Amended IN Senate June 26, 2024 Amended IN Senate June 10, 2024 Amended IN Assembly January 25, 2024 Amended IN Assembly March 09, 2023 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 846Introduced by Assembly Member BontaFebruary 14, 2023An act to add Section 50199.24 to the Health and Safety Code, relating to low-income housing.LEGISLATIVE COUNSEL'S DIGESTAB 846, as amended, Bonta. Low-income housing credit: rent increases.Existing law establishes a low-income housing tax credit program, through which the California Tax Credit Allocation Committee allocates low-income housing tax credits aimed at providing affordable low-income housing within and throughout the state. Existing law authorizes the committee to undertake specified responsibilities in allocating the tax credit, including entering into regulatory agreements relating to projects that are allocated the tax credit. Existing law requires the committee, when allocating the tax credit, to prefer specified projects, including projects that serve lowest income tenants at rents affordable to those tenants.This bill would require the committee, on or before June 30, 2025, to adopt regulations to establish a limit on annual rent increases for tenants in existing properties that were allowed a low-income housing tax credit. The bill would require the committee, on or before June 30, 2026, and annually thereafter, to assess the limit, as specified. The bill would also make a related statement of legislative findings and declarations.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 50199.24 is added to the Health and Safety Code, immediately following Section 50199.23, to read:50199.24. (a) The Legislature finds and declares all of the following:(1) California has a critical lack of supply of housing affordable to lower income households.(2) The lack of stable and affordable housing for lower income households threatens Californias economic, environmental, and social goals and is a primary contributor to homelessness.(3) The low-income housing tax credit program is the largest ongoing funding source for the construction and preservation of housing affordable to lower income households in the state.(4) It is the policy of the State of California that low-income housing tax credit funding maximize the provision of stable and affordable housing for lower income households.(5) Federal low-income housing tax credit regulations give the states authority to apply further regulations, including rent caps.(b) (1) Under the states authority to issue regulations to implement Section 42 of the Internal Revenue Code (26 U.S.C. Sec. 42 et seq.) and effect its purpose, the committee, on or before June 30, 2025, shall adopt regulations to establish a limit on annual rent increases for tenants in existing properties that were allowed a low-income housing tax credit.(2) On or before June 30, 2026, and annually thereafter, the committee shall assess the limit established in paragraph (1). The committee may lower adjust the limit, through regulations, if the committee deems it necessary based on the assessment.
Amended IN Senate June 26, 2024 Amended IN Senate June 10, 2024 Amended IN Assembly January 25, 2024 Amended IN Assembly March 09, 2023 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 846Introduced by Assembly Member BontaFebruary 14, 2023An act to add Section 50199.24 to the Health and Safety Code, relating to low-income housing.LEGISLATIVE COUNSEL'S DIGESTAB 846, as amended, Bonta. Low-income housing credit: rent increases.Existing law establishes a low-income housing tax credit program, through which the California Tax Credit Allocation Committee allocates low-income housing tax credits aimed at providing affordable low-income housing within and throughout the state. Existing law authorizes the committee to undertake specified responsibilities in allocating the tax credit, including entering into regulatory agreements relating to projects that are allocated the tax credit. Existing law requires the committee, when allocating the tax credit, to prefer specified projects, including projects that serve lowest income tenants at rents affordable to those tenants.This bill would require the committee, on or before June 30, 2025, to adopt regulations to establish a limit on annual rent increases for tenants in existing properties that were allowed a low-income housing tax credit. The bill would require the committee, on or before June 30, 2026, and annually thereafter, to assess the limit, as specified. The bill would also make a related statement of legislative findings and declarations.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO
Amended IN Senate June 26, 2024 Amended IN Senate June 10, 2024 Amended IN Assembly January 25, 2024 Amended IN Assembly March 09, 2023
Amended IN Senate June 26, 2024
Amended IN Senate June 10, 2024
Amended IN Assembly January 25, 2024
Amended IN Assembly March 09, 2023
CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION
Assembly Bill
No. 846
Introduced by Assembly Member BontaFebruary 14, 2023
Introduced by Assembly Member Bonta
February 14, 2023
An act to add Section 50199.24 to the Health and Safety Code, relating to low-income housing.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
AB 846, as amended, Bonta. Low-income housing credit: rent increases.
Existing law establishes a low-income housing tax credit program, through which the California Tax Credit Allocation Committee allocates low-income housing tax credits aimed at providing affordable low-income housing within and throughout the state. Existing law authorizes the committee to undertake specified responsibilities in allocating the tax credit, including entering into regulatory agreements relating to projects that are allocated the tax credit. Existing law requires the committee, when allocating the tax credit, to prefer specified projects, including projects that serve lowest income tenants at rents affordable to those tenants.This bill would require the committee, on or before June 30, 2025, to adopt regulations to establish a limit on annual rent increases for tenants in existing properties that were allowed a low-income housing tax credit. The bill would require the committee, on or before June 30, 2026, and annually thereafter, to assess the limit, as specified. The bill would also make a related statement of legislative findings and declarations.
Existing law establishes a low-income housing tax credit program, through which the California Tax Credit Allocation Committee allocates low-income housing tax credits aimed at providing affordable low-income housing within and throughout the state. Existing law authorizes the committee to undertake specified responsibilities in allocating the tax credit, including entering into regulatory agreements relating to projects that are allocated the tax credit. Existing law requires the committee, when allocating the tax credit, to prefer specified projects, including projects that serve lowest income tenants at rents affordable to those tenants.
This bill would require the committee, on or before June 30, 2025, to adopt regulations to establish a limit on annual rent increases for tenants in existing properties that were allowed a low-income housing tax credit. The bill would require the committee, on or before June 30, 2026, and annually thereafter, to assess the limit, as specified. The bill would also make a related statement of legislative findings and declarations.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Section 50199.24 is added to the Health and Safety Code, immediately following Section 50199.23, to read:50199.24. (a) The Legislature finds and declares all of the following:(1) California has a critical lack of supply of housing affordable to lower income households.(2) The lack of stable and affordable housing for lower income households threatens Californias economic, environmental, and social goals and is a primary contributor to homelessness.(3) The low-income housing tax credit program is the largest ongoing funding source for the construction and preservation of housing affordable to lower income households in the state.(4) It is the policy of the State of California that low-income housing tax credit funding maximize the provision of stable and affordable housing for lower income households.(5) Federal low-income housing tax credit regulations give the states authority to apply further regulations, including rent caps.(b) (1) Under the states authority to issue regulations to implement Section 42 of the Internal Revenue Code (26 U.S.C. Sec. 42 et seq.) and effect its purpose, the committee, on or before June 30, 2025, shall adopt regulations to establish a limit on annual rent increases for tenants in existing properties that were allowed a low-income housing tax credit.(2) On or before June 30, 2026, and annually thereafter, the committee shall assess the limit established in paragraph (1). The committee may lower adjust the limit, through regulations, if the committee deems it necessary based on the assessment.
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. Section 50199.24 is added to the Health and Safety Code, immediately following Section 50199.23, to read:50199.24. (a) The Legislature finds and declares all of the following:(1) California has a critical lack of supply of housing affordable to lower income households.(2) The lack of stable and affordable housing for lower income households threatens Californias economic, environmental, and social goals and is a primary contributor to homelessness.(3) The low-income housing tax credit program is the largest ongoing funding source for the construction and preservation of housing affordable to lower income households in the state.(4) It is the policy of the State of California that low-income housing tax credit funding maximize the provision of stable and affordable housing for lower income households.(5) Federal low-income housing tax credit regulations give the states authority to apply further regulations, including rent caps.(b) (1) Under the states authority to issue regulations to implement Section 42 of the Internal Revenue Code (26 U.S.C. Sec. 42 et seq.) and effect its purpose, the committee, on or before June 30, 2025, shall adopt regulations to establish a limit on annual rent increases for tenants in existing properties that were allowed a low-income housing tax credit.(2) On or before June 30, 2026, and annually thereafter, the committee shall assess the limit established in paragraph (1). The committee may lower adjust the limit, through regulations, if the committee deems it necessary based on the assessment.
SECTION 1. Section 50199.24 is added to the Health and Safety Code, immediately following Section 50199.23, to read:
### SECTION 1.
50199.24. (a) The Legislature finds and declares all of the following:(1) California has a critical lack of supply of housing affordable to lower income households.(2) The lack of stable and affordable housing for lower income households threatens Californias economic, environmental, and social goals and is a primary contributor to homelessness.(3) The low-income housing tax credit program is the largest ongoing funding source for the construction and preservation of housing affordable to lower income households in the state.(4) It is the policy of the State of California that low-income housing tax credit funding maximize the provision of stable and affordable housing for lower income households.(5) Federal low-income housing tax credit regulations give the states authority to apply further regulations, including rent caps.(b) (1) Under the states authority to issue regulations to implement Section 42 of the Internal Revenue Code (26 U.S.C. Sec. 42 et seq.) and effect its purpose, the committee, on or before June 30, 2025, shall adopt regulations to establish a limit on annual rent increases for tenants in existing properties that were allowed a low-income housing tax credit.(2) On or before June 30, 2026, and annually thereafter, the committee shall assess the limit established in paragraph (1). The committee may lower adjust the limit, through regulations, if the committee deems it necessary based on the assessment.
50199.24. (a) The Legislature finds and declares all of the following:(1) California has a critical lack of supply of housing affordable to lower income households.(2) The lack of stable and affordable housing for lower income households threatens Californias economic, environmental, and social goals and is a primary contributor to homelessness.(3) The low-income housing tax credit program is the largest ongoing funding source for the construction and preservation of housing affordable to lower income households in the state.(4) It is the policy of the State of California that low-income housing tax credit funding maximize the provision of stable and affordable housing for lower income households.(5) Federal low-income housing tax credit regulations give the states authority to apply further regulations, including rent caps.(b) (1) Under the states authority to issue regulations to implement Section 42 of the Internal Revenue Code (26 U.S.C. Sec. 42 et seq.) and effect its purpose, the committee, on or before June 30, 2025, shall adopt regulations to establish a limit on annual rent increases for tenants in existing properties that were allowed a low-income housing tax credit.(2) On or before June 30, 2026, and annually thereafter, the committee shall assess the limit established in paragraph (1). The committee may lower adjust the limit, through regulations, if the committee deems it necessary based on the assessment.
50199.24. (a) The Legislature finds and declares all of the following:(1) California has a critical lack of supply of housing affordable to lower income households.(2) The lack of stable and affordable housing for lower income households threatens Californias economic, environmental, and social goals and is a primary contributor to homelessness.(3) The low-income housing tax credit program is the largest ongoing funding source for the construction and preservation of housing affordable to lower income households in the state.(4) It is the policy of the State of California that low-income housing tax credit funding maximize the provision of stable and affordable housing for lower income households.(5) Federal low-income housing tax credit regulations give the states authority to apply further regulations, including rent caps.(b) (1) Under the states authority to issue regulations to implement Section 42 of the Internal Revenue Code (26 U.S.C. Sec. 42 et seq.) and effect its purpose, the committee, on or before June 30, 2025, shall adopt regulations to establish a limit on annual rent increases for tenants in existing properties that were allowed a low-income housing tax credit.(2) On or before June 30, 2026, and annually thereafter, the committee shall assess the limit established in paragraph (1). The committee may lower adjust the limit, through regulations, if the committee deems it necessary based on the assessment.
50199.24. (a) The Legislature finds and declares all of the following:
(1) California has a critical lack of supply of housing affordable to lower income households.
(2) The lack of stable and affordable housing for lower income households threatens Californias economic, environmental, and social goals and is a primary contributor to homelessness.
(3) The low-income housing tax credit program is the largest ongoing funding source for the construction and preservation of housing affordable to lower income households in the state.
(4) It is the policy of the State of California that low-income housing tax credit funding maximize the provision of stable and affordable housing for lower income households.
(5) Federal low-income housing tax credit regulations give the states authority to apply further regulations, including rent caps.
(b) (1) Under the states authority to issue regulations to implement Section 42 of the Internal Revenue Code (26 U.S.C. Sec. 42 et seq.) and effect its purpose, the committee, on or before June 30, 2025, shall adopt regulations to establish a limit on annual rent increases for tenants in existing properties that were allowed a low-income housing tax credit.
(2) On or before June 30, 2026, and annually thereafter, the committee shall assess the limit established in paragraph (1). The committee may lower adjust the limit, through regulations, if the committee deems it necessary based on the assessment.