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Correspondence - #35
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Correspondence - #35
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<br />Specifically, AB 832, signed into law on June 28, 2021, allocates additional federal rent relief dollars <br />to the state rental assistance program for housing providers with qualified tenants, ensures housing <br />-19 eviction moratorium through <br />September 30, 2021. Under AB 832, any local city or county rent moratorium ordinance that was <br />passed in response to COVID that protects tenants from eviction is preempted until April 2022. <br /> <br />PRIORITIZING RENTAL ASSISTANCE <br />As you are aware, t <br />provide a broad range of health and financial <br />assistance to residents, businesses and non-profits affected by the COVID-19 pandemic, is funded <br />by federal CARES Act money that was allocated through the state budget. <br /> <br />According to the State of California Business, Consumer Services and Housing Agency (BCSH), so <br />far the state has provided $375 million of the $1.1 billion that renters have applied for and only a <br />portion of the $5.2 billion in federal funds <br />Assistance (ERA) program, set aside for rent relief that is eligible for distribution before September <br />30, 2021. Under AB 832, the application process is more streamlined and no longer requires that <br />landlords submit documentation or concurrently apply with tenants to obtain rent relief. <br /> <br />More than $42 million of Emergency Rental Assistance (ERA) program funding from federal and <br />state agencies has been allocated to the City of Santa Ana. Based on communication with City staff, <br />it was reported that the City has spent $5.5 million or 13% of the total funds available and has only <br />approved rental assistance for 2,700 applicants. There were over 6,000 applicants deemed ineligible <br />or who did not complete their applications. <br /> <br />In addition, the Consumer Financial Protection Bureau (CFPB) has launched a new website to help <br />renters and housing providers find rental assistance in their own communities and the federal ERA <br />program allows local programs to cover rent, utilities, and home energy costs. A June 2021 Beacon <br />Economics report, , found that <br />only 9% of households nationwide have missed a rental payment (source: Federal Reserve Bank of <br />Philadelphia Survey, March 2021) and that the non-payment rate among renters has only increased <br />by 4% since before the pandemic began (source: National Multifamily Housing Council). <br /> <br />ADDRESSING HOUSING SUPPLY <br />Since 1969, California has required that all local governments adequately plan to meet the housing <br />for the private market to adequately address the housing needs and demand of Californians, local <br />governments must adopt plans and regulatory systems that provide opportunities for, and do not <br />unduly constrain, housing development (source: California Department of Housing and Community <br />Development - HCD). In 2018, HCD determined that California needs to add about 180,000 new <br />units of housing annually through 2025 to keep up with demand; however, at best we are producing <br />80,000 units per year. Estimates from Beacon Economics has put the statewide backlog at about <br />2.3 million housing units. <br />2 <br /> <br /> <br />
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