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<ns0:Description>
<ns0:Id>20250SB__001696AMD</ns0:Id>
<ns0:VersionNum>96</ns0:VersionNum>
<ns0:History>
<ns0:Action>
<ns0:ActionText>INTRODUCED</ns0:ActionText>
<ns0:ActionDate>2024-12-02</ns0:ActionDate>
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<ns0:Action>
<ns0:ActionText>AMENDED_SENATE</ns0:ActionText>
<ns0:ActionDate>2025-03-25</ns0:ActionDate>
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<ns0:Action>
<ns0:ActionText>AMENDED_SENATE</ns0:ActionText>
<ns0:ActionDate>2025-04-24</ns0:ActionDate>
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<ns0:Action>
<ns0:ActionText>AMENDED_ASSEMBLY</ns0:ActionText>
<ns0:ActionDate>2025-06-23</ns0:ActionDate>
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<ns0:LegislativeInfo>
<ns0:SessionYear>2025</ns0:SessionYear>
<ns0:SessionNum>0</ns0:SessionNum>
<ns0:MeasureType>SB</ns0:MeasureType>
<ns0:MeasureNum>16</ns0:MeasureNum>
<ns0:MeasureState>AMD</ns0:MeasureState>
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<ns0:AuthorText authorType="LEAD_AUTHOR">Introduced by Senator Blakespear</ns0:AuthorText>
<ns0:Authors>
<ns0:Legislator>
<ns0:Contribution>LEAD_AUTHOR</ns0:Contribution>
<ns0:House>SENATE</ns0:House>
<ns0:Name>Blakespear</ns0:Name>
</ns0:Legislator>
</ns0:Authors>
<ns0:Title>An act to amend Section 65584.04 of the Government Code, to add and repeal Article 3 (commencing with Section 50245) of Chapter 6.5 of Part 1 of Division 31 of the Health and Safety Code, and to amend Section 214 of the Revenue and Taxation Code, relating to homelessness.</ns0:Title>
<ns0:RelatingClause>homelessness</ns0:RelatingClause>
<ns0:GeneralSubject>
<ns0:Subject>Ending Street Homelessness Act.</ns0:Subject>
</ns0:GeneralSubject>
<ns0:DigestText>
<html:p>
(1)
<html:span class="EnSpace"/>
Existing law, the Planning and Zoning Law, requires each county and each city to adopt a comprehensive, long-term general plan for the physical development of the county or city, and specified land outside its boundaries, that includes, among other specified mandatory elements, a housing element. Existing law requires the housing element to consist of an identification and analysis of existing and projected housing needs and a statement of goals, policies, quantified objectives, financial resources, and scheduled programs for the preservation, improvement, and development of housing, as provided. Existing law requires each city, county, and city and county to revise its housing element according to a specified schedule, as provided.
</html:p>
<html:p>Existing law, for the 4th and subsequent revisions of the housing element, requires the Department of Housing and Community Development to determine the existing and projected need for housing for each region, and requires the appropriate council of governments, or the department for cities and counties without a council of governments, to adopt a final regional housing need plan that allocates a share of the regional housing need to each city, county, or city and county, as provided. At least 2 years before a scheduled revision of the housing element, as specified, existing law requires each council of governments, or delegate subregion as applicable, to develop, in consultation with the department, a proposed methodology for distributing the existing and projected regional housing need to jurisdictions, as specified. Existing law requires that the final allocation plan ensure that the total regional housing need, by income category, determined as specified, is
maintained, and that each jurisdiction in the region receive an allocation of units for low- and very low income households. For the 7th and subsequent revisions of the housing element, existing law also requires that the allocation to each region include an allocation of units for acutely low and extremely low income households.</html:p>
<html:p>This bill, until January 1, 2032, would require the council of governments, or delegate subregion, as applicable, in developing the proposed allocation methodology that allocates each jurisdiction’s share of the regional housing need for acutely low income housing, to count any newly constructed interim housing, as specified, as meeting the needs of acutely low income households. By imposing additional duties on local governments, this bill would impose a state-mandated local program.</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Existing law establishes the Homeless Housing, Assistance, and Prevention: (HHAP) program, administered by the Interagency Council on Homelessness, with respect to rounds 1 through 5, inclusive, of the program, and the Department of Housing and Community Development, with respect to round 6 of the program, for the purpose of providing jurisdictions, as defined, with one-time grant funds to support regional coordination and expand or develop local capacity to address their immediate homelessness challenges, as specified. Existing law also requires the department to administer various other programs intended to promote the development or rehabilitation of housing, including the No Place Like Home Program, pursuant to which the department is required to award up to $2,000,000,000 among counties to finance capital costs, including, but not limited to, acquisition, design, construction, rehabilitation, or preservation, and to capitalize operating
reserves, of permanent supportive housing for the target population, as specified.
</html:p>
<html:p>Upon appropriation by the Legislature, this bill would establish round 7 of the HHAP program. To be eligible for a round 7 or subsequent base program allocation, the bill would require an applicant to be eligible for a round 6 base allocation and submit to the department a housing now action plan that includes specified information, including, among other things, a description of key actions that will be taken within the applicant’s region to sustain the operation of interim living spaces, as defined, built pursuant to this plan. The bill would require the department to develop guidance and the housing now action plan application within 90 days. The bill would require the department to review and make a determination of conformity upon completion of the application for round 7 of the program and submission of the housing now action plan. The bill would make an applicant with a housing
now action plan approved by the department additionally eligible for funding pursuant to specified housing and homelessness funding sources the department administers, including the No Place Like Home Program, to pay for capital and operating subsidies for interim living spaces. The bill would only authorize the department to allocate a round 7 or subsequent base program allocation to a participating jurisdiction that has enacted an encampment resolution ordinance, as specified, and would require each county and each city that submits a housing now action plan to sign a memorandum of understanding that commits the participating jurisdiction to participation, and compliance with, the housing now action plan, among other things. The bill would authorize smaller jurisdictions in the region to sign the memorandum of understanding and commit to participation in, and compliance with, its requirements, and would encourage counties to allocate resources from program funding to these smaller jurisdictions.</html:p>
<html:p>The bill would require the department to determine each region’s 5-year housing inventory expansion target, as provided, and to develop a schedule for each region for the 2026–27 fiscal year through the 2030–31 fiscal year, inclusive. The bill would require each region, at the end of each fiscal year, to expand its homeless habitation capacity until it achieves its 5-year housing inventory expansion target in accordance with the schedule established by the department.</html:p>
<html:p>The bill would require the department to prepare and submit to the Legislature an annual report summarizing what is necessary to continue achieving functional zero unsheltered homelessness, as defined. The bill would repeal these provisions on January 1, 2032.</html:p>
<html:p>
The No Place Like Home Program was ratified and amended by the No Place Like Home Act of 2018, approved by the voters as Proposition 2 at the November 6, 2018,
statewide general election. Existing law authorizes the Legislature to amend Proposition 2 by a
<ns0:Fraction>
<ns0:Numerator>2</ns0:Numerator>
<ns0:Denominator>3</ns0:Denominator>
</ns0:Fraction>
vote, so long as the amendment is consistent with and furthers the intent of that measure.
</html:p>
<html:p>The bill would state the finding of the Legislature that these provisions are consistent with, and further the intent of, the No Place Like Home Act.</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
The California Constitution provides that all property is taxable, and requires that it be assessed at the same percentage of fair market value, unless otherwise provided by the California Constitution or federal law. Existing property tax law, in accordance with the California Constitution, provides for a welfare exemption for property used exclusively for
religious, hospital, scientific, or charitable purposes and that is owned or operated by certain types of nonprofit entities, if certain qualifying criteria are met. Existing property tax law provides a partial welfare exemption for rental housing and related facilities and owned and operated by certain types of nonprofit entities that meet all of the requirements of welfare exemption, or by certain veterans’ organizations, as provided.
</html:p>
<html:p>This bill, for property tax lien dates occurring on or after January 1, 2026, and before January 1, 2032, would deem property to be within the welfare exemption if (A) that property is owned and operated by a religious, hospital, scientific, or charitable fund, foundation, limited liability company, or corporation meeting specified requirements and (B) the property is used exclusively for interim housing, as defined. By expanding the duties of local tax officials, this bill would impose a state-mandated local program.</html:p>
<html:p>Existing law requires any bill authorizing a new tax expenditure to contain, among other things, specific goals, purposes, and objectives that the tax expenditure will achieve, detailed performance indicators, and data collection requirements.</html:p>
<html:p>This bill would include additional information required for any bill authorizing a new tax expenditure.</html:p>
<html:p>Existing law requires the state to reimburse local agencies annually for certain property tax revenues lost as a result of any exemption or classification of property for purposes of ad valorem property taxation.</html:p>
<html:p>This bill would provide that, notwithstanding those provisions, no appropriation is made and the state shall not reimburse local agencies for property tax revenues lost by them pursuant to the bill.</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
The bill would include findings that certain changes proposed by this bill address a matter of statewide concern rather than a municipal affair and, therefore, apply to all cities, including charter cities.
</html:p>
<html:p>
(5)
<html:span class="EnSpace"/>
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement
</html:p>
<html:p>This bill would provide that with regard to certain mandates no reimbursement is required by this act for a specified reason.</html:p>
<html:p>With regard to any other mandates, this bill would provide that, if the Commission on State Mandates determines that the bill contains costs so mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.</html:p>
</ns0:DigestText>
<ns0:DigestKey>
<ns0:VoteRequired>TWO_THIRDS</ns0:VoteRequired>
<ns0:Appropriation>NO</ns0:Appropriation>
<ns0:FiscalCommittee>YES</ns0:FiscalCommittee>
<ns0:LocalProgram>YES</ns0:LocalProgram>
</ns0:DigestKey>
<ns0:MeasureIndicators>
<ns0:ImmediateEffect>NO</ns0:ImmediateEffect>
<ns0:ImmediateEffectFlags>
<ns0:Urgency>NO</ns0:Urgency>
<ns0:TaxLevy>NO</ns0:TaxLevy>
<ns0:Election>NO</ns0:Election>
<ns0:UsualCurrentExpenses>NO</ns0:UsualCurrentExpenses>
<ns0:BudgetBill>NO</ns0:BudgetBill>
<ns0:Prop25TrailerBill>NO</ns0:Prop25TrailerBill>
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</ns0:Description>
<ns0:Bill id="bill">
<ns0:Preamble>The people of the State of California do enact as follows:</ns0:Preamble>
<ns0:BillSection id="id_96F4920D-AB0F-4658-ABA9-AA4B160FD26A">
<ns0:Num>SECTION 1.</ns0:Num>
<ns0:Content>
<html:p>This act shall be known, and may be cited, as the Ending Street Homelessness Act.</html:p>
</ns0:Content>
</ns0:BillSection>
<ns0:BillSection id="id_50FA91D6-D7C0-471F-843F-64365F5E46EC">
<ns0:Num>SEC. 2.</ns0:Num>
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Section 65584.04 of the
<ns0:DocName>Government Code</ns0:DocName>
is amended to read:
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<ns0:LawSection id="id_547CDEDF-758E-4474-9002-CC98C89F0560">
<ns0:Num>65584.04.</ns0:Num>
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<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
At least two years before a scheduled revision required by Section 65588, each council of governments, or delegate subregion as applicable, shall develop, in consultation with the department, a proposed methodology for distributing the existing and projected regional housing need to cities, counties, and cities and counties within the region or within the subregion, where applicable pursuant to this section. The methodology shall further the objectives listed in subdivision (d) of Section 65584.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
No more than six months before the development of a proposed methodology for distributing the existing and projected housing need, each council of governments shall survey each of its member jurisdictions to request, at a minimum,
information regarding the factors listed in subdivision (e) that will allow the development of a methodology based upon the factors established in subdivision (e).
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
With respect to the objective in paragraph (5) of subdivision (d) of Section 65584, the survey shall review and compile information that will allow the development of a methodology based upon the issues, strategies, and actions that are included, as available, in an Analysis of Impediments to Fair Housing Choice or an Assessment of Fair Housing completed by any city or county or the department that covers communities within the area served by the council of governments, and in housing elements adopted pursuant to this article by cities and counties within the area served by the council of governments.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
The council of governments shall seek to obtain the information in a manner and format that is comparable
throughout the region and utilize readily available data to the extent possible.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
The information provided by a local government pursuant to this section shall be used, to the extent possible, by the council of governments, or delegate subregion as applicable, as source information for the methodology developed pursuant to this section. The survey shall state that none of the information received may be used as a basis for reducing the total housing need established for the region pursuant to Section 65584.01.
</html:p>
<html:p>
(5)
<html:span class="EnSpace"/>
If the council of governments fails to conduct a survey pursuant to this subdivision, a city, county, or city and county may submit information related to the items listed in subdivision (e) before the public comment period provided for in subdivision (d).
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
The council of governments shall
electronically report the results of the survey of fair housing issues, strategies, and actions compiled pursuant to paragraph (2) of subdivision (b). The report shall describe common themes and effective strategies employed by cities and counties within the area served by the council of governments, including common themes and effective strategies around avoiding the displacement of lower income households. The council of governments shall also identify significant barriers to affirmatively furthering fair housing at the regional level and may recommend strategies or actions to overcome those barriers. A council of governments or metropolitan planning organization, as appropriate, may use this information for any other purpose, including publication within a regional transportation plan adopted pursuant to Section 65080 or to inform the land use assumptions that are applied in the development of a regional transportation plan.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
Public
participation and access shall be required in the development of the methodology and in the process of drafting and adoption of the allocation of the regional housing needs. Participation by organizations other than local jurisdictions and councils of governments shall be solicited in a diligent effort to achieve public participation of all economic segments of the community as well as members of protected classes under Section 12955 and households with special housing needs under paragraph (7) of subdivision (a) of Section 65583. The proposed methodology, along with any relevant underlying data and assumptions, an explanation of how information about local government conditions gathered pursuant to subdivision (b) has been used to develop the proposed methodology, how each of the factors listed in subdivision (e) is incorporated into the methodology, and how the proposed methodology furthers the objectives listed in subdivision (d) of Section 65584, shall be distributed to all cities, counties, any
subregions, and members of the public who have made a written or electronic request for the proposed methodology and published on the council of governments’, or delegate subregion’s, internet website. The council of governments, or delegate subregion, as applicable, shall conduct at least one public hearing to receive oral and written comments on the proposed methodology.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
To the extent that sufficient data is available from local governments pursuant to subdivision (b) or other sources, each council of governments, or delegate subregion as applicable, shall consider including the following factors in developing the methodology that allocates regional housing needs:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Each member jurisdiction’s existing and projected jobs and housing relationship. This shall include an estimate based on readily available data on the number of low-wage jobs within the jurisdiction and how
many housing units within the jurisdiction are affordable to low-wage workers as well as an estimate based on readily available data, of projected job growth and projected household growth by income level within each member jurisdiction during the planning period.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The opportunities and constraints to development of additional housing in each member jurisdiction, including all of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
Lack of capacity for sewer or water service due to federal or state laws, regulations or regulatory actions, or supply and distribution decisions made by a sewer or water service provider other than the local jurisdiction that preclude the jurisdiction from providing necessary infrastructure for additional development during the planning period.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
The availability of land suitable for urban development or for
conversion to residential use, the availability of underutilized land, and opportunities for infill development and increased residential densities. The council of governments may not limit its consideration of suitable housing sites or land suitable for urban development to existing zoning ordinances and land use restrictions of a locality, but shall consider the potential for increased residential development under alternative zoning ordinances and land use restrictions. The determination of available land suitable for urban development may exclude lands where the Federal Emergency Management Agency (FEMA) or the Department of Water Resources has determined that the flood management infrastructure designed to protect that land is not adequate to avoid the risk of flooding.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
Lands preserved or protected from urban development under existing federal or state programs, or both, designed to protect open space, farmland, environmental habitats,
and natural resources on a long-term basis, including land zoned or designated for agricultural protection or preservation that is subject to a local ballot measure that was approved by the voters of that jurisdiction that prohibits or restricts conversion to nonagricultural uses.
</html:p>
<html:p>
(D)
<html:span class="EnSpace"/>
County policies to preserve prime agricultural land, as defined pursuant to Section 56064, within an unincorporated area and land within an unincorporated area zoned or designated for agricultural protection or preservation that is subject to a local ballot measure that was approved by the voters of that jurisdiction that prohibits or restricts its conversion to nonagricultural uses.
</html:p>
<html:p>
(E)
<html:span class="EnSpace"/>
Emergency evacuation route capacity, wildfire risk, sea level rise, and other impacts caused by climate change.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
The distribution of household
growth assumed for purposes of a comparable period of regional transportation plans and opportunities to maximize the use of public transportation and existing transportation infrastructure.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
Agreements between a county and cities in a county to direct growth toward incorporated areas of the county and land within an unincorporated area zoned or designated for agricultural protection or preservation that is subject to a local ballot measure that was approved by the voters of the jurisdiction that prohibits or restricts conversion to nonagricultural uses.
</html:p>
<html:p>
(5)
<html:span class="EnSpace"/>
The loss of units contained in assisted housing developments, as defined in paragraph (9) of subdivision (a) of Section 65583, that changed to non-low-income use through mortgage prepayment, subsidy contract expirations, or termination of use restrictions.
</html:p>
<html:p>
(6)
<html:span class="EnSpace"/>
The percentage of existing households at each of the income levels listed in subdivision (f) of Section 65584 that are paying more than 30 percent and more than 50 percent of their income in rent.
</html:p>
<html:p>
(7)
<html:span class="EnSpace"/>
The rate of overcrowding.
</html:p>
<html:p>
(8)
<html:span class="EnSpace"/>
The housing needs of farmworkers.
</html:p>
<html:p>
(9)
<html:span class="EnSpace"/>
The housing needs generated by the presence of a private university or a campus of the California State University or the University of California within any member jurisdiction.
</html:p>
<html:p>
(10)
<html:span class="EnSpace"/>
The housing needs of individuals and families experiencing homelessness. If a council of governments has surveyed each of its member jurisdictions pursuant to subdivision (b) on or before January 1, 2020, this paragraph shall apply only to the development of methodologies for the seventh and
subsequent revisions of the housing element.
</html:p>
<html:p>
(11)
<html:span class="EnSpace"/>
The loss of units during a state of emergency that was declared by the Governor pursuant to the California Emergency Services Act (Chapter 7 (commencing with Section 8550) of Division 1 of Title 2), during the planning period immediately preceding the relevant revision pursuant to Section 65588 that have yet to be rebuilt or replaced at the time of the analysis.
</html:p>
<html:p>
(12)
<html:span class="EnSpace"/>
The region’s greenhouse gas emissions targets provided by the State Air Resources Board pursuant to Section 65080.
</html:p>
<html:p>
(13)
<html:span class="EnSpace"/>
Any other factors adopted by the council of governments, that further the objectives listed in subdivision (d) of Section 65584, provided that the council of governments specifies which of the objectives each additional factor is necessary to further. The council of governments may
include additional factors unrelated to furthering the objectives listed in subdivision (d) of Section 65584 so long as the additional factors do not undermine the objectives listed in subdivision (d) of Section 65584 and are applied equally across all household income levels as described in subdivision (f) of Section 65584 and the council of governments makes a finding that the factor is necessary to address significant health and safety conditions.
</html:p>
<html:p>
(f)
<html:span class="EnSpace"/>
The council of governments, or delegate subregion, as applicable, shall explain in writing how each of the factors described in subdivision (e) was incorporated into the methodology and how the methodology furthers the objectives listed in subdivision (d) of Section 65584. The methodology may include numerical weighting. This information, and any other supporting materials used in determining the methodology, shall be posted on the council of governments’, or delegate subregion’s, internet
website.
</html:p>
<html:p>
(g)
<html:span class="EnSpace"/>
The following criteria shall not be a justification for a determination or a reduction in a jurisdiction’s share of the regional housing need:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Any ordinance, policy, voter-approved measure, or standard of a city or county that directly or indirectly limits the number of residential building permits issued by a city or county.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Prior underproduction of housing in a city or county from the previous regional housing need allocation, as determined by each jurisdiction’s annual production report submitted pursuant to subparagraph (H) of paragraph (2) of subdivision (a) of Section 65400.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
Stable population numbers in a city or county from the previous regional housing needs cycle.
</html:p>
<html:p>
(h)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
(A)
<html:span class="EnSpace"/>
In developing the proposed allocation methodology that allocates each jurisdiction’s share of the regional housing need for acutely low income housing, the council of governments, or delegate subregion, as applicable, shall count any newly constructed interim housing that provides noncongregate accommodations and is contracted to operate at least through the existing regional housing needs allocation cycle as meeting the needs of acutely low income households.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
For purposes of this subdivision, “interim housing” means a room or group of rooms occupied or intended for occupancy by homeless individuals that provide separate sleeping quarters and are a habitual place of residence on a nonpermanent basis. Sanitary and
dining facilities must be provided, but may be private or shared accommodations.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
This subdivision shall remain operative only until January 1, 2032.
</html:p>
<html:p>
(i)
<html:span class="EnSpace"/>
Following the conclusion of the public comment period described in subdivision (d) on the proposed allocation methodology, and after making any revisions deemed appropriate by the council of governments, or delegate subregion, as applicable, as a result of comments received during the public comment period, and as a
result of consultation with the department, each council of governments, or delegate subregion, as applicable, shall publish a draft allocation methodology on its internet website and submit the draft allocation methodology, along with the information required pursuant to subdivision (e), to the department.
</html:p>
<html:p>
(j)
<html:span class="EnSpace"/>
Within 60 days, the department shall review the draft allocation methodology and report its written findings to the council of governments, or delegate subregion, as applicable. In its written findings the department shall determine whether the methodology furthers the objectives listed in subdivision (d) of Section 65584. If the department determines that the
methodology is not consistent with subdivision (d) of Section 65584, the council of governments, or delegate subregion, as applicable, shall take one of the following actions:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Revise the methodology to further the objectives listed in subdivision (d) of Section 65584 and adopt a final regional, or subregional, housing need allocation methodology.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Adopt the regional, or subregional, housing need allocation methodology without revisions and include within its resolution of adoption findings, supported by substantial evidence, as to why the council of governments, or delegate subregion, believes that the methodology furthers the objectives listed in subdivision (d) of Section 65584 despite the findings of the department.
</html:p>
<html:p>
(k)
<html:span class="EnSpace"/>
If the department’s findings are not available within the time limits set by subdivision (j), the council of governments, or delegate subregion, may act without them.
</html:p>
<html:p>
(l)
<html:span class="EnSpace"/>
Upon either action pursuant to subdivision
(j), the council of governments, or delegate subregion, shall provide notice of the adoption of the methodology to the jurisdictions within the region, or delegate subregion, as applicable, and to the department, and shall publish the adopted allocation methodology, along with its resolution and any adopted written findings, on its internet website.
</html:p>
<html:p>
(m)
<html:span class="EnSpace"/>
The department may, within 45 days, review the adopted methodology and report its findings to the council of governments, or delegate subregion.
</html:p>
<html:p>
(n)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
It is the intent of the Legislature that housing planning be coordinated and integrated with the regional transportation plan. To achieve this goal, the allocation plan shall allocate housing units within the region consistent with the development pattern included in the sustainable communities strategy.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
(A)
<html:span class="EnSpace"/>
The final allocation plan shall ensure that the total regional housing need, by income category, as determined under Section 65584, is maintained, and that each jurisdiction in the region receive an allocation of units for low- and very low income households.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
For the seventh and subsequent revisions of the housing element, the allocation to each
region required under subparagraph (A) shall also include an allocation of units for acutely low and extremely low income households.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
The resolution approving the final housing need allocation plan shall demonstrate that the plan is consistent with the sustainable communities strategy in the regional transportation plan and furthers the objectives listed in subdivision (d) of Section 65584.
</html:p>
<html:p>
(o)
<html:span class="EnSpace"/>
This section shall become operative on January 1, 2025.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
</ns0:Fragment>
</ns0:BillSection>
<ns0:BillSection id="id_A43C14E2-87E2-44E7-B170-D2DF873B77B3">
<ns0:Num>SEC. 3.</ns0:Num>
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Article 3 (commencing with Section 50245) is added to Chapter 6.5 of Part 1 of Division 31 of the
<ns0:DocName>Health and Safety Code</ns0:DocName>
, to read:
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<ns0:Fragment>
<ns0:LawHeading id="id_54A5CCC5-61DB-4FAB-A98A-850667C00EEC" type="ARTICLE">
<ns0:Num>3.</ns0:Num>
<ns0:LawHeadingVersion id="id_DBA5F8E6-0272-4344-88FE-33D2C9AA6D2C">
<ns0:LawHeadingText>Additional Rounds of the Homeless Housing, Assistance, and Prevention Program</ns0:LawHeadingText>
</ns0:LawHeadingVersion>
<ns0:LawSection id="id_E22AF0AD-18BB-4A53-8261-6AC17F818AF9">
<ns0:Num>50245.</ns0:Num>
<ns0:LawSectionVersion id="id_39AA7DA3-141A-4FDB-8ECF-262A80B0FFC8">
<ns0:Content>
<html:p>For the purposes of this article, the following definitions apply:</html:p>
<html:p>
(a)
<html:span class="EnSpace"/>
“Applicant” means a continuum of care, city, county, tribe, or a region.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
“Functional zero unsheltered homelessness” means sufficient housing options of all types to accommodate at least 60 percent of a jurisdiction’s unsheltered homeless population living on the street based on its most recent homeless point-in-time count.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
“Homeless habitation capacity” includes the following types of shelter or housing:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Interim living spaces.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Permanent housing.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
Safe sleeping sites.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
Safe parking.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
“Housing now action plan” means the plan described in Section 50246.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
“Interim living spaces” means decent, safe, and managed sites providing individual rooms or spaces for occupants.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_1FC7669E-8D94-4D33-A3B0-EDBAF379FE52">
<ns0:Num>50245.5.</ns0:Num>
<ns0:LawSectionVersion id="id_DFA55C7B-A9BF-4476-A7CB-81FE4749DD72">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
Upon appropriation by the Legislature, round 7 of the Homeless Housing, Assistance, and Prevention program is hereby established.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
The department shall administer all aspects of the program in accordance with this article.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_42555100-F3B0-4FFA-AC9E-B16EB549BB93">
<ns0:Num>50246.</ns0:Num>
<ns0:LawSectionVersion id="id_2E5F7183-C696-40E3-971B-0B2D52A88104">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
To be eligible for a round 7 or subsequent base program allocation, an applicant shall be eligible for a round 6 base program allocation and submit to the department a housing now action plan that meets the requirements of this section.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
The housing now action plan shall include all of the following information for all rounds of program allocation:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
A description of key actions that will be taken within the applicant’s region to comply with the housing inventory expansion requirements described in Section 50247.5.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
A description of key actions that will be taken within the applicant’s region to
sustain the operation of interim living spaces built pursuant to this plan.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
A description of all of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
Siting strategies and proposed locations for interim living spaces.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Services and types of programs and target population specific needs, including equity.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
Financing strategies for achieving functional zero unsheltered homelessness.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
For the 2030–31 fiscal year and each subsequent fiscal year, a description of how the applicant will continue to operate housing sufficient to maintain functional zero unsheltered homelessness.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
An applicant may submit an update to its regionally coordinated
homeless action plan in lieu of submitting a housing now action plan application if that update includes all of the information described in subdivision (b).
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
The department shall develop guidance and the housing now action plan application requesting the information described in subdivision (b) within 90 days.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
Upon completion of the application for round 7 of the program and submission of the housing now action plan described in this section, the department shall review the application and the housing now action plan and make a determination of conformity.
</html:p>
<html:p>
(f)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
An applicant with a housing now action plan approved by the department shall also be eligible for funding pursuant to housing and homelessness funding sources the department administers to pay for capital and operating
subsidies for interim living spaces.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The department may distribute funding to recipients from the following housing and homelessness funding sources:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
The Behavioral Health Bridge Housing program, as established pursuant to Provision 17 of Item 4260-101-0001 of Section 2.00 of the Budget Act of 2022.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
The Encampment Resolution Funding Program (Chapter 7 (commencing with Section 50250)).
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
The Family Homelessness Challenge Grants and Technical Assistance program (Chapter 8 (commencing with Section 50255)).
</html:p>
<html:p>
(D)
<html:span class="EnSpace"/>
The Permanent Local Housing Allocation Program, as established pursuant to Chapter 2.5 (commencing with Section 50470) of Part 2.
</html:p>
<html:p>
(E)
<html:span class="EnSpace"/>
The Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675) of Part 2).
</html:p>
<html:p>
(F)
<html:span class="EnSpace"/>
The Homekey Plus program, as described in Section 50675.1.1.
</html:p>
<html:p>
(G)
<html:span class="EnSpace"/>
The Local Housing Trust Fund Matching Grant Program (Chapter 13 (commencing with Section 50842.1) of Part 2).
</html:p>
<html:p>
(H)
<html:span class="EnSpace"/>
No Place Like Home Program (Part 3.9 (commencing with Section 5849.1) of Division 5 of the Welfare and Institutions Code).
</html:p>
<html:p>
(I)
<html:span class="EnSpace"/>
Providing Access and Transforming Health (PATH) program, as described in Section 14184.700 of the Welfare and Institutions Code.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_62B0FBE3-D254-470A-B484-6727C7D3DEF0">
<ns0:Num>50246.5.</ns0:Num>
<ns0:LawSectionVersion id="id_71436A7A-E039-4A72-B856-139B12B8C224">
<ns0:Content>
<html:p>The department may only allocate a round 7 or subsequent base allocation to a participating city or county that has enacted an encampment resolution ordinance that, at a minimum, is in substantially the same form as the Model Ordinance: Addressing Encampments with Urgency and Dignity, released by the Governor on May 12, 2025.</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_8BEF3FE8-CF6B-4E6A-9384-DE79ED79C5AB">
<ns0:Num>50247.</ns0:Num>
<ns0:LawSectionVersion id="id_44C5F6F7-E0CE-4553-AF1D-1A168C7F513F">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
Each county and each city that submits a housing now action plan pursuant to Section 50246 shall sign a memorandum of understanding that meets the requirements of this section.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
The memorandum of understanding shall commit the participating jurisdiction, at a minimum, to the applicable of the following:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Participation in, and compliance with, the housing now action plan.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
An applicant that is a city shall be responsible for both of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
(i)
<html:span class="EnSpace"/>
Siting, developing, and operating housing for unsheltered
populations within its jurisdiction.
</html:p>
<html:p>
(ii)
<html:span class="EnSpace"/>
The base operations for operating housing for unsheltered populations within its jurisdiction shall include all of the following:
</html:p>
<html:p>
(I)
<html:span class="EnSpace"/>
Maintenance.
</html:p>
<html:p>
(II)
<html:span class="EnSpace"/>
Security.
</html:p>
<html:p>
(III)
<html:span class="EnSpace"/>
Utilities.
</html:p>
<html:p>
(IV)
<html:span class="EnSpace"/>
Meals.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Resolution of encampments within its jurisdiction.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
An applicant that is a county shall be responsible for both of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
(i)
<html:span class="EnSpace"/>
Siting, developing, and operating housing for unsheltered populations within the unincorporated areas
of the county.
</html:p>
<html:p>
(ii)
<html:span class="EnSpace"/>
The base operations for operating housing for unsheltered populations within its jurisdiction shall include all of the following:
</html:p>
<html:p>
(I)
<html:span class="EnSpace"/>
Health and social safety net programs.
</html:p>
<html:p>
(II)
<html:span class="EnSpace"/>
Assistance with enrollment in public benefit programs.
</html:p>
<html:p>
(III)
<html:span class="EnSpace"/>
Specialty mental health and substance use disorder services.
</html:p>
<html:p>
(IV)
<html:span class="EnSpace"/>
Case management.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Resolution of encampments within its jurisdiction.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
Smaller jurisdictions in the region may also sign the memorandum of understanding and commit to participation in, and compliance with, the requirements of subdivision
(b). Counties are encouraged to allocate resources from program funding to smaller jurisdictions that participate in and commit to complying with the requirements of subdivision (b).
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_94F38437-AE9C-49EB-BB17-D5A4856FBE95">
<ns0:Num>50247.5.</ns0:Num>
<ns0:LawSectionVersion id="id_6A924E17-298C-43E7-8993-3D914DC6DDFF">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
The department shall determine each region’s five-year housing inventory expansion target in accordance with this section.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
The five-year housing inventory expansion target value shall be equivalent to 60 percent of the region’s most recent point-in-time count.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
At the end of each fiscal year, each region shall expand its homeless habitation capacity until it achieves its five-year housing inventory expansion target in accordance with the schedule established by the department pursuant to subdivision (d).
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
The department shall develop a schedule for each region for the
2026–27 fiscal year through the 2030–31 fiscal year, inclusive.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The schedule shall include all of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
By the end of the 2026–27 fiscal year, each region shall expand its homeless habitation capacity by a value at least equivalent to 5 percent of its five-year housing inventory expansion target.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
By the end of the 2027–28 fiscal year, each region shall expand its homeless habitation capacity by a value at least equivalent to 10 percent of its five-year housing inventory expansion target.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
By the end of the 2028–29 fiscal year, each region shall expand its homeless habitation capacity by a value at least equivalent to 25 percent of its five-year housing inventory expansion target.
</html:p>
<html:p>
(D)
<html:span class="EnSpace"/>
By the end of the 2029–30 fiscal year, each region shall expand its homeless habitation capacity by a value at least equivalent to 50 percent of its five-year housing inventory expansion target.
</html:p>
<html:p>
(E)
<html:span class="EnSpace"/>
By the end of the 2030–31 fiscal year, each region shall expand its homeless habitation capacity by a value at least equivalent to 100 percent of its five-year housing inventory expansion target.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_D5648019-27A6-4F3D-8B2F-C802EB215FCE">
<ns0:Num>50248.</ns0:Num>
<ns0:LawSectionVersion id="id_9729F7E7-5EED-4C40-A116-5490049389DA">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
The department shall prepare and submit to the Legislature an annual report with recommendations for policies that are necessary to continue achieving functional zero unsheltered homelessness.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
A report to be submitted pursuant to subdivision (a) shall be submitted in compliance with Section 9795 of the Government Code.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Pursuant to Section 10231.5 of the Government Code, this section is repealed on January 1, 2030.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_928B6C08-E855-42BD-99E2-4B68B9D038D4">
<ns0:Num>50249.</ns0:Num>
<ns0:LawSectionVersion id="id_2072710D-0A4E-4C97-8A01-6FDDFFBF0E34">
<ns0:Content>
<html:p>This article shall remain in effect as of January 1, 2032, and as of that date is repealed.</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
</ns0:LawHeading>
</ns0:Fragment>
</ns0:BillSection>
<ns0:BillSection id="id_BC3E7A47-191C-4FF0-A197-4D6B452BBD89">
<ns0:Num>SEC. 4.</ns0:Num>
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Section 214 of the
<ns0:DocName>Revenue and Taxation Code</ns0:DocName>
is amended to read:
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<ns0:LawSection id="id_1E3BBDC5-F8E9-4108-9F99-7FB5A6519257">
<ns0:Num>214.</ns0:Num>
<ns0:LawSectionVersion id="id_200AD274-AF4E-435C-A462-2E2600D1023A">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
Property used exclusively for religious, hospital, scientific, or charitable purposes owned and operated by community chests, funds, foundations, limited liability companies, or corporations organized and operated for religious, hospital, scientific, or charitable purposes is exempt from taxation, including ad valorem taxes to pay the interest and redemption charges on any indebtedness approved by the voters prior to July 1, 1978, or any bonded indebtedness for the acquisition or improvement of real property approved on or after July 1, 1978, by two-thirds of the votes cast by the voters voting on the proposition, if:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
The owner is not organized or operated for profit. However, in the case of hospitals, the organization shall not be deemed to be organized
or operated for profit if, during the immediately preceding fiscal year, operating revenues, exclusive of gifts, endowments, and grants-in-aid, did not exceed operating expenses by an amount equivalent to 10 percent of those operating expenses. As used herein, operating expenses include depreciation based on cost of replacement and amortization of, and interest on, indebtedness.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
No part of the net earnings of the owner inures to the benefit of any private shareholder or individual.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
The property is used for the actual operation of the exempt activity, and does not exceed an amount of property reasonably necessary to the accomplishment of the exempt purpose.
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
For the purposes of determining whether the property is used for the actual operation of the exempt activity, consideration shall not be given to use
of the property for either or both of the following described activities if that use is occasional:
</html:p>
<html:p>
(i)
<html:span class="EnSpace"/>
The owner conducts fundraising activities on the property and the proceeds derived from those activities are not unrelated business taxable income, as defined in Section 512 of the Internal Revenue Code, of the owner and are used to further the exempt activity of the owner.
</html:p>
<html:p>
(ii)
<html:span class="EnSpace"/>
The owner permits any other organization that meets all of the requirements of this subdivision, other than ownership of the property, to conduct fundraising activities on the property and the proceeds derived from those activities are not unrelated business taxable income, as defined in Section 512 of the Internal Revenue Code, of the organization, are not subject to the tax on unrelated business taxable income that is imposed by Section 511 of the Internal Revenue Code, and are used to further the
exempt activity of the organization.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
For purposes of subparagraph (A):
</html:p>
<html:p>
(i)
<html:span class="EnSpace"/>
“Occasional use” means use of the property on an irregular or intermittent basis by the qualifying owner or any other qualifying organization described in clause (ii) of subparagraph (A) that is incidental to the primary activities of the owner or the other organization.
</html:p>
<html:p>
(ii)
<html:span class="EnSpace"/>
“Fundraising activities” means both activities involving the direct solicitation of money or other property and the anticipated exchange of goods or services for money between the soliciting organization and the organization or person solicited.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
Subparagraph (A) shall have no application in determining whether paragraph (3) has been satisfied unless the owner of the property and any other
organization using the property as provided in subparagraph (A) have filed with the assessor a valid organizational clearance certificate issued pursuant to Section 254.6.
</html:p>
<html:p>
(D)
<html:span class="EnSpace"/>
For the purposes of determining whether the property is used for the actual operation of the exempt activity, consideration shall not be given to the use of the property for meetings conducted by any other organization if the meetings are incidental to the other organization’s primary activities, are not fundraising meetings or activities as defined in subparagraph (B), are held no more than once per week, and the other organization and its use of the property meet all other requirements of paragraphs (1) to (5), inclusive, of this subdivision. The owner or the other organization also shall file with the assessor a copy of a valid, unrevoked letter or ruling from the Internal Revenue Service or the Franchise Tax Board stating that the other organization, or the national
organization of which it is a local chapter or affiliate, qualifies as an exempt organization under Section 501(c)(3) or 501(c)(4) of the Internal Revenue Code or Section 23701d, 23701f, or 23701w.
</html:p>
<html:p>
(E)
<html:span class="EnSpace"/>
Subparagraph (A), (B), (C), or (D) shall not be construed to either enlarge or restrict the exemption provided for in subdivision (b) of Section 4 and Section 5 of Article XIII of the California Constitution and this section.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
The property is not used or operated by the owner or by any other person so as to benefit any officer, trustee, director, shareholder, member, employee, contributor, or bondholder of the owner or operator, or any other person, through the distribution of profits, payment of excessive charges or compensations, or the more advantageous pursuit of their business or profession.
</html:p>
<html:p>
(5)
<html:span class="EnSpace"/>
The property is
not used by the owner or members thereof for fraternal or lodge purposes, or for social club purposes except where that use is clearly incidental to a primary religious, hospital, scientific, or charitable purpose.
</html:p>
<html:p>
(6)
<html:span class="EnSpace"/>
The property is irrevocably dedicated to religious, charitable, scientific, or hospital purposes and, upon the liquidation, dissolution, or abandonment of the owner, will not inure to the benefit of any private person except a fund, foundation, or corporation organized and operated for religious, hospital, scientific, or charitable purposes.
</html:p>
<html:p>
(7)
<html:span class="EnSpace"/>
The property, if used exclusively for scientific purposes, is used by a foundation or institution that, in addition to complying with the foregoing requirements for the exemption of charitable organizations in general, has been chartered by the Congress of the United States (except that this requirement shall not apply when
the scientific purposes are medical research), and whose objects are the encouragement or conduct of scientific investigation, research, and discovery for the benefit of the community at large.
</html:p>
<html:p>The exemption provided for herein shall be known as the “welfare exemption.” This exemption is in addition to any other exemption now provided by law, and the existence of the exemption provision in paragraph (2) of subdivision (a) of Section 202 does not preclude the exemption under this section for museum or library property. Except as provided in subdivision (e), this section shall not be construed to enlarge the college exemption.</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
Property used exclusively for school purposes of less than collegiate grade and owned and operated by religious, hospital, or charitable funds, foundations, limited liability companies, or corporations, which property and funds, foundations, limited liability companies, or
corporations meet all of the requirements of subdivision (a), shall be deemed to be within the exemption provided for in subdivision (b) of Section 4 and Section 5 of Article XIII of the California Constitution and this section.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
Property used exclusively for nursery school purposes and owned and operated by religious, hospital, or charitable funds, foundations, limited liability companies, or corporations, which property and funds, foundations, limited liability companies, or corporations meet all the requirements of subdivision (a), shall be deemed to be within the exemption provided for in subdivision (b) of Section 4 and Section 5 of Article XIII of the California Constitution and this section.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
Property used exclusively for a noncommercial educational FM broadcast station or an educational television station, and owned and operated by religious, hospital, scientific, or
charitable funds, foundations, limited liability companies, or corporations meeting all of the requirements of subdivision (a), shall be deemed to be within the exemption provided for in subdivision (b) of Section 4 and Section 5 of Article XIII of the California Constitution and this section.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
Property used exclusively for religious, charitable, scientific, or hospital purposes and owned and operated by religious, hospital, scientific, or charitable funds, foundations, limited liability companies, or corporations or educational institutions of collegiate grade, as defined in Section 203, which property and funds, foundations, limited liability companies, corporations, or educational institutions meet all of the requirements of subdivision (a), shall be deemed to be within the exemption provided for in subdivision (b) of Section 4 and Section 5 of Article XIII of the California Constitution and this section. As to educational institutions of
collegiate grade, as defined in Section 203, the requirements of paragraph (6) of subdivision (a) shall be deemed to be met if both of the following are met:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
The property of the educational institution is irrevocably dedicated in its articles of incorporation to charitable and educational purposes, to religious and educational purposes, or to educational purposes.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The articles of incorporation of the educational institution provide for distribution of its property upon its liquidation, dissolution, or abandonment to a fund, foundation, or corporation organized and operated for religious, hospital, scientific, charitable, or educational purposes meeting the requirements for exemption provided by Section 203 or this section.
</html:p>
<html:p>
(f)
<html:span class="EnSpace"/>
Property used exclusively for housing and related facilities for elderly or
handicapped families and financed by, including, but not limited to, the federal government pursuant to Section 202 of Public Law 86-372 (12 U.S.C. Sec. 1701q), as amended, Section 231 of Public Law 73-479 (12 U.S.C. Sec. 1715v), Section 236 of Public Law 90-448 (12 U.S.C. Sec. 1715z), or Section 811 of Public Law 101-625 (42 U.S.C. Sec. 8013), and owned and operated by religious, hospital, scientific, or charitable funds, foundations, limited liability companies, or corporations meeting all of the requirements of this section shall be deemed to be within the exemption provided for in subdivision (b) of Section 4 and Section 5 of Article XIII of the California Constitution and this section.
</html:p>
<html:p>The amendment of this paragraph made by Chapter 1102 of the Statutes of 1984 does not constitute a change in, but is declaratory of, existing law. However, no refund of property taxes shall be required as a result of this amendment for any fiscal year prior to the fiscal year in
which the amendment takes effect.</html:p>
<html:p>Property used exclusively for housing and related facilities for elderly or handicapped families at which supplemental care or services designed to meet the special needs of elderly or handicapped residents are not provided, or that is not financed by the federal government pursuant to Section 202 of Public Law 86-372 (12 U.S.C. Sec. 1701q), as amended, Section 231 of Public Law 73-479 (12 U.S.C. Sec. 1715v), Section 236 of Public Law 90-448 (12 U.S.C. Sec. 1715z), or Section 811 of Public Law 101-625 (42 U.S.C. Sec. 8013), shall not be entitled to exemption pursuant to this subdivision unless the property is used for housing and related facilities for low- and moderate-income elderly or handicapped families. Property that would otherwise be exempt pursuant to this subdivision, except that it includes some housing and related facilities for other than low- or moderate-income elderly or handicapped families, shall be entitled to a
partial exemption. The partial exemption shall be equal to that percentage of the value of the property that is equal to the percentage that the number of low- and moderate-income elderly and handicapped families represents of the total number of families occupying the property.</html:p>
<html:p>As used in this subdivision, “low and moderate income” has the same meaning as the term “persons and families of low or moderate income” as defined by Section 50093 of the Health and Safety Code.</html:p>
<html:p>
(g)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
Property used exclusively for rental housing and related facilities and owned and operated by religious, hospital, scientific, or charitable funds, foundations, limited liability companies, or corporations, including limited partnerships in which the managing general partner is an eligible nonprofit corporation or eligible limited liability company, meeting all of the requirements of this section, or by
veterans’ organizations, as described in Section 215.1, meeting all the requirements of paragraphs (1) to (7), inclusive, of subdivision (a), shall be deemed to be within the exemption provided for in subdivision (b) of Section 4 and Section 5 of Article XIII of the California Constitution and this section and shall be entitled to a partial exemption equal to that percentage of the value of the property that is equal to the percentage that the number of units serving lower income households represents of the total number of residential units in any year in which any of the following criteria applies:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
The acquisition, rehabilitation, development, or operation of the property, or any combination of these factors, is financed with tax-exempt mortgage revenue bonds, qualified 501(c)(3) bonds, as that term is defined in Section 145 of Title 26 of the United States Code, or general obligation bonds, or is financed by local, state, or federal
loans or grants and the rents of the occupants who are lower income households do not exceed those prescribed by deed restrictions or regulatory agreements pursuant to the terms of the financing or financial assistance.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
The owner of the property is eligible for and receives low-income housing tax credits pursuant to Section 42 of the Internal Revenue Code of 1986, as added by Public Law 99-514.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
In the case of a claim, other than a claim with respect to property owned by a limited partnership in which the managing general partner is an eligible nonprofit corporation, that is filed for the 2000–01 fiscal year or any fiscal year thereafter, 90 percent or more of the occupants of the property are lower income households whose rent does not exceed the rent prescribed by Section 50053 of the Health and Safety Code. The total exemption amount allowed under this subdivision to a
taxpayer, with respect to a single property or multiple properties for any fiscal year on the sole basis of the application of this subparagraph, may not exceed twenty million dollars ($20,000,000) in assessed value.
</html:p>
<html:p>
(D)
<html:span class="EnSpace"/>
(i)
<html:span class="EnSpace"/>
The property was previously purchased and owned by the Department of Transportation pursuant to a consent decree requiring housing mitigation measures relating to the construction of a freeway and is now solely owned by an organization that qualifies as an exempt organization under Section 501(c)(3) of the Internal Revenue Code.
</html:p>
<html:p>
(ii)
<html:span class="EnSpace"/>
This subparagraph does not apply to property owned by a limited partnership in which the managing partner is an eligible nonprofit corporation.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
In order to be eligible for the exemption provided by this subdivision, the owner of the property
shall do both of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
(i)
<html:span class="EnSpace"/>
For any claim filed for the 2000–01 fiscal year or any fiscal year thereafter, certify and ensure, subject to the limitation in clause (ii), that there is an enforceable and verifiable agreement with a public agency, a recorded deed restriction, or other legal document that restricts the project’s usage and that provides that the units designated for use by lower income households are continuously available to or occupied by lower income households, subject to the exception in clause (iii), at rents that do not exceed those prescribed by Section 50053 of the Health and Safety Code, or, to the extent that the terms of federal, state, or local financing or financial assistance conflicts with Section 50053 of the Health and Safety Code, rents that do not exceed those prescribed by the terms of the financing or financial assistance.
</html:p>
<html:p>
(ii)
<html:span class="EnSpace"/>
In the case of a limited partnership in which the managing general partner is an eligible nonprofit corporation, the restriction and provision specified in clause (i) shall be contained in an enforceable and verifiable agreement with a public agency, or in a recorded deed restriction to which the limited partnership certifies.
</html:p>
<html:p>
(iii)
<html:span class="EnSpace"/>
(I)
<html:span class="EnSpace"/>
(ia)
<html:span class="EnSpace"/>
In the case of an owner of property that is eligible for and receives a low-income housing tax credit pursuant to Section 42 of the Internal Revenue Code, relating to low-income housing credit, a unit shall continue to be treated as occupied by a lower income household if the occupants were lower income households on the lien date in the fiscal year in which their occupancy of the unit commenced and the unit continues to be rent restricted, notwithstanding an increase in the income of the occupants of the unit to 140 percent of area median income,
adjusted for family size. However, the unit shall cease to be treated as a lower income unit if the income of the occupants of the unit increases above 140 percent of area median income, adjusted for family size.
</html:p>
<html:p>
(ib)
<html:span class="EnSpace"/>
This subclause shall only be operative from the 2018–19 fiscal year through the 2027–28 fiscal year.
</html:p>
<html:p>
(II)
<html:span class="EnSpace"/>
(ia)
<html:span class="EnSpace"/>
In the case of an owner of property, other than a property described in subclause (I), that is subject to an enforceable and verifiable agreement with a public agency, a unit shall continue to be treated as occupied by a lower income household if the occupants were lower income households on the lien date in the fiscal year in which their occupancy of the unit commenced and the unit continues to be rent restricted, notwithstanding an increase in the income of the occupants of the unit to 100 percent of area median income, adjusted for
family size. However, the unit shall cease to be treated as a lower income unit if the income of the occupants of the unit increases above 100 percent of area median income, adjusted for family size.
</html:p>
<html:p>
(ib)
<html:span class="EnSpace"/>
This subclause shall only be operative from the 2024–25 fiscal year through the 2028–29 fiscal year.
</html:p>
<html:p>
(iv)
<html:span class="EnSpace"/>
(I)
<html:span class="EnSpace"/>
In the case of an owner of property that is a community land trust and whose property is leased to a lower income household, a unit shall continue to be treated as occupied by a lower income household if the occupants were lower income households on the lien date in the fiscal year in which their occupancy of the unit commenced and the unit continues to be rent restricted, notwithstanding an increase in the income of the occupants of the unit to 140 percent of area median income, adjusted for family size. However, the unit shall cease to be treated
as a lower income unit if the income of the occupants of the unit increases above 140 percent of area median income, adjusted for family size.
</html:p>
<html:p>
(II)
<html:span class="EnSpace"/>
This clause shall only be operative from the 2022–23 fiscal year through the 2027–28 fiscal year.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Certify that the funds that would have been necessary to pay property taxes are used to maintain the affordability of, or reduce rents otherwise necessary for, the units occupied by lower income households.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
As used in this subdivision:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
“Community land trust” has the same meaning as defined in Section 402.1.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
“Lower income households” has the same meaning as the term “lower income households” as defined by Section 50079.5 of the
Health and Safety Code.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
“Related facilities” means any manager’s units and any and all common area spaces that are included within the physical boundaries of the rental housing development, including, but not limited to, common area space, walkways, balconies, patios, clubhouse space, meeting rooms, laundry facilities, and parking areas, except any portions of the overall development that are nonexempt commercial space.
</html:p>
<html:p>
(D)
<html:span class="EnSpace"/>
(i)
<html:span class="EnSpace"/>
“Units serving lower income households” shall mean units that are occupied by lower income households at an affordable rent, as defined in Section 50053 of the Health and Safety Code or, to the extent that the terms of federal, state, or local financing or financial assistance conflicts with Section 50053 of the Health and Safety Code, rents that do not exceed those prescribed by the terms of the financing or financial assistance.
Units reserved for lower income households at an affordable rent that are temporarily vacant due to tenant turnover or repairs shall be counted as occupied.
</html:p>
<html:p>
(ii)
<html:span class="EnSpace"/>
(I)
<html:span class="EnSpace"/>
“Units serving lower income households” shall also mean units specified in clause (iii) or (iv) of subparagraph (A) of paragraph (2).
</html:p>
<html:p>
(II)
<html:span class="EnSpace"/>
This clause shall only be operative from the 2018–19 fiscal year through the 2027–28 fiscal year.
</html:p>
<html:p>
(iii)
<html:span class="EnSpace"/>
(I)
<html:span class="EnSpace"/>
“Units serving lower income households” shall also mean units specified in clause (iv) of subparagraph (A) of paragraph (2).
</html:p>
<html:p>
(II)
<html:span class="EnSpace"/>
This clause shall only be operative from the 2022–23 fiscal year through the 2027–28 fiscal year.
</html:p>
<html:p>
(h)
<html:span class="EnSpace"/>
Property
used exclusively for an emergency or temporary shelter and related facilities for homeless persons and families and owned and operated by religious, hospital, scientific, or charitable funds, foundations, limited liability companies, or corporations meeting all of the requirements of this section shall be deemed to be within the exemption provided for in subdivision (b) of Section 4 and Section 5 of Article XIII of the California Constitution and this section. Property that otherwise would be exempt pursuant to this subdivision, except that it includes housing and related facilities for other than an emergency or temporary shelter, shall be entitled to a partial exemption.
</html:p>
<html:p>As used in this subdivision, “emergency or temporary shelter” means a facility that would be eligible for funding pursuant to Chapter 11 (commencing with Section 50800) of Part 2 of Division 31 of the Health and Safety Code.</html:p>
<html:p>
(i)
<html:span class="EnSpace"/>
Property used exclusively for housing and related facilities for employees of religious, charitable, scientific, or hospital organizations that meet all the requirements of subdivision (a) and owned and operated by funds, foundations, limited liability companies, or corporations that meet all the requirements of subdivision (a) shall be deemed to be within the exemption provided for in subdivision (b) of Section 4 and Section 5 of Article XIII of the California Constitution and this section to the extent the residential use of the property is institutionally necessary for the operation of the organization.
</html:p>
<html:p>
(j)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
Property used exclusively for interim housing and owned and operated by religious, hospital, scientific, or charitable funds, foundations, limited liability companies, or corporations meeting all of the
requirements of this section shall be deemed to be within the exemption provided for in subdivision (b) of Section 4 and in Section 5 of Article XIII of the California Constitution and in this section.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
This subdivision shall apply for property tax lien dates occurring on or after January 1, 2026, and before January 1, 2032.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
For purposes of this subdivision, “interim housing” includes a house, an apartment, a group of rooms, or a single room occupied or intended for occupancy by homeless individuals as separate living quarters. For purposes of this subparagraph, “separate living quarters” are those in which the occupants do not live and eat with other persons in the structure and which have direct access from the outside of the building or through a common hall. For
vacant units, the criteria of separateness and direct access shall apply with respect to the intended occupants whenever possible. If the information cannot be obtained, the criteria shall apply to the previous occupants. Tents and boats are excluded if vacant, used for business, or used for extra sleeping space or vacations. Vacant seasonal or migratory mobilehomes are included in the count of vacant seasonal or migratory housing units. Living quarters of the following types shall be excluded from the housing unit inventory:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
Dormitories, bunkhouses, and barracks.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Quarters in predominantly transient hotels, motels, or other similar units, except those occupied by persons who consider the hotel, motel, or similar unit their usual place of residence.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
Quarters in institutions, general hospitals, and military
installations, except those occupied by staff members or resident employees who have separate living arrangements.
</html:p>
<html:p>
(k)
<html:span class="EnSpace"/>
For purposes of this section, charitable purposes include educational purposes. For purposes of this subdivision, “educational purposes” means those educational purposes and activities for the benefit of the community as a whole or an unascertainable and indefinite portion thereof, and do not include those educational purposes and activities that are primarily for the benefit of an organization’s shareholders. Educational activities include the study of relevant information, the dissemination of that information to interested
members of the general public, and the participation of interested members of the general public.
</html:p>
<html:p>
(l)
<html:span class="EnSpace"/>
In the case of property used exclusively for the exempt purposes specified in this section, owned and operated by limited liability companies that are organized and operated for those purposes, the State Board of Equalization shall adopt regulations to specify the ownership, organizational, and operational requirements for those companies to qualify for the exemption provided by this section.
</html:p>
<html:p>
(m)
<html:span class="EnSpace"/>
The amendments made by Chapter 354 of the Statutes of 2004 apply with respect to lien dates occurring on and after January 1, 2005.
</html:p>
<html:p>
(n)
<html:span class="EnSpace"/>
The amendments made by Chapter 836 of the Statutes of 2016 apply with respect to lien dates occurring on and after January 1, 2017.
</html:p>
<html:p>
(o)
<html:span class="EnSpace"/>
The amendments made by Chapter 694 of the Statutes of 2018 apply with respect to lien dates occurring on and after January 1, 2019.
</html:p>
<html:p>
(p)
<html:span class="EnSpace"/>
Notwithstanding Section 20 or any other law, the State Board of Equalization is responsible for administering the welfare exemption provided by this section, except where the law places responsibility for administering that exemption with the county assessor.
</html:p>
</ns0:Content>
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</ns0:LawSection>
</ns0:Fragment>
</ns0:BillSection>
<ns0:BillSection id="id_5FF8095D-4DA2-415C-96C1-8B2CEFA55D0D">
<ns0:Num>SEC. 5.</ns0:Num>
<ns0:Content>
<html:p>The Legislature finds and declares that the amendments to the No Place Like Home Program (Part 3.9 (commencing with Section 5849.1) of Division 5 of the Welfare and Institutions Code) made by this act are consistent with and further the intent of Proposition 2, as approved by the voters at the November 6, 2018, statewide general election, within the meaning of Section 7 of Proposition 2.</html:p>
</ns0:Content>
</ns0:BillSection>
<ns0:BillSection id="id_8FAF0CAC-3E5E-4A27-80C8-A001CC591363">
<ns0:Num>SEC. 6.</ns0:Num>
<ns0:Content>
<html:p>The Legislature finds and declares that Section 2 of this act amending Section 65584.04 of the Government Code addresses a matter of statewide concern rather than a municipal affair as that term is used in Section 5 of Article XI of the California Constitution. Therefore, Section 2 of this act applies to all cities, including charter cities.</html:p>
</ns0:Content>
</ns0:BillSection>
<ns0:BillSection id="id_85F27ADB-C957-413E-B2E7-87DE58AB7346">
<ns0:Num>SEC. 7.</ns0:Num>
<ns0:Content>
<html:p>For purposes of complying with Section 41 of the Revenue and Taxation Code, as it pertains to the amendments to Section 214 of the Revenue and Taxation Code made by this act, the Legislature finds and declares as follows:</html:p>
<html:p>
(a)
<html:span class="EnSpace"/>
The specific goal, purpose, or objective of the property tax exemption pursuant to Section 214 of the Revenue and Taxation Code is to encourage private landowners to support cities and counties in ending unsheltered homelessness by providing a tax incentive for them to lease their land for the operation of all types of
shelter, including interim housing.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
The performance indicators for the Legislature to use in determining whether the credit achieves the stated goal shall be the total number of interim housing units that are constructed and operated by a nonprofit organization as a result of this exemption, the number of taxpayers allowed an exemption, and the total dollar value of the exemptions.
</html:p>
</ns0:Content>
</ns0:BillSection>
<ns0:BillSection id="id_297BA014-192E-41C4-86A0-21BCDA15BA37">
<ns0:Num>SEC. 8.</ns0:Num>
<ns0:Content>
<html:p>
No reimbursement is required by this act pursuant to Section 6 of Article XIII
<html:span class="ThinSpace"/>
B of the California Constitution for certain costs that may be incurred by a local agency or school district because, in that regard, this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII
<html:span class="ThinSpace"/>
B of the California Constitution.
</html:p>
<html:p>However, if the Commission on State Mandates determines that this act contains other costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.</html:p>
</ns0:Content>
</ns0:BillSection>
<ns0:BillSection id="id_6D3A7EF9-8A54-437E-8906-71F3153BA3D3">
<ns0:Num>SEC. 9.</ns0:Num>
<ns0:Content>
<html:p>Notwithstanding Section 2229 of the Revenue and Taxation Code, no appropriation is made by this act and the state shall not reimburse any local agency for any property tax revenues lost by it pursuant to this act.</html:p>
</ns0:Content>
</ns0:BillSection>
</ns0:Bill>
</ns0:MeasureDoc>
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