eric Turner
Person
Good afternoon, Chair and Members, Eric Turner, on behalf of the town of Apple Valley, respectfully in opposition.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Line number 141.
- Tony Sanchez
Person
My name is Tony Sanchez. I'm with the Painter and Allied Trades. I'm a strong opposed of SB 423. Thank you.
- Unidentified Speaker
Person
Next we will go to line number 155.
- Rachel Shoemake
Person
Hi, my name is Rachel Shoemake with IBEW 302, representing over 1300 electrical workers in Contra Costa County. We stand in solidarity with the State Building Trades in opposition of SB 423, unless amended. We need to invest in our apprenticeships and promote skilled and trained language which helps protect all construction workers from exploitation.
- Rachel Shoemake
Person
Thank you.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next we will go to line number 206. Line number 206, your line is open.
- Martin Rodriguez
Person
Yes, this is Martin Rodriguez, Ironworkers 433. I stand in opposition of this Bill in solidarity with the State Building Trades, unless amended.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Line number 344.
- Raul Maldonado
Person
Hi, my name is Raul Maldonado. I am from Oakland, California. Originally from Augusta, California, Central Valley Area. I am personally and also on behalf of ... supporting SB 423. Thank you. And stay safe.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next we will go to line number 32.
- Allison Schallert
Person
Hi, Allison Schallert in Los Angeles. Single family homeowner representing hundreds of people in support of 423. Please build housing and thanks for all your hard work. Appreciate it.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Line number 125.
- James Ashcroft
Person
Yes, this is James Ashcroft. Ironworkers Local 378 stand with the Building Trades in opposition of SB 423.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Line number 54.
- Unidentified Speaker
Person
- Unidentified Speaker
Person
Line number 54, your line is open. Okay, we will move on to the next line 300, please.
- Unidentified Speaker
Person
Go ahead.
- Larry Mazzola
Person
Yeah, my name is Larry Mazzola, business manager, UA Local 38, plumbers and pipe fitters in San Francisco. I'm also the President of the San Francisco Building and Construction Trades Council. To state that the whole entire Building Trades up and down California strongly opposes ripping strong labor standards out of this Bill. Please oppose.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next, we will go to line number 34.
- Unidentified Speaker
Person
Please go ahead.
- Unidentified Speaker
Person
And line number 34, your line is open.
- Mickey Owens
Person
Hello, this is Mickey Owens, Local 669. Stand with the State Building Trades and oppose 423.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Line number 37, please go ahead. And line number 37, your line is open.
- Joseph Clark
Person
Yes, this is Joseph Clark, Local 669, organizer, and we stand with the State Building Trades and opposed this Bill.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next we will go to line number 189.
- Paul Bickmore
Person
Hi, my name is Paul Bickmore. I volunteer with California YIMBY, calling in strong support.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Line number 99. Line number 99, your line is open. Okay, we will go to the next line of 61.
- Unidentified Speaker
Person
Please go ahead.
- Jonhenry Lopez
Person
Yes. Can you hear me?
- Unidentified Speaker
Person
Go ahead.
- Jonhenry Lopez
Person
Yes, this is Jonhenry Lopez with UA local 246, Plumbers and Pipe Fitters, representing Fresno, Madera, Tulare and Kings county. And we stand in solidarity with the State Building Trades in opposition of SB 423, unless amended. Thank you.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next, we will go to line number 135.
- Lynette Eng
Person
Hi, can you hear me?
- Unidentified Speaker
Person
We can hear you. Go ahead.
- Lynette Eng
Person
This is Lynette Lee Eng, Council Member with Los Altos, and I'd like to register my opposition to SB 423. I don't think you realize the legal liabilities this imposes on cities. Thank you.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next, we will go to line number 331.
- Isaiah Madison
Person
Hi, this is Isaiah Madison with Livable California in South Los Angeles, in opposition to SB 423. Thank you.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next, we will go to line number 314.
- Unidentified Speaker
Person
Please go ahead.
- Chris Grizzle
Person
Chris Grizzle, Organizer, UA's largest local 669. We stand in opposition, SB 423. Let's keep it real skilled and trained.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next, we will go to line number 301.
- Unidentified Speaker
Person
Please go ahead.
- Roger Dickinson
Person
Good afternoon, Madam Vice Chair and Members, Roger Dickinson, on behalf of Civic Well, formerly the Local Government Commission, in support. Thank you
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next, we will go to line number 271.
- Rob Nielsen
Person
Hi, this is Rob Nielsen from Peninsula for Everyone, calling in in support of SB 423. Thank you.
- Unidentified Speaker
Person
Next, we will go to line number 80.
- Unidentified Speaker
Person
Please go ahead.
- Shane Boston
Person
Good afternoon. This is Shane Boston, Business Manager of Plumbers and Pipe Fitters, Local 484. And we stand with the State Building Trades in strong opposition to SB 423, unless amended. Thank you.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next, we will go to line number 276.
- Matt Kelly
Person
Matt Kelly, Carpenters Local 46, calling in strong support of SB 423. Skilled and trained, builds no units of housing. Thank you.
- Unidentified Speaker
Person
Next, we will go to line number 277.
- Unidentified Speaker
Person
Thank you.
- Patricia Ramirez
Person
Yes, hello.
- Patricia Ramirez
Person
My name is Patricia Ramirez. I'm a carpenter, Local 405, and I'm in strong support of SB 423.
- Patricia Ramirez
Person
Thank you.
- Unidentified Speaker
Person
Next, we will go to line number 295.
- Brandon Levenberg
Person
Good afternoon. Brandon Levenberg, UA Local 246. Plumbers, Pipe Fitters and HVACR Service Tech. I join the State Building Trades in strong opposition of SB 423.
- Brandon Levenberg
Person
Thank you.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next, we will go to line number 304. Line number 304.
- Juan Dominguez
Person
Yes, good afternoon. This is Juan Dominguez, Carpenters Local 701, in Fresno. I'm in strong support of SB 423.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next, we will go to line number 40.
- Unidentified Speaker
Person
Please go ahead.
- Unidentified Speaker
Person
Line number 40. Okay, we will move on to the next number of 333.
- Ryan Meckel
Person
This is Ryan Meckel with Santa Cruz YIMBY, in strong support of SB 423. Thank you.
- Unidentified Speaker
Person
Next, we will go to line number 327.
- Jason Pierce
Person
Good afternoon. My name is Jason Pierce. I'm a Member and a Field Rep of Carpenters Local 751 up in Humboldt County. Standing strong support of SB 423. Thank you.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next, will 345.
- Dan Watson
Person
Dan Watson, Carpenters Local 1789, in strong support of SB 423.
- Unidentified Speaker
Person
Line number 273.
- Steve Harris
Person
Yeah, good afternoon. My name is Steve Harris, Carpenter's local 751. Strong supporter of SB 423.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next we'll go to line number 320. Line number 320.
- Nell Delander
Person
Hello.
- Unidentified Speaker
Person
Go ahead.
- Nell Delander
Person
My name is Nell Delander. I'm part of the 217 Carpenters Union, San Mateo county, and I'm a strong support of SB 423.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next we will go to line number 58.
- Gorgina Halaufia
Person
Hi, this is Gorgina Halaifua with IBEW local 595, representing nearly 2500 electrical workers in Alameda County, San Joaquin County, and Calaveras County. And I'm calling in solidarity with the State Building Trades in opposition unless amended to Senate Bill 423.
- Gorgina Halaufia
Person
Thank you.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
We will go to line number 311.
- Jesus Vega
Person
Good afternoon. My name is Jesus Vega, the Carpenters Union, Local 505 in Santa Cruz County, and I strongly support SB 423. Thank you.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next we will go to line number 256.
- Rod Finley
Person
Hi, my name is Rod Finley. I'm in Local 9109, Drywall Lathers, Sac county. Our apprenticeship program is top notch training, first aid, CPR. And when they walk on the job site, they're proficient in the jobs they're hired for. I'm in support for SB 423.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next we will go to line number 316.
- Victor Mibelli
Person
Hello, my name is Victor Mibelli. I'm a carpenter with Local 751 in Sonoma county. All carpenters up and down, all of California is very much in support of SB 423. Thank you.
- Unidentified Speaker
Person
Thank you.
- Unidentified Speaker
Person
Next we will go to line number 167. Line number 167?
- Committee Secretary
Person
Okay, we will move on to line number 19109.
- Sean Kyle
Person
Hi, my name is Sean Kyle with IBEW 595 in Dublin, California. We represent 2500 electrical workers in Alameda, San Joaquin and Calaveras counties. We stand with state building trades in opposition of SB 423. Thank you.
- Lisa Danz
Person
Thank you. Next, we will go to line number 350. Please go ahead. My name is Lisa Danz with Fremont for everyone. And we proudly support SB 423. Thank you. Next we will go to line number 111.
- Unidentified Speaker
Person
Hi, this is Jason Lindsay with Iron workers local 378. And we stand with the state building and construction trades and oppose unless amended. Thank you.
- Committee Secretary
Person
Thank you. Next we will go to line number 354.
- Unidentified Speaker
Person
This is Marvin Norman from San Bernardino and strong support of SB 423.
- Committee Secretary
Person
Thank you. Next we will go to line number 296.
- Rosilicie Ochoa Bogh
Legislator
And madam moderator, this will be our last witness via the teleconference service. We have reached our 20 minutes.
- Committee Secretary
Person
Okay, line number 296.
- Unidentified Speaker
Person
This is Tim Reichfield, representative Carpenter's local 22. I stand in full support of SB 423. Let's build housing. Thank you.
- Committee Secretary
Person
Thank you.
- Rosilicie Ochoa Bogh
Legislator
Thank you, Madam Moderator. And thank you to all our support and opposition witnesses. We will now bring the discussion back to the Members. I know, Senator Umberg, you had a question.
- Thomas Umberg
Legislator
Thank you, Madam Chair. Senator Wiener, this is an illustration of conflicting values, the value that many of us hold to ensure that the workforce is skilled and trained versus the value of creating more affordable housing. I'm going to support the Bill. It's going to make a long, I hope not terribly torturous journey here through the Legislature. But I'm going to ask you if you are also committed to trying to reconcile those two values as it moves forward.
- Scott Wiener
Legislator
So if the question is, am I committed to working with the opposition to try to come to a resolution on this, 100%. Absolutely. As I said earlier, it takes two to tango, but absolutely. One thing I do want to say, Senator, that I don't think it's accurate to say that this fight is about skilled construction labor versus affordable housing. The language that we have in this Bill, it requires very significant labor protections and that these are not unskilled workers.
- Scott Wiener
Legislator
It requires efforts to obtain workers out of apprenticeship programs. I'm sure the carpenters can talk about how it is a false narrative to say that there's going to be unqualified, unskilled, untrained construction workers versus skilled construction workers. These are different labor standards. This is replacing one set of labor standards with a different set of labor standards. And the carpenters can explain why it will cover many, many more construction workers. But yes, we. Absolutely. My door is perpetually open and my hope is to resolve this.
- Scott Wiener
Legislator
It's not a fight. The fight is as unpleasant for me as it is for anyone else. But I did want to make that one clarification. Thank you, Senator.
- Thomas Umberg
Legislator
I'm going to focus on the last 30 seconds of your answer. Thank you.
- Scott Wiener
Legislator
Thank you.
- Rosilicie Ochoa Bogh
Legislator
Thank you, Senator Umberg. I know Senator Seyarto.
- Kelly Seyarto
Legislator
That's fine. Thank you. So I think you noticed several cities weighed in and their opposition, and their opposition, I think, revolves around the fact that they've really been struggling with HCD and getting their housing elements approved. And then we piled on the APR as a method of disallowing them to have an approved housing element or have it in compliance, I should say.
- Kelly Seyarto
Legislator
And so what this does is it gives HCD the power over them to basically strip their rights away by not processing in time in a timely fashion, which has been their big complaint. We've heard a little bit from HCD that, no, it's the cities. Well, there's 200 cities out there or more.
- Kelly Seyarto
Legislator
There's actually 383 trying to get in compliance with their housing elements so that they can deal with the new numbers, the RHNA numbers that have come out and until that disconnect is fixed so that there's actually a better process for them to get their housing elements approved. Hard for me to give an extension in time to a process that's kind of broken right now. I'd like to see that process addressed before we go on and give an extension to an already broken process.
- Kelly Seyarto
Legislator
It's easy for cities that got 65 units of affordable housing put in as their RHNA number, but the ones that got 3000 to 4000 units going to be impossible for them to do that. And housing elements don't just get produced overnight. You can't do it in a week. You can't do it. You can barely do it in two years. And so that's what they're struggling with. And that's why you heard from some of these cities.
- Kelly Seyarto
Legislator
If we can fix that process, I'd be more inclined to some of these other streamlining methods because I'm all about streamlining, but it has to be done on our end too. And our agencies need to be responsive to the cities. They can't just say, you guys didn't do it right, try again. And that's what a lot of them have gotten. They're really frustrated out there. And I think that's the issue that your cities are having. So that's my comment.
- Kelly Seyarto
Legislator
I don't know if you've talked to HCD about this, but hard for me to support until they fix their.
- Scott Wiener
Legislator
I've obviously, I've been involved in very closely monitoring housing element compliance around the state, including in my City of San Francisco, which was a very dramatic process. No system is perfect. There are also cities that have, there are some cities that have blown off their obligation and have adopt. Not all.
- Scott Wiener
Legislator
There are plenty of cities that are trying really hard, but there are cities that have decided that they were going to continue to do what we've allowed them to do for decades, which is to submit a housing element that is never going to happen. And then they're all sudden surprised when it gets rejected. I think HCD is working very hard to try to certify, or not certify compliant with the law. There are cities that are frustrated.
- Scott Wiener
Legislator
There are also advocates, there are plenty of advocates who think HCD has been too soft on some cities. So HCD is getting pulled in a lot of different directions right now, and I think they're acting, working in good faith to try to resolve it.
- Rosilicie Ochoa Bogh
Legislator
Thank you, Senator Seyarto. We have Senator Wahab with a question. Senator Skinner and Senator Cortese.
- Aisha Wahab
Legislator
Thank you. Thank you to everybody who spoke. I'll actually move this item and hoping that the author, the carpenters and the building trades all work together on both sides to kind of come to some type of agreement moving forward. This is a housing Committee, and we do need affordable housing. We also need good paying jobs.
- Aisha Wahab
Legislator
And I'd like for all of us to come together rather than see what we're seeing right now. So for this Committee, I will be moving this forward. Thank you.
- Rosilicie Ochoa Bogh
Legislator
Thank you, Senator Wahab, Senator Skinner.
- Nancy Skinner
Person
Thank you. I want to ask a little more specific question in terms of the work. To try to get agreements, and this is, I completely understand the oppositions, or rather, I've heard it loud and clear. So I am not trying to assume that the opposition is not sincere in their opposition or is ready to just fold. But what I wanted to raise is that beyond the sunset, what's being changed from what we approved in 35, SB 35 are some, the number of units in particular projects. That's one of the main changes in terms of the labor standards. Correct?
- Scott Wiener
Legislator
So just to be clear on what the change was, under the original SB 35, for anything that was at least 50%. So 50% to 100% below market rate, De restricted. It was straight up prevailing wage for anything that was mixed income, below, above, I think, 25 units. I believe that's the number scaled up to was a skilled workforce. This replaces that structure with prevailing wage for anything 11 and above.
- Scott Wiener
Legislator
And once it hits 50, then the health care requirements kick in, as well as the apprenticeship requirements in the Bill. And the wage theft is ubiquitous, so that's sort of how the structure changed.
- Nancy Skinner
Person
Okay. And again, I don't want to speak for the opposition, but what I want to ask you is your willingness to modify some of those, either the numbers, if that's the issue, or is it the range, is it the mix of units in terms of mix, or affordable? Again, not yet, presuming what would address opposition's concern, but more your yeah.
- Scott Wiener
Legislator
So I don't want to negotiate against myself. I'm happy to sit down with the carpenters, the trades and to try to have a negotiation. Absolutely. My door is always open in terms of what would be included in that negotiation. There are some items in the trades opposition letter which are items that aren't about the skilled workforce versus prevailing wage, which we think are addressed in the Bill. But sometimes people say, you think you're addressing it, but it's drafted wrong.
- Scott Wiener
Legislator
And then my response is, well, tell me how it's drafted wrong, because I want to draft things correctly. So some of the items in the trades opposition letter are, I think, have been addressed, but if they've not, then I just want to know exactly how not. And it's in my interest to know if they think it hasn't been addressed. But my sense, having spoken to the trades a lot about this, is that the skilled workforce versus providing wage is at the heart of it.
- Scott Wiener
Legislator
And like I said, I very much would like to resolve it. I think that would be a good thing. Unfortunately, like I said, I won't say it's, I won't talk about tangoing or.
- Nancy Skinner
Person
Willingness to have those open discussions because I'm eagerly required. Movement on your part, too?
- Scott Wiener
Legislator
Yes. Negotiation means everyone is willing to be open minded. And I think, I want to be clear here. And what I love about today, I know it's been long, is that both sides are like, we want more housing, we want streamlining. The trades are not saying we're categorically opposed or opposed unless amended, because we have two major labor organizations that have a disagreement about which is the best labor protections. Right. We have. Trades are advocating for one set of protections.
- Scott Wiener
Legislator
The carpenters are advocating for a different set of protections. And they both, I think, authentically believe that their protections are better. And we had a negotiation in 2017. Actually, the carpenters weren't involved. We came to a resolution. The trades have told me for the last few years that they don't support anymore the deal that they agreed to in 2017, which I respect. No one is permanently bound to any deal that they agree to.
- Scott Wiener
Legislator
People can change their mind, but I think a negotiation and that kind of dialogue would be helpful. As you can tell, the temperature is a little bit high right now. But we've all seen that with bills that I think everyone's had bills, that temperature gets really high. And then as things progress over the course of a legislative year, people start talking and come to the table. The temperature was really high on AP 2011 last year, and then there was a deal cut in August. So I would love for that to happen, and everyone has to be open minded, myself included, and all the stakeholders to do that.
- Rosilicie Ochoa Bogh
Legislator
Thank you, Senator Skinner. We have Senator Cortese.
- Dave Cortese
Legislator
Thank you. Thank you, Madam Chair. I have a question for the author, which is not on workforce standards. And then I have actually a question each for the carpenters and the building trades. Just so. One each. So the chair knows the question I have for the author. And you may recollect this, me mentioning this in the past in some other forum outside of a Committee hearing.
- Dave Cortese
Legislator
We have in San Jose 10 council districts that are comprised of about 100,000 population each, each one having a single Council Member representing them as SB 35 has been successfully applied and utilized there. What we're experiencing is council Members plural. And I don't mean the entire council, but only in fairness to people not being here.
- Dave Cortese
Legislator
I won't mention specific names, but essentially and very clearly telling constituencies, current residential constituencies surrounding developed, I'm sorry, sites that are to be developed, that they, because of SB 35, are precluded from holding any meaningful hearings or discussions with the community on those projects. I know that that's not in the Bill. I know that's not written in the Bill. I understand the Bill would, in effect, do away with the necessity of a CEQA hearing.
- Dave Cortese
Legislator
And I also know that there's a whole set of hearings leading up to that moment, including General plan hearings, zoning hearings, and a lot of other things where the City Council puts its imprint on what they want to see in an area, including objective zoning standards. That said, what can be done with the extension of SB 35 through this Bill 423 this time around to give us a fair shot as legislators in terms of rebutting those misleading statements?
- Dave Cortese
Legislator
I won't even call them misunderstandings, because it's hard for me to believe that any city, let alone one, is sophisticated. As the third largest city in the State of California isn't getting the proper legal advice and the proper understanding of a Bill like this before they go out and talk to their constituents. But it just seems to me that we need to do some of that work if we want not to have blame shifting going on for a lack of community process in the neighborhoods.
- Dave Cortese
Legislator
Could you speak to that? I just want to know if there's a willingness to try to come up with something in terms of state assistance, maybe through HCD, or somehow to get the word out to constituents that they do have the right to continue asking for community meetings and discussion.
- Scott Wiener
Legislator
Yeah. So one thing that SB 35 does not eliminate the ability, if a City Council wants to hold a hearing or a neighborhood meeting, they can do that. In my experience, having watched the implementation of this Bill very carefully for the last five years, if you're a developer, whether you're a nonprofit, affordable developer, market rate developer, if you are for this Bill, affordable developers, because there has been very, very little on the market rate side.
- Scott Wiener
Legislator
But it is in your interest to engage with the local community, even though you have the ability to trigger SB 35, and you will ultimately trigger it, which will protect the Bill from SQL litigation, for example.
- Scott Wiener
Legislator
Your life is going to be a heck of a lot easier if you have engaged with the community and with the City Council Planning Department, because sometimes it may be that they just want a few changes here and there, or consider this, and then it De escalates the situation, because you do have cities that try to nitpick every little possible loophole. It's a lot easier if a city is like, okay, we're okay with this project, so we're not going to do that.
- Scott Wiener
Legislator
Not every developer, there's a range of developers, but there are plenty of developers who I think do engage ahead of time. And then SB 35 allows them to protect the project from the lawsuits. So any ideas? Maybe you and I should talk. Any ideas you have, I'm open to it.
- Dave Cortese
Legislator
In tough times or tougher times, it might take some kind of very modest budgetary appropriation or something just to back this kind of work separate and apart from the Bill. But I'd love to work with you on that and make sure, in a sense, we're defending the good work that's contained here and that is going on out in the community to increase housing production.
- Dave Cortese
Legislator
The two questions I have, first, for the carpenters, if that's okay, I don't know if Danny Curtin is still here or somebody who can answer a question on their behalf. It's a pretty straightforward question. Here. So I know it's not overly technical in nature. Let me preface this by saying I've recently visited the new carpenter's apprenticeship center down in South County in Santa Clara County, almost just as recently visited the sheet metal workers beautiful training center in the City of San Jose.
- Dave Cortese
Legislator
Both of these facilities, as was explained to me at the time, were not only State of the art, but have capacity, capacity to add apprentices and to attach them to jobs.
- Dave Cortese
Legislator
When I read the language in the standards in this Bill and asking this of the carpenters because of your support for the Bill, sponsorship of the Bill, it appears to me if I'm reading this right, and I'm reading it verbatim out of on page six and 16 of my documents here, a contractor with the construction craft employees must either participate in an apprenticeship program approved by the State of California Division of Apprenticeship standards as specified, or request the dispatch of apprentices from a state approved apprenticeship program as specified.
- Dave Cortese
Legislator
So if the contractor chooses or the second part of that, or request the dispatch of apprenticeships rather than participate in an apprenticeship program, what guarantee do we have of adding or filling up either the carpenter's apprenticeship program or the sheet metal workers or anybody else's?
- Dave Cortese
Legislator
It seems to me that if they request a dispatch of apprenticeships for that job, and the response is we don't have enough to send out or we don't have any to send out, that the contractor is off the hook in terms of driving apprenticeship and training and enrollment in the trades. Could you respond to that?
- Danny Curtin
Person
Certainly, and thank you for the question. Senator, the language that you've quoted is essentially the same language that is applied for decades to the public works sector of California, which is accounting for about 20% of all construction in the State of California, where it is either shall employ or shall request. It's also language, and we have successfully put thousands of apprentices, we have 19,000 carpenter and drywall and pile driver apprentices throughout the state that are actively registered.
- Danny Curtin
Person
As Brother Bradshaw said earlier turned out and had graduated more than any other single union in the state, public works has been an important part, along with private work, for achieving that level of success. I would also note that the language of having that request or good faith effort, which has to be documented, is parallel to the federal level Language and the Inflation Reduction act, an act that in 2022 the State Building and Construction Trades Council allotted as a massive win for working Californians.
- Danny Curtin
Person
It's language that puts forward pairs prevailing wages with apprenticeship. It's been a winning combination for decades already for the Ira, the Inflation Reduction act. It is to expand into a new marketplace for energy efficiency work supported by tax credits. Similarly, giving the non union status of the private residential world, and I should note, half of publicly subsidized 100% affordable housing, which is not held to prevailing wage or apprenticeship standards, we will be expanding massively.
- Danny Curtin
Person
In fact, we already, over the past five years of SB 35 being in effect, have seen dozens of projects that have employed union journey level workers and union registered apprentices. On the other hand, we have not seen union journey level workers or union apprentices employed on projects that are held to a skilled and trained workforce requirement.
- Dave Cortese
Legislator
Right. And I didn't say I want to impose somebody else's language here. I'm just asking you, why have permissive language when, and I know I appreciate everything the carpenters have done to grow and develop their own apprenticeship program larger than any other union within the overall scope of the building trades. But I also know from talking to your leadership that the objective is to grow that much more, to keep growing it. And I don't know how you get there.
- Dave Cortese
Legislator
That's why I asked the question, how do you assure us or guarantee us that this language gets you there if it's permissive? Wouldn't it make more sense to say that to have these first two pieces in the language, that you can participate in an apprenticeship program or request a dispatch of apprentices or enroll your workforce in the apprenticeship programs that currently exist. Why wouldn't it say that? There's no question that there's plenty of nonunional workers on every one of these jobs.
- Dave Cortese
Legislator
The builders are saying, we want more housing production. That's why we're doing this Bill. We want to streamline things. We need to move quicker. We've got people that want to go to work. Why aren't we then saying, wonderful, we'll streamline the objectives so you can get your developments done much more quickly. But in exchange, you need to do not just two of these things permissively.
- Dave Cortese
Legislator
If they work and if they don't, proceed nonunion, but you need to do one or the other, or, in effect, go signatory. Why wouldn't we say that with language that simply says, you've got to have what would have otherwise been your nonunional workforce enlist before that SB 35 project. Now we're only talking about SB 35 projects in this Bill before that project commences.
- Dave Cortese
Legislator
I've certainly, as a builder myself, insisted that contractors who do Nonunu work go signatory if they want to come in my gate, and I'm just asking, why not have that language?
- Danny Curtin
Person
The language which know has been part of California law for public works for decades.
- Dave Cortese
Legislator
This isn't public works. I'm just asking you to speak to this Bill.
- Danny Curtin
Person
For this Bill, what this offers, and I would be happy to share with any Member of the Committee a map of where registered apprentices live. Currently, there are parts of California where frankly, not every single trade has an adequate number of registered apprentices. Today, tomorrow. And quite frankly, while the carpenter's apprenticeships are open to anyone who's 17 or over and with a GED or an equivalent, that's not the case necessarily for all of the other apprenticeship programs.
- Danny Curtin
Person
We believe that we are in a housing crisis and it is critical to ensure that we get as much as possible organized within the streamlined housing world. And that's, to coin a phrase, it takes two to tango. It requires unions and apprenticeship programs that are in a growth mode to participate, that are perhaps at times even willing to send an apprentice to a nonunion job. That's an opportunity to spread the union gospel, quite frankly.
- Dave Cortese
Legislator
Yeah, I'm not going to go there, but I appreciate your responses to my questions and I'm not here to go any further with this, but I think you can tell from my comments. I think if we're going to get to a place of resolving the current dispute, if you will, over workforce standards, one of the things that's going to have to be resolved is how we as a Legislature effectuate a true bargain here.
- Dave Cortese
Legislator
Expedited rules and SQL waivers in exchange for workforce that's enrolled in the kind of training that creates a California for all. That's my position.
- Danny Curtin
Person
I appreciate your comments.
- Dave Cortese
Legislator
It's also my position that I appreciate the bold work by all of you Bill sponsors and the author. I said that earlier. I'll just incorporate those comments by reference in getting us to a place for the first time in the history of the state where we're starting to actually streamline and get production out of some of this legislation. So thank you very much. I appreciate your comments.
- Dave Cortese
Legislator
I just wanted to go over that piece with you and if I could just then have a minute or two with somebody representing the building trades, I have a question there and it will be a single question. I apologize for making my last single question into three questions. Person who responded was so good, he prompted two more questions. Thank you. I don't know if you want to re identify yourself.
- Alex Lansberg
Person
Sure. My name is Alex Lansberg. I'm working with the building trays. I'm the research and advocacy Director for the San Francisco Electrical Construction industry.
- Dave Cortese
Legislator
So if it's your position, that skilled and trained language, as it currently exists in SB 35, which is not in SB 423, if you're saying that old language, if you will, or that current language is not the problem that's holding up production, then what is your explanation?
- Alex Lansberg
Person
Well, I think the problem holding up production in California is the same problem that's holding up production throughout the country. It's the same problem that's holding up productions of tens of thousands of entitled units that have no labor standards. And it's the same problem that was holding up production of affordable housing that got built, that's built with prevailing wage standards after the state gave it money. There's no money for this stuff.
- Alex Lansberg
Person
The entire housing market, if you take a look at national data, it's kind of fallen down. If you take a look at California production, we pretty much flatlined back to pre great recession levels, maybe a little bit higher since about 2017, despite 275 streamlining bills and code changes. As HCD has told us, we haven't really moved the needle. The fundamental problem is material prices are just both escalating wildly and quite volatile. Rents have gone down in the highest demand areas.
- Alex Lansberg
Person
And frankly, I think this is something that a lot of people, there have been multiple lawsuits on SB 35 projects. If you actually take a look at the dashboard in HCD, there are over 6500 units in SB 35 projects that would have had skilled and trained standards. A number of them, including one of the ones that put forward by the gentleman who spoke in support, were held up through a variety of different procedural delays.
- Dave Cortese
Legislator
In short, your explanation is economics, economic concerns and litigation to some, yeah, I think so. We don't have time to dominate the meeting here, but if there's anything else, say it. And I just want to say thank you for your answer, just like did to the prior witness. And I also want to say, just like I said, the prior witness, I think this needs to be, it is an issue that needs to be resolved.
- Dave Cortese
Legislator
The real answer to this question, if we're going to be able to go forward and get this Bill on the working standards side of it in shape for General consensus among the Legislature.
- Alex Lansberg
Person
I appreciate it. Senator, I think you and I think everyone who's rightfully worried about the housing crisis is looking for all sorts of things to try to make things go. But I think, as we've been saying, that continuing sort of private sector streamlining, in light of this, in the broad conditions that we have in the market right now is pushing on a string.
- Alex Lansberg
Person
And to do so by eliminating weakening labor standards, not going from zero to a prevailing wage standard, but going from the gold standard that actually trains, that hires apprentices and creates a pathway for these workers to lower it is a loss for California.
- Dave Cortese
Legislator
Thank you. Thank you, Madam Chair.
- Rosilicie Ochoa Bogh
Legislator
Thank you. Do we have any other Members who like to speak? Okay, so just a couple of comments on my end. It's my understanding that this Bill does not exclude skilled and trained labor force. Right. Workforce. I mean, it doesn't exclude them. They could still bid for these jobs if they're available to the jobs. It's still there for them as an opportunity to be able to bid on these jobs if they're able to.
- Scott Wiener
Legislator
Yes. So this debate in some ways is about which contractors are allowed to bid on jobs. Skilled workforce. You have to have a certain percentage of your workers come out of particular meet certain qualifications in terms of the apprenticeship program and so forth, and they qualify under the skilled workforce standard. And the contractors have to employ x percentage depending on the craft to qualify to bid. Other contractors are not. Those contractors who would qualify under skilled workforce can still bid.
- Scott Wiener
Legislator
There will be more contractors who are eligible to bid. This will expand the pool of contractors who can bid. And we know that in various parts of the state, there might be very few contractors who can meet the skilled workforce standards.
- Rosilicie Ochoa Bogh
Legislator
So it doesn't exclude them. They're still included in the ability to bid for these jobs. Also, in regards to the apprenticeship programs, when you limit it to just to this skilled workforce training skilled workforce, you're limiting the number of apprenticeship programs that actually qualify to be able to bid on these jobs. So this would open it up to an array of apprenticeship programs that are actually approved by the state, is that correct?
- Scott Wiener
Legislator
Yeah.
- Rosilicie Ochoa Bogh
Legislator
Yes. Okay. So it opens up more apprenticeship programs in the state to be able to work for this, and it also opens the ability to have more opportunity for work for approximately 400,000 workers that don't necessarily belong to a specific apprenticeship program, but belong to any apprenticeship program in the state that may or may not. And also when we talk about workforce standards, I was just asking for clarification on that, whether or not it meant labor code or construction code.
- Rosilicie Ochoa Bogh
Legislator
The versus, and I believe it's labor code. Labor code is labor code in California, right. Any construction has to meet those standards in California. Is that not correct? Labor code is labor code. It doesn't vary per apprenticeship program or no apprenticeship program or any apprenticeship program. Is that correct? I see people nodding their heads.
- Daniel Kurt
Person
I may. Danny Kurt, with the carpenters. The labor code is essentially designed for public works. There are the codes for the workforce in General, but on public works, you have to meet, the labor codes have to do with prevailing wages and apprentices. And if you are a nonunion contractor, you still have to meet those codes. If you don't have apprentices, because those are labor management programs, generally, you then request apprentices from the programs that have them.
- Daniel Kurt
Person
If they fulfill that request, then you met your standard for apprentices. If they don't meet that request, if they don't send them to you, they don't have them, or some unions don't send them to nonunion contractors, then you've gone through the process of asking and not received them. So you have fulfilled that requirement. You cannot pay anybody apprenticeship wages after that because that's also governed by the labor code sections. But the wages are outside of labor code sections.
- Daniel Kurt
Person
It's the minimum wage that applies to all workers on construction or anywhere. Actually, you do not have to meet any other wage for construction.
- Rosilicie Ochoa Bogh
Legislator
But this Bill will specify prevailing wage. That's correct on that.
- Daniel Kurt
Person
And it's not a public works, as Senator Kritasi was asking, but it does require you meet a prevailing wage, which you have to pay. And it does require, if you don't have apprentices over 50 units, you then have to request apprentices through the normal process that you would request apprentices to. Apprenticeship, Department of Apprenticeship standards. If you get them, you have to use them. And some crafts will send them. Some won't, as you heard.
- Daniel Kurt
Person
And if you don't get them but you've applied, then you've met your requirement, but you cannot pay those prevailing. I mean, those apprenticeship wages, which are lower. I don't know if that helps.
- Rosilicie Ochoa Bogh
Legislator
And then, just for the record, construction code applies to everyone, whether you're in an apprenticeship program or not, special construction union or not. Construction code is the same, and inspectors are on site that review the work quality, and the construction quality will be overseeing and making sure that construction code is being met at those sites.
- Daniel Kurt
Person
That is correct.
- Rosilicie Ochoa Bogh
Legislator
Okay. All right. And I have one last question for the author, and that's with regards to the sunset date. Would you be flexible, open to the discussions on perhaps extending that sunset if necessary?
- Scott Wiener
Legislator
Yeah. So the reason why we chose to remove the sunset is we now have five years of experience with SB 35. So we've sort of seen the mechanics of it, and I think it makes sense. It makes it perfect. As I mentioned to you this morning, I would be shocked if the sunset issue didn't come up over the next six months of our legislative process or in negotiations around the Bill.
- Scott Wiener
Legislator
So I'm sure that'll be an issue that will be part of the dialogue, and I apologize.
- Rosilicie Ochoa Bogh
Legislator
I do have one more question.
- Scott Wiener
Legislator
As many as you want.
- Rosilicie Ochoa Bogh
Legislator
I'm supposed to ask on page 38.
- Scott Wiener
Legislator
On 38 of the Bill. Of the Bill?
- Scott Wiener
Legislator
Yes. Let me just. Hold on. Let me pull it out here. Okay.
- Rosilicie Ochoa Bogh
Legislator
Beginning on line 21 of the Bill, the language reads 38.
- Scott Wiener
Legislator
Line 21. Oh, yeah.
- Rosilicie Ochoa Bogh
Legislator
Okay. The language reads, notwithstanding any law, for purposes of this section and for the development of on property owned by or leased to the state, the Department of General Services may act in the place of a locality or local government at the discretion of the Department. Question. Is it your intent with this provision to grant the state with authority to enter into a long term lease with a developer and then act in place of the locality or local government for purposes of development?
- Scott Wiener
Legislator
Just to explain the reason why that's in there, because we've had now five years of experience, we've seen some. As with any complicated Bill, you're going to see technical issues that have to be faced as it's implemented. And there was one particular project, I think it was in the Lake Tahoe area, where it was in a city, that qualified for SB 35. The project fully qualified, except because there was a state sign off.
- Scott Wiener
Legislator
That had to happen because it was in the Lake Tahoe area, it became ineligible for SB 35 because SB 35 currently has no mechanism in it. If a project otherwise fully qualifies, but the state has to make some sort of decision, no matter how minor that decision, it simply gets kicked out of SB 35. And the purpose of this provision is to say that if there is, let's say it's state owned property.
- Scott Wiener
Legislator
And I know that I think you have a Bill to streamline on state owned property. The state having to make a decision does not exclude the project from SB 35. And it would be the Department of General Services that would be the one that would effectively be able to consent. So I hope that makes sense, but that was our purpose. It's not in any way to aggrandize the state at the expense of cities.
- Scott Wiener
Legislator
This is for situations where the state has some sort of sign off, either because it's state owned land or there's something the state has to do that would currently kick it out of SB 35 entirely.
- Rosilicie Ochoa Bogh
Legislator
Thank you, Senator Weiner. Any other questions or comments? Okay, do we have a motion?
- Scott Wiener
Legislator
We did by Senator Wahab.
- Rosilicie Ochoa Bogh
Legislator
Senator Wahab makes a motion to move the Bill. Madam. Oh, I'm sorry, Senator Wiener, would you like to close?
- Scott Wiener
Legislator
You've heard enough from me. I respectfully ask for an aye vote.
- Rosilicie Ochoa Bogh
Legislator
Thank you. So, we have a motion.
- Committee Secretary
Person
Madam Secretary, this is Senate Bill 423 by Senator Wiener. The motion is do pass and rerefer the Committee on Governance and Finance. Senator Wiener.
- Committee Secretary
Person
Wiener aye. Ochoa Bogh?
- Scott Wiener
Legislator
Aye.
- Rosilicie Ochoa Bogh
Legislator
Aye.
- Committee Secretary
Person
Ochoa Bogh aye. Blakespear.
- Catherine Blakespear
Legislator
Aye.
- Committee Secretary
Person
Blakespear aye. Caballero. Cortese. Cortese aye. McGuire. Padilla. Seyarto. Seyarto. No. Skinner. Skinner aye. Umberg. Wahab. Wahab aye.
- Committee Secretary
Person
Six to one. Hold the roll, then.
- Rosilicie Ochoa Bogh
Legislator
Okay. We have six. Thank you.
- Scott Wiener
Legislator
Appreciate it.
- Scott Wiener
Legislator
Yep. Sure. Okay. It's good to be sitting down again. We will now, and I want to thank the Committee for its patience as we went through those two lengthy discussions. We will now move to item number three, SB 341, by Senator Becker, who is here. So, Senator, you may present your Bill. Thank you for your patience.
- Josh Becker
Legislator
Thank you. Good afternoon, Chair Wiener and Members, thank you for the opportunity to present SB 341 today. Housing element compliance requirements and pro-housing incentives are important tools for California to meet the housing and build the housing it needs. However, these tools should be directed at appropriate actors, cities, and counties. Unfortunately, they are sometimes employed in programs where private affordable housing developers who have no control over local government actions, or the applicants.
- Josh Becker
Legislator
The result is that developers who do the right thing and bring affordable housing to less than friendly jurisdictions are penalized by the state. In some cases, like Affordable Housing and Sustainable Communities Program, they're ineligible to apply if the city or county does not have an approved housing element. In other cases, like the Qualifying Infill Program, a portion of the Infill Infrastructure Grant Program, they lose pro-housing points and are therefore not competitive.
- Josh Becker
Legislator
We believe SB 341 strikes the right balance of incentivizing local governments to adopt pro-housing policies while not penalizing developers who bring affordable housing to and the low-income families who need affordable housing in these less housing-friendly jurisdictions. The Bill applies pro-housing incentives and housing element compliance thresholds only to state programs in which cities and counties, as opposed to private affordable housing developers, are the primary applicants. And with that, I have two witnesses here today, Mark Stivers and Courtney Pal.
- Mark Stivers
Person
Good afternoon. Mark Stivers with California Housing Partnership. As the Senator said, we are very much in favor of pro-housing incentives and housing element compliance, but if we want to change local government behavior, we have to incentivize them with things that they want, transportation funds, park funds, General funds. Denying them housing funds when they're resistant to housing just enables that resistance. And so this Bill actually strikes that right balance.
- Mark Stivers
Person
It makes sure that developers who are trying to build housing in communities that may be less than friendly are able to bring that housing, are able to get state funding to do so. Think about an example where a community is resistant to the housing. They're able to use something like SB 35 to get approval. We wouldn't want to penalize that developer, having done exactly what we wanted them to do, which was to bring affordable housing to all communities in the state.
- Mark Stivers
Person
So we urge your Aye vote today. Thank you.
- Scott Wiener
Legislator
Great. Yup.
- Courtney Pal
Person
Good afternoon, Chair Wiener and Members of the Committee. My name is Courtney Pal and I'm with Resources for Community Development, or RCD, as we're known in the field. I'm here in support of SB 341, a Bill that would more appropriately align incentives for housing element compliance and prohousing policies. RCD is a nonprofit affordable housing developer providing over 2500 rental homes throughout the Bay Area with an additional 1000 units in predevelopment and construction.
- Courtney Pal
Person
Unfortunately, our ability to access funding for these predevelopment projects is currently jeopardized by regulations that penalize affordable housing developers for the shortcomings of local jurisdictions. Nonprofit developers like RCD cannot apply for funding, receive an award, or have funds dispersed by the state unless the local government where our affordable housing developments are located has met certain housing element compliance milestones.
- Courtney Pal
Person
This spring, three of our developments will compete for state funding under the Affordable Housing and Sustainable Communities Program, and all three of those developments are in jurisdictions without a compliant housing element. As a result, we will take on the significant and undue risk of preparing extensive applications and potentially even executing award agreements pending the results of a local government process that we have absolutely no control over.
- Courtney Pal
Person
This will have repercussions throughout the capital stack of these developments as tax credit investors and private lenders react to the additional uncertainty. The threshold requirement has the unintended and unfortunate consequence of adding additional complication and cost to the affordable housing development process. This issue is not isolated to the three developments at this moment in time
- Courtney Pal
Person
Over 75% of RCD's predevelopment portfolio is located in one of the many Bay Area jurisdictions that do not currently have a compliant housing element, and additionally, some jurisdictions that we work in won't have a compliant housing element for another year or more. SB 341 would remove the threshold requirements to the state's enforcement of housing element law does not delay affordable housing construction.
- Courtney Pal
Person
Realigning this incentive will ensure that developers like RCD can continue to build affordable housing for the low-income Californians who desperately need it. Thank you.
- Scott Wiener
Legislator
Thank you very much. We'll now go to additional support for this bill. Please state your name, organization, and the fact of your support.
- Marina Wiant
Person
Marina Wyatt with the California Housing Consortium in support.
- Amber Leslie
Person
Amber Lee Leslie, Legislative Advocate with Housing California, in support.
- Scott Wiener
Legislator
Anyone else in support? Okay, is there any opposition to this Bill? We have no registered opposition. Anyone in opposition? Okay, seeing none, we'll go to the phone lines. Will the moderator please call any support or opposition phone public comment?
- Committee Moderator
Person
Ladies and gentlemen, if you are in support or opposition of SB 341, it is one, then zero. Support or opposition of SB 341? One then zero. We do have a couple queuing up here. It'll be just a moment. We will go to the line 32. Please, go ahead.
- Allison Shellard
Person
Hi, Allison Shellard in Los Angeles in support. Thank you.
- Committee Moderator
Person
Thank you. And it'll be just one moment here. We have two other ones that have queued up.
- Committee Moderator
Person
We will go now to line 399. Line number 399, your line is open.
- Galen Dobbins
Person
Good afternoon, Chair and Members. Thanks for having this hearing. This is Galen Dobbins as part of the California Coalition for Rural Housing in strong support of SB 341. Thank you.
- Committee Moderator
Person
Thank you. There are no others in queue at this time.
- Scott Wiener
Legislator
Okay, thank you very much. We'll bring it back to the Committee. Colleagues, any questions or comments for the author? Yes, Senator Blakespear.
- Catherine Blakespear
Legislator
This seems like a great bill, and I'm happy to support it. Thank you for thinking of it.
- Scott Wiener
Legislator
Great. Any other questions or comments? Okay, we have a motion by Senator Blakespear. I'm recommending an Aye vote on this Bill. And would you like to close?
- Josh Becker
Legislator
Respectfully ask for an Aye vote.
- Scott Wiener
Legislator
Thank you. We'll call the roll.
- Committee Secretary
Person
This is Senate Bill 341 by Senator Becker. The motion is do pass and re-refer to the Committee on Appropriations. [Roll call] That's five to zero.
- Scott Wiener
Legislator
Okay, the current vote is five to zero. We'll put it on call for absent Members. Thank you, Senator Becker. Okay, we're now going to skip number four for the moment. We'll go back to that later. We're going to go to item number five, actually, is Senator Caballero. Okay, we will do it. Okay, I am going to present Senator Menjivar's Bill now. And so I'll hand the gavel back over to Vice Chair Ochoa Bogh. I'm going to present it from my desk. I've been standing enough today.
- Rosilicie Ochoa Bogh
Legislator
Thank you, Senator Wiener. And please, when you're ready, please present, file item number four, SB 456, on behalf of Senator Menjivar. Please.
- Scott Wiener
Legislator
Okay, thank you, Madam Vice Chair. I want to say I'm extra happy to be presenting this Bill for Senator Menjivar because I have authored another version of this Bill in the past, and I'm thrilled that Senator Menjivar introduced it, and I'm proud to be a joint author of this Bill. SB 456 removed barriers to housing for our most vulnerable young people. Young people exiting the foster care system, exiting the criminal justice system, or experiencing homelessness.
- Scott Wiener
Legislator
Current law directs the California Interagency Council on Homelessness to establish goals to prevent youth homelessness and to support increasing the capacity of new and existing service providers. For example, Home Key 2.0. But only public agencies can be the lead applicant for these projects. SB 456 will expand program eligibility for this funding by allowing community-based organizations that currently provide transitional housing or emergency shelter to be eligible for youth-only Home Key projects.
- Scott Wiener
Legislator
We have some amazing nonprofits around the state that are very experienced in helping youth get off the streets and helping them transition to a better life. We know that most California counties do not have youth-specific homeless programs, and we need to make sure that our nonprofits that help these young people are able to help them exit and access this funding directly and not have to rely on the possibility that the local government will try to access the funding.
- Scott Wiener
Legislator
If we can help these young people stabilize their lives and become housed at a younger age, we will avoid them spiraling into chronic homelessness and help them get on a better track and help save their lives. So I respectfully ask for an Aye vote.
- Rosilicie Ochoa Bogh
Legislator
Thank you very much, Senator Wiener. Now let's hear from any witnesses in support. And is this lead opposition? Lead support? Perfect. Thank you.
- Kristin Power
Person
Senator Wiener and Committee Members, thank you for the opportunity to speak about the importance of SB 456, which bolts on Senator Weiner's leadership to secure funding for housing and homelessness to address our state's most vulnerable youth. I'm Kristen Power with The Alliance for Children's Rights.
- Kristin Power
Person
It's critically important to invest in increased housing availability to ensure that all who want to participate in our extended foster care program can take full advantage of the program. And unaccompanied homeless youth are safely and stably housed to prevent the heightened risk of their entering homelessness. We deeply appreciate Senator Menjevar's leadership in this issue area and Senator Weiner's continuing support to prioritize developing safe and stable housing for our youth. We respectfully ask for your AYe vote.
- Kimberly Lewis
Person
Good evening. Kim Lewis, representing the California Coalition for Youth, one of the co-sponsors of this Bill. And just in light of the hour, I'll just keep my remarks short. I wanted to share a story about a young person, but I'll spare that for another day. And the power of these housing interventions are really what's going to change the trajectories of our young people's lives and support them to be successful in the future. And that's what we want for all of our young people.
- Kimberly Lewis
Person
And it's a way for us to really chip away at the unsheltered numbers of our young people who are sleeping at the street. California has 70.5% of our young people counted that are unsheltered. And so this is a Bill to really solve that challenge. And we really want you to say yes today and know that when we invest in our young people, we're investing in them. And we believe in them. We believe in our future. So appreciate an Aye vote. Thank you.
- Rosilicie Ochoa Bogh
Legislator
Thank you very much. Now we're going to move forward and. Oh one more support. Sorry.
- Isabeau 'Izzy' C. Swindler
Person
Sorry. I was giving her the space. Izzy Swindler, on behalf of the California Academy of Child and Adolescent Psychiatry, in support, as well as California State Association of Psychiatrists, in support. Thanks
- Rosilicie Ochoa Bogh
Legislator
Thank you.
- Susanna Kniffen
Person
And Susanna Kniffen with Children Now, in support.
- Rosilicie Ochoa Bogh
Legislator
Thank you. Do we have any other witnesses in support of SB 456 here in Room 1200? Seeing none. We'll now move on to lead witnesses in opposition. Let's hear from opposition witnesses in Room 1200. Seeing none. That's great thing. Thank you. We'll now move on to witnesses waiting to testify via the teleconference service. We will be limiting phone testimony to 20 minutes for all bills during this hearing.
- Committee Moderator
Person
If you are in support or opposition of SB 456, it is one, then zero. We'll start with line number 45.
- Tiffany Phan
Person
Chair and Members, Tiffany Phan, on behalf of California Court-Appointed Special Advocates Association, or CalCASAA, in support of SB 456. Thank you.
- Committee Moderator
Person
Thank you. Next we will go to line number 351.
- Unidentified Speaker
Person
Three other callers.
- Committee Moderator
Person
351.
- Andre Castanovo
Person
Hello.
- Committee Moderator
Person
Go ahead.
- Andre Castanovo
Person
Hi, my name is Andre Castanovo, carpenter of Local 180. I'm in support of SB 21.
- Committee Moderator
Person
Thank you. Next we will go to line number 32. Please go ahead.
- Allison Shellard
Person
Hi, Allison Shellard in Los Angeles in strong support. Thank you so much.
- Committee Moderator
Person
Thank you. Next we will go to line number 405.
- Colleen Pagter
Person
Hi, this is Colleen Pagter on behalf of First Place for Youth, in support.
- Committee Moderator
Person
Thank you. And next we will go to line number 398.
- Tyler Rinde
Person
Good evening. Tyler Rinde on behalf of this California Alliance of Child and Family Services, in strong support.
- Committee Moderator
Person
Thank you. And we do not have any more in the queue, Madam Chair.
- Rosilicie Ochoa Bogh
Legislator
Thank you. Madam Moderator. Thank you to all our support and opposition witnesses. We'll now bring the discussion back to our Members. Seeing no discussion or questions from our Members. Senator Wiener, would you like to close?
- Scott Wiener
Legislator
On behalf of Senator Menjivar, I respectfully ask for an Aye vote.
- Rosilicie Ochoa Bogh
Legislator
Do we have a motion?
- Thomas Umberg
Legislator
I'll move it.
- Rosilicie Ochoa Bogh
Legislator
Thank you, Senator Umberg. We have a motion. Madam Secretary, please call the roll.
- Committee Secretary
Person
This is Senate Bill 456 by Senator Menjivar. The motion is do pass and re-refer to the Committee on Human Services. [Roll call].
- Rosilicie Ochoa Bogh
Legislator
The vote is five to zero. We'll hold the roll open for our absent Members. Thank you. And we're, Chair is back.
- Scott Wiener
Legislator
Okay, I think Senator Skinner will be presenting on behalf of Senator Caballero. And she's on her way back, so we'll just pause as we wait. Caballero is coming back, right?
- Unidentified Speaker
Person
What about the other Bill? Isn't there one more?
- Scott Wiener
Legislator
Is Caballero coming back?
- Unidentified Speaker
Person
Her stuff is here.
- Scott Wiener
Legislator
Did she? Did Caballero vote?
- Scott Wiener
Legislator
Did Caballero vote for 423?
- Committee Secretary
Person
Oh there's Skinner.
- Committee Secretary
Person
She was out. Yeah.
- Scott Wiener
Legislator
Okay, so we have two bills by Senator Caballero that will be presented by Senator Skinner. We'll start with item five, SB 37.
- Nancy Skinner
Person
Thank you. Chair and Members pleased to present SB 37 on behalf of Senator Caballero. SB 37 will create a program to provide housing subsidies to older adults and adults with disabilities who are either experiencing, or are at risk of experiencing homelessness.
- Nancy Skinner
Person
We know that folks who are older or rather, Californians who are older or with disabilities are finding it increasingly difficult to afford the high cost of housing, and with their fixed incomes that they live on are inadequate to cover rising rents. For extremely low-income renters, roughly eight out of 10 spend more than 50% of their monthly income on rent. People with disabilities comprise about 46% of those who experience homelessness.
- Nancy Skinner
Person
And African American households are more than five times as likely to experience homelessness as compared to general population of Californians. So while there are programs such as the Home Safe Program and the Homeless Disability program, there is no comprehensive state program to provide housing subsidies for older and disabled adults who are on fixed incomes. And housing vouchers such as Section Eight and other things like that often can take years for applicants to access.
- Nancy Skinner
Person
As most of us know, they have long waiting lists, and they only accommodate a fraction of eligible applicants. So what SB 37 does is provide a rent subsidy targeted to those older adults and the adults with disabilities who are homeless or at high risk of falling into homelessness. It establishes the older adults and adults with disability. Housing Stability Act within the Department of Housing and Community Development to administer and offer competitive grants to nonprofit organizations, continuums of care, and other organizations that can provide this service.
- Nancy Skinner
Person
And the grantees will provide subsidies to help older adults and adults with disabilities remain housed, with the subsidies covering the difference between 30% of a household's income and the unit's reasonable rent. And by investing in subsidies such as this, we can help these Californians who deserve to be housed. And with that, I would like to have Dr. Margot Kushel, who is a researcher on homelessness, and Sharon Rapport, from the California State Policy for the Corporation for Supportive Housing be the witnesses.
- Margot Kushel
Person
Thank you. Senator Skinner, nice to see you again. I'm Margot Kushel from UCSF. So we know that California's homeless population is aging. In our recent statewide study of homelessness, almost half of all adults experiencing homelessness in the state are now 50 and older. We know from our research that adults who are 50 and older and homeless have health problems much more similar to those of adults in their 70s and 80s. And approximately half of them first become homeless after 50.
- Margot Kushel
Person
These are not folks with a lot of significant substance use and mental health problems, but their health is terrible. Very high use of emergency departments, very high use of hospitalizations, prolonged and avoidable stays in nursing homes, and they die at three and a half times the rate that they would be expected had they been housed. California's housing affordability crisis disproportionately impacts older adults. They're more likely to be severely cost burdened, and this disproportionately affects older black Californians as well.
- Margot Kushel
Person
We'll say in our longitudinal study of older homeless adults, the good news is 80% became rehoused over the course of the study. The bad news is 50% of those who regained housing became homeless again within about a year of becoming of regaining their housing. The only thing that prevented that was subsidies. The folks with subsidies stayed housed. Everyone else just returned. Nearly everyone else returned to the streets. Homelessness among older adults is reaching crisis proportions in our states.
- Margot Kushel
Person
Subsidies for these individuals at a high risk of homelessness and those who recently exited homelessness are an evidence-based way to prevent this catastrophe. We'd be happy to take any questions. If you have them.
- Margot Kushel
Person
Good afternoon, Chair and Members. I'm Sharon report with the Corporation for Supportive Housing, a national nonprofit working to solve homelessness. We are one of five sponsors of SB 37. SB 37 offers proven interventions to achieving the California Master Plan for Aging goal of preventing and ending homelessness among older adults. As the analysis suggested and Dr. Kushell mentioned, housing subsidies are one of the most successful interventions in preventing and solving homelessness. Unlike other state programs, SB 37 uses a flexible approach to providing housing subsidies.
- Margot Kushel
Person
It can fund shallow subsidies to allow people on fixed incomes to remain housed, and a few local programs follow this model of funding subsidies and have found that as little as $200 a month can keep somebody in housing stably for the rest of their lives. It also allows local grantees to offer deep subsidies to those who are experiencing homelessness. The most challenging task of crafting a prevention program is identifying people who would become homeless without the assistance.
- Margot Kushel
Person
So SB 37 uses data from the California Policy Lab to identify risk factors and predictors and identify people most likely to fall into homelessness. In this way, SB 37 is unique, as it dedicates resources to those truly at risk of homelessness. Through one-time funding, the program would serve tens of thousands of older adults and people with disability at their greatest risk of becoming homeless, dissimilar to other state programs. Finally, this program calls on the state to connect participants to federal vouchers, further making this program unique.
- Margot Kushel
Person
We appreciate Senator Caballo's leadership and Senator Skinners on this Bill, and we ask for your Aye vote. Thank you.
- Scott Wiener
Legislator
Okay, additional support.
- Scott Wiener
Legislator
Mahdi Manji with Inner City Law Center. We're Skid Row's pro bono legal service provider, and we serve homeless folks throughout L.A. County. Very excited to support this Bill.
- Cynthia Castillo
Person
Cynthia Castillo, on behalf of Western Center on Law and Poverty, in support.
- Isabeau 'Izzy' C. Swindler
Person
Izzy Swindler. On behalf of Madera County Board of Supervisors, in support. Thanks.
- Rebecca Marcus
Person
Rebecca Marcus on behalf of two of the bill's co-sponsors, Leading Age California and Justice in Aging. Thank you.
- Amber Leslie
Person
Amber Lee Leslie with Housing California, in support of SB 37.
- Mark Stivers
Person
Mark Stivers with the California Housing Partnership, in support. Thank you.
- Brian Leahy
Person
Brian Leahy, AARP volunteer on behalf of our 3.2 million members, in support.
- Scott Wiener
Legislator
Thank you. Any additional support in the room? Seeing none. Is there any opposition to this Bill? We have no registered opposition, but anyone here in opposition? Okay, seeing none, we'll open the phone line. Will the moderator please see if there's anyone on the lines for this Bill?
- Committee Moderator
Person
If you are in support or opposition of SB 37, it's one, then zero. And we will start with line number 132. Line number 132, your line is open. We will move on to the next here. And it is line number 406. Please go ahead.
- Teresa Anderson
Person
Good afternoon, Mr. Chair and Members. Teresa Anderson, on behalf of the ARC and United Cerebral Palsy, California Coalition Collaboration. Excuse me. And we are in support of this Bill. Thank you.
- Committee Moderator
Person
Thank you. And we do not have any more in queue, Mr. Chair.
- Scott Wiener
Legislator
Okay, we'll bring it back to the Committee. Any questions or comments, colleagues? Senator Blakespear.
- Catherine Blakespear
Legislator
I appreciated the information that you shared, Senator Skinner, and also the testimony today. It was all very persuasive, and I'm really excited about supporting this Bill. Thank you.
- Scott Wiener
Legislator
Is that a motion?
- Catherine Blakespear
Legislator
It's a motion.
- Scott Wiener
Legislator
Okay, great. We have a motion by Senator Blakespear. Any other questions or comments? Seeing none, you may close.
- Nancy Skinner
Person
On behalf of Senator Caballero, I ask for your Aye vote.
- Scott Wiener
Legislator
Terrific. We will call the roll, and I'm recommending an Aye vote.
- Committee Secretary
Person
This is Senate Bill 37 by Senator Caballero. Motion is do pass and re-refer to the Committee on Human Services. [Roll call].
- Scott Wiener
Legislator
Okay, the vote is seven to zero. We'll put that bill on call for absent Members. We're now going to move to our final Bill, SB 225, by Senator Caballero. It will also be presented by Senator Skinner. You may present.
- Nancy Skinner
Person
Thank you, Mr. Chair Members pleased to present SB 225 on behalf of Senator Caballero. The bill creates the Community Anti-displacement and Preservation program, or CAP, within the Department of Housing and Community Development, and that program will provide financial resources and technical capacity building to community organizations and local jurisdictions that wish to acquire unsubsidized housing from the speculative market where the residents in that housing are at risk for displacement, and then, after the purchase, would preserve it as affordable rental housing or home ownership opportunity.
- Nancy Skinner
Person
A large majority of low income Californians live in unsubsidized affordable housing, housing which is privately owned and currently somewhat affordable to low income households. But, of course, over time, may not be or could be sold and might not be. So, due to a variety of reasons, this unsubsidized affordable housing is rapidly disappearing. In response, local communities have begun to acquire it and preserve it. The strategy is known as acquisition rehabilitation, or acq rehab.
- Nancy Skinner
Person
Now, under this new program, CAP, HCD would administer a program to provide grants and loans for applicants and eligible borrowers, such as nonprofits or local public entities, such as housing trusts, to help offset the cost to acquire and rehabilitate unsubsidized market rate housing.
- Nancy Skinner
Person
SB 225 also creates a technical assistance program to support CAP borrowers by providing peer-to-peer learning and consultation to assist with resident engagement in education, property assessment, affordable housing operations, and a spectrum of ownership and stewardship models so that any borrowers under the CAP program can be successful. So this is an innovative partnership that will help preserve housing that is currently affordable but is not in any kind of program.
- Nancy Skinner
Person
To preserve its long term affordability and to testify in support, we have Justine Marcus from the Enterprise Community Partners and Amber-Lee Leslie with Housing California.
- Scott Wiener
Legislator
Welcome.
- Justine Marcus
Person
Thank you, Senator Skinner, and thank you, Mr. Chair and Committee Members. My name is Justine Marcus, and I'm the Policy Director with Enterprise Community Partners in our Northern California office. Enterprise is a national nonprofit that develops technical and capacity building programs, advocates for policies, and delivers the capital to create and preserve affordable housing for low income families. We're proud to cosponsor SB 225, authored by Senator Caballero, to create the CAP program through enterprises work both in California and across the country.
- Justine Marcus
Person
We've seen firsthand that there's no silver bullet to addressing our housing and homelessness crisis. We need a comprehensive approach and preservation. Specifically, acquisition rehab, which is the focus of this bill, is an important tool in the state's toolbox to promote affordability, prevent displacement, and prevent homelessness. In communities across the state, local nonprofit organizations, community land trusts, cities, housing authorities have been doing this type of innovative acquisition work for over a decade.
- Justine Marcus
Person
As the Senator described, these organizations are purchasing rental housing from the private market where low income households live today and preserving it as deed restricted affordable housing for the long term. CAP was envisioned and designed based on the lessons learned and best practices from these local efforts.
- Justine Marcus
Person
The design of this program is grounded in this engagement with local practitioners as well as lessons learned from other state programs at the Housing Community Development Department. We modeled this program off of the success of HCD's Golden State Acquisition Fund, which for over a decade has provided acquisition capital for land to build new housing.
- Justine Marcus
Person
CAP is designed in this model as a partnership between HCD and nonprofit lenders who can distribute program funds quickly and efficiently to the nonprofits and public sector partners that need to purchase these residential buildings at the speed of the private market. These nonprofit developers, community based organizations, housing authorities will then manage these buildings as deed restricted affordable housing, either rental or home ownership. We like to say acquisition preservation is a two bird, one seed approach.
- Justine Marcus
Person
The program both prevents displacement and homelessness for residents living in these buildings today, while also growing our supply of deed restricted affordable homes for decades to come. It is a fast and efficient strategy, with deals closing in months rather than years, and also often has cost efficiencies relative to new construction. We hear from our local partners regularly about the impact of their acquisition rehab efforts, the families who are able to stay in their communities close to jobs and schools.
- Justine Marcus
Person
But we also hear about the missed opportunities, the community minded landlord, for example, who's approaching retirement and wants to ensure the stability of their tenants and sell to a nonprofit organization rather than an institutional investor. But there's not currently a state program for these organizations to utilize in these instances. SB 225 and CAP were designed to fill this gap, and we respectfully urge your aye vote to support continuing to move this bill forward and this conversation forward this year. Happy to answer any questions. Thank you.
- Scott Wiener
Legislator
Go ahead.
- Amber-Lee Leslie
Person
Thank you. Chair Wiener, Members of the Committee, my name is Amber-Lee Leslie. I'm a legislative advocate with Housing California. We're one of the proud co sponsors of this bill. Housing California, we're a statewide advocacy organization that brings together a diverse, multi sector network to prevent and end homelessness, increase the supply of safe, stable, affordable housing options, and reverse the legacy of racial and economic injustice. And we accomplish our work by building power among the people most impacted by the housing injustice and advocating for statewide policy solutions.
- Amber-Lee Leslie
Person
So the idea before you today, the CAP program was born from the work of the Stable Homes California Coalition, of which our organizations are apart, Enterprise Community Partners in housing California. To create housing policy solutions that responded to the economic strains placed upon vulnerable communities at the height of the pandemic. Since 2020, our coalition of CAP supporters has grown to include community development corporations, community land trusts, nonprofit housing developers, and tenant advocacy groups. And so far, 95 organizations have endorsed the CAP program.
- Amber-Lee Leslie
Person
CAP utilizes a strategy for growing California's housing stock that was popularized by Project Homekey. But CAP is unique because it provides critical resources to protect existing housing units without long term affordability covenants from being lost to the speculative housing market.
- Amber-Lee Leslie
Person
I just want to share a bit of data that is going to be forthcoming in a report from one of the Stable Homes Coalition Members, the California Housing Partnership, they estimate that over 120,000 multifamily NOAH properties lost their affordability in just the last two years since we as a coalition have been working on this policy, and most of those have been in Southern California, in the Bay Area, in Fresno and San Diego, and also here in Sacramento.
- Amber-Lee Leslie
Person
So the Legislature must continue to invest in programs that keep more housing and create more housing. CAP will keep low income Californians in their homes and increase the supply of affordable housing more swiftly than the more swiftly and effectively than new production. Therefore, we respectfully urge your aye vote and thank you for indulging me at 534.
- Scott Wiener
Legislator
No problem. Thank you.
- Mark Stivers
Person
Mark Stivers, the California Housing Partnership, in support of this innovative approach to keep affordable what we already have. Thank you.
- Mahdi Manji
Person
Mahdi Manji with Inner City Law Center in strong support of SB 225.
- Cynthia Castillo
Person
Cynthia Castillo, on behalf of Western Center on Law and Poverty in support.
- Eddie Carmona
Person
Eddie Carmona, Campaigns Director at PICO California in strong support of SB 225.
- Sharon Rapport
Person
Sharon Rapport with the Corporation for Support of Housing in strong support.
- Andrés Ramos
Person
Good evening. Chair and Members. Andres Ramos, on behalf of Public Advocates as co sponsors of SB 225 in strong support. Thank you.
- Graciela Castillo-Krings
Person
Good afternoon, Mr. Chair, and Members Graciela Castillo-Krings here on behalf of Silicon Valley at Home Action Fund in strong support.
- Abram Diaz
Person
Abram Diaz with the Nonprofit Housing Association Northern California, in support.
- Michael Gunning
Person
Mr. Chair and Members, Michael Gunning here on behalf of SPUR Habitat for California and also United Way of Los Angeles in support. Thank you.
- Scott Wiener
Legislator
Thank you. Any other support? Okay, seeing none, we'll go to opposition. We have no registered opposition, but if there is opposition, please come forward. Okay, seeing none, we'll go to the phone lines. Will the moderator please queue up any public comment on the phone?
- Committee Moderator
Person
If you are in support or opposition of SB 225, it is one, then zero. And we will start with line number 409. 409 your line is open. Okay, we will move to the next line of 410. Please go ahead.
- Ray Huang
Person
Hi, can you hear me?
- Committee Moderator
Person
Go ahead.
- Ray Huang
Person
Hi, this is Reverend Ray Huang speaking for Housing Now, which is a housing justice coalition. We have 150 organizations across the State of California in strong support. Also, I am getting a strong support from Orange County.
- Committee Moderator
Person
Thank you. We will go to line 404. Please go ahead. And line number 404, your line is open. Okay, we will move to line number 408, please go ahead.
- Galen Dobbins
Person
Thank you. Chair and Members Galen Dobbins with the California Coalition for Rural Housing. Strong support.
- Committee Moderator
Person
And we have 409.
- Dante Golden
Person
Thank you, Chair Wiener and Committee Members. Dante Golden with the San Diego Housing Federation. We're in strong support of SB 225. Thank you.
- Committee Moderator
Person
Thank you. And we do not have any more in queue, Mr. Chair.
- Scott Wiener
Legislator
Okay, we'll bring it back to the Committee. Colleagues, any questions or comments about this bill? Senator Blakespear?
- Catherine Blakespear
Legislator
Yes, I'll move.
- Scott Wiener
Legislator
Okay. Motion by Senator Blakespear. Anything else? Great. Oh, yes, Senator Ochoa Bogh.
- Rosilicie Ochoa Bogh
Legislator
I just have a question. So with this bill known as the acquisition of rehab, it's a fast and cost effective way to increase supply of affordable homes in California. So what we're doing is we're taking what would be in regular housing homes and placing them in this category that becomes affordable. So it's not increasing the supply. Right. It's just. It's just shifting from one area to another area.
- Nancy Skinner
Person
Sure, I can answer. It would take it out of the speculative market. So in other words, it is housing now. And I'm sure all of us know of some properties in our areas where, for whatever reason, the owners have kept them affordable. Either sometimes it's absentee owner, sometimes it's an owner with lots of properties. But when they sell, maybe it then is brought up to a market level and the people who are living there can no longer afford.
- Nancy Skinner
Person
So what this would do is create a program to help support those entities that want to purchase these type of properties. And already in my district, we have a number of community land trusts that have been doing this for some time. And so we have a number of properties that are now permanently affordable or 35 year deed restricted and such that where then the tenants are able to afford it and know have confidence that they're going to be able to afford it for a long term. So, yes, it does not increase supply. However, it keeps certain housing that otherwise wouldn't be affordable.
- Rosilicie Ochoa Bogh
Legislator
But they're affordable because we're subsidizing.
- Nancy Skinner
Person
Not necessarily, no. It's more that we are supporting those entities that want to try to purchase this type of program, this type of building. There might be.
- Rosilicie Ochoa Bogh
Legislator
I'm trying to understand the concept.
- Nancy Skinner
Person
Yes, it would initially help. So if I'm the land trust, for example, the way the program is constructed, that if it succeeds and is approved and signed into law, that there might be grants or loans to that land trust, for example, or another entity that is trying to buy that. It's not an ongoing subsidy. It's not something that continues to be subsidized over time. It's more the initial helps them do the initial acquisition or the initial rehab.
- Rosilicie Ochoa Bogh
Legislator
So the grants make it so that it becomes affordable.
- Nancy Skinner
Person
It enables the entity who's trying to purchase it to purchase it or rehab it, then the entity itself does the deed restriction that keeps it affordable.
- Rosilicie Ochoa Bogh
Legislator
Okay, thank you.
- Scott Wiener
Legislator
We're good. Okay, any other questions or comments? Okay, seeing them, we have a motion by Senator Blakespear. And Senator Skinner, you may close.
- Nancy Skinner
Person
I will take the answer and what my description of my own experience with such a thing is as my close on behalf of Senator Caballero and ask for your aye vote.
- Scott Wiener
Legislator
Great. We will call the roll.
- Committee Secretary
Person
This is Senate Bill 225 by Senator Caballero. A motion is do pass and rerefer the Committee on governmental organization. [Roll Call].
- Scott Wiener
Legislator
Seven to zero. We'll put that on call. Okay, we're going to have to keep things on call, but let's open the roll now on all bills so that Members can leave if they haven't voted. So we'll start reception. Okay, so we're going to lift the calls. We'll start with item one, SB 4. Please call the absent Members.
- Committee Secretary
Person
[Roll Call]. That's nine to one.
- Scott Wiener
Legislator
Okay, so everyone has voted. Senator McGuire will not be. Will not be here. So the vote on SB four is nine to one. That Bill is out. We'll next go to item number two. SB 423. Please call the absent Members.
- Committee Secretary
Person
Senator Caballero. Mcguire. Padilla.
- Steve Padilla
Legislator
Aye.
- Committee Secretary
Person
Padilla aye. Umberg. Umberg aye.
- Scott Wiener
Legislator
Okay, we'll put that back on call. zero, please call the absent Members.
- Committee Secretary
Person
Senator Caballero.
- Committee Secretary
Person
Caballero aye. Nine to one.
- Anna Caballero
Legislator
Aye.
- Scott Wiener
Legislator
Okay, SB 423. The vote is nine to one. That Bill is out. We'll next go to item number three, SB 341 by Senator Becker. Please call the absent Members.
- Committee Secretary
Person
Senator Caballero. Caballero aye. Cortese.
- Committee Secretary
Person
Cortese aye. Mcguire. Padilla.
- Dave Cortese
Legislator
Aye.
- Steve Padilla
Legislator
Aye.
- Committee Secretary
Person
Padilla aye. Skinner. Skinner aye. Wahab. Wahab aye. 10 to zero.
- Scott Wiener
Legislator
Okay, so that vote is 10 to zero. SB 341 is out. We'll now go to item number four, SB 456 by Senator Menjivar. Menjivar, please call the absent Members.
- Committee Secretary
Person
Senator Caballero. Caballero aye. Cortese. Cortese aye. McGuire. Padilla. Padilla aye. Skinner. Skinner aye. Wahab. Wahab aye. 10 to zero.
- Scott Wiener
Legislator
Okay, the vote is 10 to zero. That Bill is out. Next, item number five. SB 37 by Senator Caballero. Please call the absent Members.
- Committee Secretary
Person
Senator Caballero. Caballero aye. McGuire. Padilla. Padilla aye. Wahab. Wahab aye. 10 to zero.
- Scott Wiener
Legislator
The vote is 10 to zero. That Bill is out. And finally, SB six. Excuse me. Item number six. SB 225 by Senator Caballero. Please call the absent Members.
- Committee Secretary
Person
Senator Ochoa Bogh. Caballero. Caballero aye. McGuire. Seyarto, eight to zero.
- Scott Wiener
Legislator
Who stayed off. Other than. Okay, that vote is eight to zero, and that Bill is out. Wonderful. 4 hours and 15 minutes. Not too bad. I want to thank all the Members for persevering through a lengthy hearing, a very good discussion, I think. I want to thank our staff for, as always, doing an amazing job, and all of the supporters and opponents of all the bills who came out today. Thank you, everyone. And with that, this hearing is adjourned.
Bill SB 4
Planning and zoning: housing development: higher education institutions and religious institutions.
View Bill DetailCommittee Action:Passed
Next bill discussion: May 15, 2023