A new California law lets a city or county create a district that can finance homes for first responders, teachers, health care workers, and manufacturing workers, with bonds that voters must approve.
Cities and counties could create workforce housing districts by adopting a financing plan that is reviewed every 10 years.
Homes financed would be reserved for first responders, education, health care, and manufacturing workers, with at least 70 percent for lower-income households.
Affordable homes would have to stay affordable for at least 55 years if rented and 45 years if owner-occupied.
Bonds could be issued only if two-thirds of district voters approve, and a rejected bond cannot be tried again for at least a year.
A city or county may create a workforce housing enhanced infrastructure financing district by adopting a resolution of intention, finding it follows fair housing rules, and adopting an infrastructure financing plan. The financing plan must require a review every 10 years to check compliance.
Housing financed by a district must be reserved for public safety, education, health care, or manufacturing workers, and must serve lower-income or moderate-income households. A deed restriction must require at least 70 percent of units to serve lower-income households and the rest moderate-income households. Mixed-use projects must be at least 80 percent residential by square footage. Members of the public may live in the homes, subject to applicable laws. The district may still prioritize the listed workers over members of the public.
The district must keep affordable homes it finances at affordable housing costs for the longest feasible time, by recorded covenant or restriction. The minimum is 55 years for rental homes and 45 years for owner-occupied homes.
The governing board may issue tax increment bonds only if two-thirds of voters in the district vote yes. The election is held like the one that creates the district, and the two may be combined. If voters reject a proposition, the board cannot submit a similar one for at least one year.
No hearings or votes scheduled.