California Forever Shells out $2M in Campaign to Build City from Scratch
California Housing Is Even Less Affordable Than You Think, UC Berkeley Study Says
Billionaire-Backed Bid for New Solano County City Is Closer to November Ballot
San José Leaders Ban Homeless Encampments Near Schools
Controversial California Law Meant to Spur New Housing Could Get More Teeth
These California Companies Want to Buy Your Backyard — and Build a House
Larkspur Voters to Decide Future of Rent Control in Their City
California’s Eviction Crisis: A Post-Pandemic Nightmare for Renters
How California’s Rising Insurance Premiums Threaten Affordable Housing
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The company has thus far been the sole contributor to its campaign, according to the records.\u003c/p>\n\u003cp>When he\u003ca href=\"https://www.kqed.org/news/11972769/not-just-a-crazy-idea-california-forever-releases-ballot-details-for-new-bay-area-city\"> introduced the initiative\u003c/a> in January, California Forever CEO Jan Sramek promised to spend “as much [money] as we need to win.”\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>The filings show California Forever has so far spent the largest portion of its money — more than $330,000 — on firms hired to collect the more than 20,400 signatures it submitted to the Solano County Registrar’s Office \u003ca href=\"https://www.kqed.org/news/11984408/billionaire-backed-bid-for-new-solano-county-city-is-closer-to-november-ballot\">earlier this week\u003c/a>. More than $200,000 went toward campaign workers’ salaries, and nearly $210,000 was spent on campaign websites and emails.\u003c/p>\n\u003cp>However, the payments also show more than $238,000 paid to consultant firms headed by highly connected political campaigners, including several former strategists and aides to Gov. Gavin Newsom and the wife of a current Fairfield councilmember.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" title=\"California Forever's Campaign Payments\" aria-label=\"Pie Chart\" id=\"datawrapper-chart-oaHsx\" src=\"https://datawrapper.dwcdn.net/oaHsx/2/\" scrolling=\"no\" frameborder=\"0\" style=\"width: 0; min-width: 100% !important; border: none;\" height=\"850\" data-external=\"1\" width=\"100%\" class=\"iframe-class\">\u003c/iframe>\u003c/p>\n\u003cp>For a countywide ballot initiative, the spending is “robust,” said political and election lawyer Bradley Hertz, but “not terribly over the top.”\u003c/p>\n\u003cp>“If it were LA County, for example, with 5 million voters, [the budget] would be at least five or 10 times this amount to gather signatures and get the necessary publicity going,” Hertz said. “The big money needs to be spent at this stage for signature gathering.”[aside postID=news_11984656 hero='https://cdn.kqed.org/wp-content/uploads/sites/10/2015/12/14289_transform-1440x960.jpg']A representative from California Forever did not comment on its spending, but said the team is “feeling good” and that the company will have more updates on its plan in the coming week.\u003c/p>\n\u003cp>The company is relying on several high-profile political strategists to get initiative to the November election, including \u003ca href=\"https://www.gov.ca.gov/2022/03/14/legislative-affairs-secretary-angie-wei-to-depart-new-legislative-affairs-secretary-appointed/\">Angie Wei\u003c/a>, a former legislative aide to Newsom; \u003ca href=\"https://www.rodriguezstrategies.com/\">Matt Rodriguez\u003c/a>, who worked with the governor in 2022 to oppose Proposition 30; and \u003ca href=\"https://www.themediacompany.llc/\">Brian Brokaw\u003c/a> and \u003ca href=\"https://brianbrokaw.com/bio/\">Dan Newman\u003c/a>, two longtime campaign advisers to Newsom. Brokaw also served as Vice President Kamala Harris’s former campaign manager when she ran for Attorney General in 2010.\u003c/p>\n\u003cp>California Forever also paid Sue Vaccaro, wife of Fairfield Councilmember Rick Vaccaro, $4,000 for campaign consulting. Councilmember Vacarro has not responded to KQED’s request for comment.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" title=\"California Forever Campaign Payments\" aria-label=\"Column Chart\" id=\"datawrapper-chart-yF2wI\" src=\"https://datawrapper.dwcdn.net/yF2wI/1/\" scrolling=\"no\" frameborder=\"0\" style=\"width: 0; min-width: 100% !important; border: none;\" height=\"614\" data-external=\"1\" width=\"100%\" class=\"iframe-class\">\u003c/iframe>\u003c/p>\n\u003cp>The Registrar’s Office is now verifying California Forever’s submitted signatures. If they all check out, the Registrar will pass the initiative along to the Solano County Board of Supervisors, which must decide whether to approve it outright or put it to voters.\u003c/p>\n\u003cp>Supervisor Mitch Mashburn, a critic of the plan, said Wednesday that if the initiative qualifies for the election, he would call for a special report assessing the proposed city’s impacts, both positive and negative. But Hertz suspected California Forever has accounted for the added delay this report would require. The supervisors have until Aug. 9 to vote to place the initiative on the November ballot.\u003c/p>\n\u003cp>The next set of campaign finance reports is due by the end of July. Paul Mitchell, owner of polling firm Redistricting Partners, said California Forever’s spending on getting the ballot measure to voters is likely a drop in the bucket compared to what it will take to build the proposed city.\u003c/p>\n\u003cp>“Just because it gets passed by voters isn’t going to build a house,” Mitchell said. “[The amount spent so far] is not an enormous sum for what they’re looking to do, and it’s probably not going to break records.”\u003c/p>\n\u003cp>\u003c/p>\n","blocks":[],"excerpt":"The billionaire-backed company promised to spend big bucks in its plan to build a new city in Eastern Solano County. So far, it’s doing just that, according to newly released campaign finance records.","status":"publish","parent":0,"modified":1714777743,"stats":{"hasAudio":false,"hasVideo":false,"hasChartOrMap":true,"iframeSrcs":["https://datawrapper.dwcdn.net/oaHsx/2/","https://datawrapper.dwcdn.net/yF2wI/1/"],"hasGoogleForm":false,"hasGallery":false,"hasHearkenModule":false,"hasPolis":false,"paragraphCount":17,"wordCount":655},"headData":{"title":"California Forever Shells out $2M in Campaign to Build City from Scratch | KQED","description":"The billionaire-backed company promised to spend big bucks in its plan to build a new city in Eastern Solano County. So far, it’s doing just that, according to newly released campaign finance records.","ogTitle":"","ogDescription":"","ogImgId":"","twTitle":"","twDescription":"","twImgId":"","schema":{"@context":"http://schema.org","@type":"NewsArticle","headline":"California Forever Shells out $2M in Campaign to Build City from Scratch","datePublished":"2024-05-03T16:42:52.000Z","dateModified":"2024-05-03T23:09:03.000Z","image":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png","isAccessibleForFree":"Y","publisher":{"@type":"NewsMediaOrganization","@id":"https://www.kqed.org/#organization","name":"KQED","url":"https://www.kqed.org","logo":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png"}}},"sticky":false,"nprStoryId":"kqed-11984830","excludeFromSiteSearch":"Include","articleAge":"0","path":"/news/11984830/california-forever-shells-out-2m-in-campaign-to-build-city-from-scratch","audioTrackLength":null,"parsedContent":[{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003cp>California Forever spent some $2 million in the first three months of the year on its campaign to convince voters it should be allowed to build a city from scratch in Eastern Solano County, newly released campaign finance records show.\u003c/p>\n\u003cp>That money includes funds it has budgeted but has yet to pay out to contractors and around $1 million of in-kind contributions. The company has thus far been the sole contributor to its campaign, according to the records.\u003c/p>\n\u003cp>When he\u003ca href=\"https://www.kqed.org/news/11972769/not-just-a-crazy-idea-california-forever-releases-ballot-details-for-new-bay-area-city\"> introduced the initiative\u003c/a> in January, California Forever CEO Jan Sramek promised to spend “as much [money] as we need to win.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"ad","attributes":{"named":{"label":"fullwidth"},"numeric":["fullwidth"]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>The filings show California Forever has so far spent the largest portion of its money — more than $330,000 — on firms hired to collect the more than 20,400 signatures it submitted to the Solano County Registrar’s Office \u003ca href=\"https://www.kqed.org/news/11984408/billionaire-backed-bid-for-new-solano-county-city-is-closer-to-november-ballot\">earlier this week\u003c/a>. More than $200,000 went toward campaign workers’ salaries, and nearly $210,000 was spent on campaign websites and emails.\u003c/p>\n\u003cp>However, the payments also show more than $238,000 paid to consultant firms headed by highly connected political campaigners, including several former strategists and aides to Gov. Gavin Newsom and the wife of a current Fairfield councilmember.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" title=\"California Forever's Campaign Payments\" aria-label=\"Pie Chart\" id=\"datawrapper-chart-oaHsx\" src=\"https://datawrapper.dwcdn.net/oaHsx/2/\" scrolling=\"no\" frameborder=\"0\" style=\"width: 0; min-width: 100% !important; border: none;\" height=\"850\" data-external=\"1\" width=\"100%\" class=\"iframe-class\">\u003c/iframe>\u003c/p>\n\u003cp>For a countywide ballot initiative, the spending is “robust,” said political and election lawyer Bradley Hertz, but “not terribly over the top.”\u003c/p>\n\u003cp>“If it were LA County, for example, with 5 million voters, [the budget] would be at least five or 10 times this amount to gather signatures and get the necessary publicity going,” Hertz said. “The big money needs to be spent at this stage for signature gathering.”\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"aside","attributes":{"named":{"postid":"news_11984656","hero":"https://cdn.kqed.org/wp-content/uploads/sites/10/2015/12/14289_transform-1440x960.jpg","label":""},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>A representative from California Forever did not comment on its spending, but said the team is “feeling good” and that the company will have more updates on its plan in the coming week.\u003c/p>\n\u003cp>The company is relying on several high-profile political strategists to get initiative to the November election, including \u003ca href=\"https://www.gov.ca.gov/2022/03/14/legislative-affairs-secretary-angie-wei-to-depart-new-legislative-affairs-secretary-appointed/\">Angie Wei\u003c/a>, a former legislative aide to Newsom; \u003ca href=\"https://www.rodriguezstrategies.com/\">Matt Rodriguez\u003c/a>, who worked with the governor in 2022 to oppose Proposition 30; and \u003ca href=\"https://www.themediacompany.llc/\">Brian Brokaw\u003c/a> and \u003ca href=\"https://brianbrokaw.com/bio/\">Dan Newman\u003c/a>, two longtime campaign advisers to Newsom. Brokaw also served as Vice President Kamala Harris’s former campaign manager when she ran for Attorney General in 2010.\u003c/p>\n\u003cp>California Forever also paid Sue Vaccaro, wife of Fairfield Councilmember Rick Vaccaro, $4,000 for campaign consulting. Councilmember Vacarro has not responded to KQED’s request for comment.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" title=\"California Forever Campaign Payments\" aria-label=\"Column Chart\" id=\"datawrapper-chart-yF2wI\" src=\"https://datawrapper.dwcdn.net/yF2wI/1/\" scrolling=\"no\" frameborder=\"0\" style=\"width: 0; min-width: 100% !important; border: none;\" height=\"614\" data-external=\"1\" width=\"100%\" class=\"iframe-class\">\u003c/iframe>\u003c/p>\n\u003cp>The Registrar’s Office is now verifying California Forever’s submitted signatures. If they all check out, the Registrar will pass the initiative along to the Solano County Board of Supervisors, which must decide whether to approve it outright or put it to voters.\u003c/p>\n\u003cp>Supervisor Mitch Mashburn, a critic of the plan, said Wednesday that if the initiative qualifies for the election, he would call for a special report assessing the proposed city’s impacts, both positive and negative. But Hertz suspected California Forever has accounted for the added delay this report would require. The supervisors have until Aug. 9 to vote to place the initiative on the November ballot.\u003c/p>\n\u003cp>The next set of campaign finance reports is due by the end of July. Paul Mitchell, owner of polling firm Redistricting Partners, said California Forever’s spending on getting the ballot measure to voters is likely a drop in the bucket compared to what it will take to build the proposed city.\u003c/p>\n\u003cp>“Just because it gets passed by voters isn’t going to build a house,” Mitchell said. “[The amount spent so far] is not an enormous sum for what they’re looking to do, and it’s probably not going to break records.”\u003c/p>\n\u003cp>\u003c/p>\n\u003c/div>\u003c/p>","attributes":{"named":{},"numeric":[]}}],"link":"/news/11984830/california-forever-shells-out-2m-in-campaign-to-build-city-from-scratch","authors":["11672"],"categories":["news_6266","news_8"],"tags":["news_18538","news_33689","news_1775","news_21358","news_23938"],"featImg":"news_11984981","label":"news"},"news_11984656":{"type":"posts","id":"news_11984656","meta":{"index":"posts_1591205157","site":"news","id":"11984656","score":null,"sort":[1714665606000]},"guestAuthors":[],"slug":"california-housing-is-even-less-affordable-than-you-think-uc-berkeley-study-says","title":"California Housing Is Even Less Affordable Than You Think, UC Berkeley Study Says","publishDate":1714665606,"format":"standard","headTitle":"California Housing Is Even Less Affordable Than You Think, UC Berkeley Study Says | KQED","labelTerm":{"site":"news"},"content":"\u003cp>As California tries to claw its way out of its housing affordability crisis, policymakers have been asking the wrong question, according to a new study from UC Berkeley.\u003c/p>\n\u003cp>\u003ca href=\"https://url.us.m.mimecastprotect.com/s/3YtGCn5zDjCmJQVlu9g94t?domain=ternercenter.berkeley.edu\">The study\u003c/a>, published Thursday by researchers at the Terner Center for Housing Innovation, argues the classic question — “Is a place affordable?” — should instead be supplanted with a new one: “Who can afford this place?”\u003c/p>\n\u003cp>That might seem like a subtle distinction, said Issi Romem, co-author and founder of economics research firm, \u003ca href=\"https://metrosight.com/\" target=\"_blank\" rel=\"noopener\">MetroSight\u003c/a>. But its implications are enormous.\u003c/p>\n\u003cp>“The differences are just really stark,” Romem said. “We have been, on a grand scale, misleading ourselves with our current metrics to think they are much more affordable than they are.”\u003c/p>\n\u003cp>The problem, Romem said, is that those metrics don’t account for a simple truth: People who can’t afford rent or mortgage payments in a place often don’t live there.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>“In other words, we’ve been saying Beverly Hills is perfectly affordable because the people who live there can afford it,” Romem said. “And we’ve been doing that for a broader geography than just Beverly Hills.”\u003c/p>\n\u003cp>To determine whether a given county is affordable, policymakers might look at how many people earning the area’s median income can afford to rent or buy a median-priced home. A home is considered “affordable” if the household’s earners are paying no more than 30% of their income on rent.\u003c/p>\n\u003cp>To craft a new definition of affordability, Romem, and co-author, Dan Shoag looked at responses to a Census questionnaire that asked whether people felt they could afford their expenses after paying for housing costs comfortably, were doing OK, just getting by, or having difficulty. They then looked at a broader set of Census respondents’ incomes and housing costs and used that as the basis for determining the affordability of each county for all Californians, including those not living in the county.\u003c/p>\n\u003cp>The \u003ca href=\"https://url.us.m.mimecastprotect.com/s/o_suCo2OEkuv7Jmlszepp4?domain=ternercenter.berkeley.edu\">result is an interactive map\u003c/a> that shows how many Californians could afford to live in each county — which paints a much bleaker picture of the state’s most expensive areas than had previously been shown.\u003c/p>\n\u003cp>Take San Francisco, for example, where the median household income was close to \u003ca href=\"https://www.census.gov/quickfacts/fact/table/sanfranciscocitycalifornia/PST045222\">$137,000 in 2022.\u003c/a> Under the classic definition of affordability, 67% of renters are “comfortable” or “doing OK.” However, under the definition Romem and his colleagues created, only 23% of Californians would be able to rent there either comfortably or OK.\u003c/p>\n\u003cp>It’s an idea that resonates with 31-year-old software developer Nick Fallon. Until December, when he was laid off from his job, he was making $120,000 and paying $2,650 per month in rent for a one-bedroom apartment in the Castro District. He could afford it but felt like it was impossible to save any money.\u003c/p>\n\u003cp>“I can’t see a future where I could retire here,” Fallon said. “I don’t see a future where I could have children if I wanted them. Buying a house is completely out of the picture. Ever.”\u003c/p>\n\u003cp>[aside label='More Housing Coverage' tag='housing']But rather than simply showing that expensive places like San Francisco are indeed expensive, the Terner Center’s new tool goes further. It allows users to add transportation and childcare costs and accounts for relative differences in incomes across counties, providing a more nuanced picture of rural areas than had previously been shown.\u003c/p>\n\u003cp>It shows that access to public transportation makes urban areas more affordable than they might otherwise be, and rural places — where transit is scarce and incomes are relatively lower — end up being less affordable than they would otherwise seem.\u003c/p>\n\u003cp>That’s something Colin Sanders experienced firsthand when he moved from Oakland to Twain Harte, a small mountain community in Tuolumne County. The 34-year-old mechanic had been splitting a master bedroom in a West Oakland home for $1,600 per month. In 2020, Sanders bought a 900-square-foot, off-grid home in Twain Harte for around $100,000.\u003c/p>\n\u003cp>Although he can afford the home, Sanders said he was forced to buy a newer, more reliable truck since public transportation is nearly nonexistent, and constantly repairing an older vehicle cost him work. He travels around the county, working as a handyman and electrician, and now pays around $1,100 a month in car payments and fuel, he said.\u003c/p>\n\u003cp>“I really underestimated how much I’d be driving and how much I’d be spending on fuel,” Sanders said. “I’m not making much more out here than I did there (in Oakland), and I thought that it would go further, but it’s not.”\u003c/p>\n\u003cp>If policymakers chose to adopt the new definition of affordability, publicly funded affordable housing developers would consider not just the incomes of people who live in the area but also those who might want or need to live there, Romem said.\u003c/p>\n\u003cp>It would help solve a problem Teri Baldwin said she sees in her role as a kindergarten teacher and president of the Palo Alto Educators Association. The union is currently working with a developer on a project to \u003ca href=\"https://www.paloaltoonline.com/news/2023/04/21/new-housing-proposal-looks-to-aid-palo-alto-teachers/\">build affordable housing for Palo Alto teachers\u003c/a>.\u003c/p>\n\u003cp>A fifth of the development’s 44 apartments will be available to teachers, making between 50% to 80% of Palo Alto’s median income, which was \u003ca href=\"https://www.census.gov/quickfacts/fact/table/paloaltocitycalifornia/PST045222\">$214,118 in 2022\u003c/a>. The remaining apartments will be reserved for people making between 80% and 120% of the median income. But what counts as an “affordable” rent for people within those income bands is still pretty expensive, Baldwin said.\u003c/p>\n\u003cp>“It’s still pretty high,” she said. “It’s a high percentage of your salary going towards rent.”\u003c/p>\n\u003cp>She said even this “affordable” housing is out of reach for many of the district’s support staff, who make even less than teachers. Baldwin is hoping the state can provide deeper subsidies to developers.\u003c/p>\n\u003cp>“I would like the state to give incentives, more tax breaks or something like that to developers who want to help,” she said, adding the state should look at ways to build housing that doesn’t tie rents to the median income.\u003c/p>\n\u003cp>Doing that will be difficult this year, as the state faces an \u003ca href=\"https://lao.ca.gov/Publications/Report/4850#:~:text=Under%20LAO%20Revenue%20Update%2C%20Budget,budget%20was%20proposed%20in%20January.\">estimated $73 billion deficit\u003c/a>, said Matthew Schwartz, president and CEO of the California Housing Partnership, an affordable housing policy and advocacy organization.\u003c/p>\n\u003cp>Deepening subsidies to make it more affordable to some will mean providing less of that housing, he said.\u003c/p>\n\u003cp>“That’s a pretty Hobbesian choice, and I don’t think most of us would be in favor of it,” he said.\u003c/p>\n\u003cp>The state already saw affordable housing production shrink last year — dropping from more than 23,500 below-market-rate units in 2022 to just under 14,000 in 2023, \u003ca href=\"https://chpc.net/wp-content/uploads/2024/03/California-Affordable-Housing-Needs-Report-2024-1.pdf\">according to the partnership\u003c/a>.\u003c/p>\n\u003cp>Remedying the situation will require more money, he said. Schwartz hopes the legislature will support Assemblymember Buffy Wicks’ proposal to put a statewide \u003ca href=\"https://a14.asmdc.org/press-releases/20230425-assemblymember-wicks-announces-aim-put-10b-housing-bond-2024-primary-ballot\">$10 billion affordable housing bond\u003c/a> on the November ballot. A separate \u003ca href=\"https://mtc.ca.gov/about-mtc/authorities/bay-area-housing-finance-authority/bay-area-affordable-housing-bond\">$10 billion to $20 billion bond measure\u003c/a> is also being proposed for the Bay Area.\u003c/p>\n\u003cp>“We saw production last year decline by almost one third,” Schwartz said, adding that a big reason for that was the exhaustion of an earlier statewide affordable housing bond.\u003c/p>\n\u003cp>Building more deeply affordable housing is not the only solution, Romem argues. Instead, he said the state should encourage developers to build more housing for people at all income levels, which will slow the growth in home prices.\u003c/p>\n\u003cp>But ensuring that the housing that gets built is actually affordable requires a different approach than one the federal government and California have taken so far, he said.\u003c/p>\n\u003cp>[ad floatright]\u003c/p>\n\u003cp>“We value what we measure, and that means that we want to be measuring the right thing,” Romem said. And that requires asking the right question, he said: “How affordable San Francisco or Beverly Hills or Los Angeles are — not just to the people who have been able to make it there — but to the people who would make it there if they could.”\u003c/p>\n\n","blocks":[],"excerpt":"A few major flaws exist in defining whether housing is affordable for Californians. A new study from UC Berkeley’s Terner Center for Housing Innovation seeks to remedy that.","status":"publish","parent":0,"modified":1714683809,"stats":{"hasAudio":false,"hasVideo":false,"hasChartOrMap":false,"iframeSrcs":[],"hasGoogleForm":false,"hasGallery":false,"hasHearkenModule":false,"hasPolis":false,"paragraphCount":34,"wordCount":1418},"headData":{"title":"California Housing Is Even Less Affordable Than You Think, UC Berkeley Study Says | KQED","description":"A few major flaws exist in defining whether housing is affordable for Californians. A new study from UC Berkeley’s Terner Center for Housing Innovation seeks to remedy that.","ogTitle":"","ogDescription":"","ogImgId":"","twTitle":"","twDescription":"","twImgId":"","schema":{"@context":"http://schema.org","@type":"NewsArticle","headline":"California Housing Is Even Less Affordable Than You Think, UC Berkeley Study Says","datePublished":"2024-05-02T16:00:06.000Z","dateModified":"2024-05-02T21:03:29.000Z","image":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png","isAccessibleForFree":"Y","publisher":{"@type":"NewsMediaOrganization","@id":"https://www.kqed.org/#organization","name":"KQED","url":"https://www.kqed.org","logo":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png"}}},"sticky":false,"nprStoryId":"kqed-11984656","excludeFromSiteSearch":"Include","articleAge":"0","path":"/news/11984656/california-housing-is-even-less-affordable-than-you-think-uc-berkeley-study-says","audioTrackLength":null,"parsedContent":[{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003cp>As California tries to claw its way out of its housing affordability crisis, policymakers have been asking the wrong question, according to a new study from UC Berkeley.\u003c/p>\n\u003cp>\u003ca href=\"https://url.us.m.mimecastprotect.com/s/3YtGCn5zDjCmJQVlu9g94t?domain=ternercenter.berkeley.edu\">The study\u003c/a>, published Thursday by researchers at the Terner Center for Housing Innovation, argues the classic question — “Is a place affordable?” — should instead be supplanted with a new one: “Who can afford this place?”\u003c/p>\n\u003cp>That might seem like a subtle distinction, said Issi Romem, co-author and founder of economics research firm, \u003ca href=\"https://metrosight.com/\" target=\"_blank\" rel=\"noopener\">MetroSight\u003c/a>. But its implications are enormous.\u003c/p>\n\u003cp>“The differences are just really stark,” Romem said. “We have been, on a grand scale, misleading ourselves with our current metrics to think they are much more affordable than they are.”\u003c/p>\n\u003cp>The problem, Romem said, is that those metrics don’t account for a simple truth: People who can’t afford rent or mortgage payments in a place often don’t live there.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"ad","attributes":{"named":{"label":"fullwidth"},"numeric":["fullwidth"]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>“In other words, we’ve been saying Beverly Hills is perfectly affordable because the people who live there can afford it,” Romem said. “And we’ve been doing that for a broader geography than just Beverly Hills.”\u003c/p>\n\u003cp>To determine whether a given county is affordable, policymakers might look at how many people earning the area’s median income can afford to rent or buy a median-priced home. A home is considered “affordable” if the household’s earners are paying no more than 30% of their income on rent.\u003c/p>\n\u003cp>To craft a new definition of affordability, Romem, and co-author, Dan Shoag looked at responses to a Census questionnaire that asked whether people felt they could afford their expenses after paying for housing costs comfortably, were doing OK, just getting by, or having difficulty. They then looked at a broader set of Census respondents’ incomes and housing costs and used that as the basis for determining the affordability of each county for all Californians, including those not living in the county.\u003c/p>\n\u003cp>The \u003ca href=\"https://url.us.m.mimecastprotect.com/s/o_suCo2OEkuv7Jmlszepp4?domain=ternercenter.berkeley.edu\">result is an interactive map\u003c/a> that shows how many Californians could afford to live in each county — which paints a much bleaker picture of the state’s most expensive areas than had previously been shown.\u003c/p>\n\u003cp>Take San Francisco, for example, where the median household income was close to \u003ca href=\"https://www.census.gov/quickfacts/fact/table/sanfranciscocitycalifornia/PST045222\">$137,000 in 2022.\u003c/a> Under the classic definition of affordability, 67% of renters are “comfortable” or “doing OK.” However, under the definition Romem and his colleagues created, only 23% of Californians would be able to rent there either comfortably or OK.\u003c/p>\n\u003cp>It’s an idea that resonates with 31-year-old software developer Nick Fallon. Until December, when he was laid off from his job, he was making $120,000 and paying $2,650 per month in rent for a one-bedroom apartment in the Castro District. He could afford it but felt like it was impossible to save any money.\u003c/p>\n\u003cp>“I can’t see a future where I could retire here,” Fallon said. “I don’t see a future where I could have children if I wanted them. Buying a house is completely out of the picture. Ever.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"aside","attributes":{"named":{"label":"More Housing Coverage ","tag":"housing"},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>But rather than simply showing that expensive places like San Francisco are indeed expensive, the Terner Center’s new tool goes further. It allows users to add transportation and childcare costs and accounts for relative differences in incomes across counties, providing a more nuanced picture of rural areas than had previously been shown.\u003c/p>\n\u003cp>It shows that access to public transportation makes urban areas more affordable than they might otherwise be, and rural places — where transit is scarce and incomes are relatively lower — end up being less affordable than they would otherwise seem.\u003c/p>\n\u003cp>That’s something Colin Sanders experienced firsthand when he moved from Oakland to Twain Harte, a small mountain community in Tuolumne County. The 34-year-old mechanic had been splitting a master bedroom in a West Oakland home for $1,600 per month. In 2020, Sanders bought a 900-square-foot, off-grid home in Twain Harte for around $100,000.\u003c/p>\n\u003cp>Although he can afford the home, Sanders said he was forced to buy a newer, more reliable truck since public transportation is nearly nonexistent, and constantly repairing an older vehicle cost him work. He travels around the county, working as a handyman and electrician, and now pays around $1,100 a month in car payments and fuel, he said.\u003c/p>\n\u003cp>“I really underestimated how much I’d be driving and how much I’d be spending on fuel,” Sanders said. “I’m not making much more out here than I did there (in Oakland), and I thought that it would go further, but it’s not.”\u003c/p>\n\u003cp>If policymakers chose to adopt the new definition of affordability, publicly funded affordable housing developers would consider not just the incomes of people who live in the area but also those who might want or need to live there, Romem said.\u003c/p>\n\u003cp>It would help solve a problem Teri Baldwin said she sees in her role as a kindergarten teacher and president of the Palo Alto Educators Association. The union is currently working with a developer on a project to \u003ca href=\"https://www.paloaltoonline.com/news/2023/04/21/new-housing-proposal-looks-to-aid-palo-alto-teachers/\">build affordable housing for Palo Alto teachers\u003c/a>.\u003c/p>\n\u003cp>A fifth of the development’s 44 apartments will be available to teachers, making between 50% to 80% of Palo Alto’s median income, which was \u003ca href=\"https://www.census.gov/quickfacts/fact/table/paloaltocitycalifornia/PST045222\">$214,118 in 2022\u003c/a>. The remaining apartments will be reserved for people making between 80% and 120% of the median income. But what counts as an “affordable” rent for people within those income bands is still pretty expensive, Baldwin said.\u003c/p>\n\u003cp>“It’s still pretty high,” she said. “It’s a high percentage of your salary going towards rent.”\u003c/p>\n\u003cp>She said even this “affordable” housing is out of reach for many of the district’s support staff, who make even less than teachers. Baldwin is hoping the state can provide deeper subsidies to developers.\u003c/p>\n\u003cp>“I would like the state to give incentives, more tax breaks or something like that to developers who want to help,” she said, adding the state should look at ways to build housing that doesn’t tie rents to the median income.\u003c/p>\n\u003cp>Doing that will be difficult this year, as the state faces an \u003ca href=\"https://lao.ca.gov/Publications/Report/4850#:~:text=Under%20LAO%20Revenue%20Update%2C%20Budget,budget%20was%20proposed%20in%20January.\">estimated $73 billion deficit\u003c/a>, said Matthew Schwartz, president and CEO of the California Housing Partnership, an affordable housing policy and advocacy organization.\u003c/p>\n\u003cp>Deepening subsidies to make it more affordable to some will mean providing less of that housing, he said.\u003c/p>\n\u003cp>“That’s a pretty Hobbesian choice, and I don’t think most of us would be in favor of it,” he said.\u003c/p>\n\u003cp>The state already saw affordable housing production shrink last year — dropping from more than 23,500 below-market-rate units in 2022 to just under 14,000 in 2023, \u003ca href=\"https://chpc.net/wp-content/uploads/2024/03/California-Affordable-Housing-Needs-Report-2024-1.pdf\">according to the partnership\u003c/a>.\u003c/p>\n\u003cp>Remedying the situation will require more money, he said. Schwartz hopes the legislature will support Assemblymember Buffy Wicks’ proposal to put a statewide \u003ca href=\"https://a14.asmdc.org/press-releases/20230425-assemblymember-wicks-announces-aim-put-10b-housing-bond-2024-primary-ballot\">$10 billion affordable housing bond\u003c/a> on the November ballot. A separate \u003ca href=\"https://mtc.ca.gov/about-mtc/authorities/bay-area-housing-finance-authority/bay-area-affordable-housing-bond\">$10 billion to $20 billion bond measure\u003c/a> is also being proposed for the Bay Area.\u003c/p>\n\u003cp>“We saw production last year decline by almost one third,” Schwartz said, adding that a big reason for that was the exhaustion of an earlier statewide affordable housing bond.\u003c/p>\n\u003cp>Building more deeply affordable housing is not the only solution, Romem argues. Instead, he said the state should encourage developers to build more housing for people at all income levels, which will slow the growth in home prices.\u003c/p>\n\u003cp>But ensuring that the housing that gets built is actually affordable requires a different approach than one the federal government and California have taken so far, he said.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"ad","attributes":{"named":{"label":"floatright"},"numeric":["floatright"]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>“We value what we measure, and that means that we want to be measuring the right thing,” Romem said. And that requires asking the right question, he said: “How affordable San Francisco or Beverly Hills or Los Angeles are — not just to the people who have been able to make it there — but to the people who would make it there if they could.”\u003c/p>\n\n\u003c/div>\u003c/p>","attributes":{"named":{},"numeric":[]}}],"link":"/news/11984656/california-housing-is-even-less-affordable-than-you-think-uc-berkeley-study-says","authors":["11652"],"categories":["news_6266","news_8"],"tags":["news_3921","news_27626","news_1775","news_21358","news_17597"],"featImg":"news_10816492","label":"news"},"news_11984408":{"type":"posts","id":"news_11984408","meta":{"index":"posts_1591205157","site":"news","id":"11984408","score":null,"sort":[1714496457000]},"guestAuthors":[],"slug":"billionaire-backed-bid-for-new-solano-county-city-is-closer-to-november-ballot","title":"Billionaire-Backed Bid for New Solano County City Is Closer to November Ballot","publishDate":1714496457,"format":"standard","headTitle":"Billionaire-Backed Bid for New Solano County City Is Closer to November Ballot | KQED","labelTerm":{"site":"news"},"content":"\u003cp>\u003cem>\u003cstrong>This story was updated on April 30, 2024, at 11:15 a.m.\u003c/strong>\u003c/em>\u003c/p>\n\u003cp>\u003ca href=\"https://www.kqed.org/news/11970694/california-forever-lawsuit-looms-as-solano-county-farmers-fight-back\">California Forever\u003c/a> has gathered enough signatures to qualify its measure for the November ballot, representatives for the billionaire-backed company said Tuesday.\u003c/p>\n\u003cp>The company, which hopes to transform farmland in Eastern Solano County into a dense, walkable city, must first get its plan approved by voters. However, California Forever had to submit just over 13,000 signatures to get on the ballot.\u003c/p>\n\u003cp>The Solano County Registrar’s Office confirmed with KQED that they had received the signatures early Tuesday morning. The company claims it collected over 20,000 signatures, but the registrar’s office will spend the next five days counting each signature individually to make sure they have enough to qualify.\u003c/p>\n\u003cp>Tuesday’s announcement marked a turning point in a campaign that’s been controversial from the start. Despite \u003ca href=\"https://www.kqed.org/news/11972769/not-just-a-crazy-idea-california-forever-releases-ballot-details-for-new-bay-area-city\">revealing the ballot initiative\u003c/a> in mid-January, California Forever didn’t begin collecting signatures until late March due to back-and-forth with the registrar’s office over the ballot language. The company also faced accusations that the firm it hired to gather signatures, PCI Consultants, was misrepresenting the initiative and manipulating voters into signing it.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>California Forever has denied those allegations.\u003c/p>\n\u003cp>On Tuesday, Jan Sramek, CEO of California Forever, characterized the speedy signature-gathering effort as an endorsement for the plan itself, noting workers gathered 7,000 more signatures than required.\u003c/p>\n\u003cp>“That number reflects the breadth and depth of support for the East Solano plan across Solano County, from all walks of life, all parts of the county who are saying the same thing: Yes,” he said.\u003c/p>\n\u003cp>But Paul Mitchell, who heads the political polling organization Redistricting Partners, said signature gathering can be done quickly — if you’re willing to pay for it.\u003c/p>\n\u003cp>“These signature firms, when they have the resources to hire staff, don’t fail in collecting signatures,” he said. “The signature-gathering process is very mechanical. So if you have the resources to pay for all those mechanics, you’ll be fine.”\u003c/p>\n\u003cp>While the Secretary of State’s Office did not confirm or deny whether it was investigating any formal complaints against California Forever, a spokesperson at the Solano County Registrar’s Office said at least nine people had emailed the office, complaining about misconduct.\u003c/p>\n\u003cp>Vacaville resident Tina Collins said she saw that conduct first-hand in early April from a signature gatherer standing outside a Walmart Supercenter in Dixon. She said the worker handed her several pieces of paper to sign, but she was confused about what she was approving. When she refused to sign the documents, she said the signature gatherer followed her to her car.\u003c/p>\n\u003cp>“I felt extremely uncomfortable,” she said. “I haven’t heard much about [California Forever], but from what I’ve heard, I don’t think it’s promising.”[aside label='Related Coverage' tag='housing']California Forever may have an uphill battle ahead of them as they seek approval from voters, who have been deeply skeptical of the plan since it was unveiled last August. It, along with its parent company, Flannery Associates, were forced to reveal their identities after spending the past six years \u003ca href=\"https://www.kqed.org/news/11970694/california-forever-lawsuit-looms-as-solano-county-farmers-fight-back\">discreetly buying about 60,000 acres of land\u003c/a> in the Montezuma Hills. Since going public, California Forever has been met with harsh criticism from \u003ca href=\"https://www.kqed.org/news/11976108/california-forever-faces-resistance-from-federal-lawmakers-and-local-leaders-in-solano-county\">several lawmakers\u003c/a>, affordable housing advocates and residents.\u003c/p>\n\u003cp>A poll conducted in early March by FM3 Research on behalf of the Greenbelt Alliance, an organization staunchly opposed to the project, found that 60% of people aware of the company’s plan opposed it.\u003c/p>\n\u003cp>But despite vocal naysayers, some Solano County voters are supportive. Tyree Carrie lives in Suisun City, a few miles from the proposed new town. He said if it makes it to the November ballot, he’ll vote “Yes.”\u003c/p>\n\u003cp>“I feel it’s something that’s very necessary,” he said. “There’s a lot of people who are struggling with housing in general, so I think it’s awesome when there are more options available and being able to generate income in an area, as far as giving people work.”\u003c/p>\n\u003cp>Among the myriad of promises California Forever has tied to its proposal, the company said it would bring 15,000 new jobs with higher-than-average pay. A recent \u003ca href=\"https://assets.ctfassets.net/ivxuf0dn6dhw/7d88UkQMImn6Q01yvy1RWM/76e2a1e38c16fc52ab3b758f6caf71b0/CMC_Solano_Analysis.pdf\">study\u003c/a> conducted by Michael Genest, the former California Director of Finance, found a “significant economic gap between Solano County and its neighbors in the Bay Area,” with a 30% gap in average household income between Solano County residents and other Bay Area residents, based on 2022 numbers.\u003c/p>\n\u003cp>“In cities like Fairfield and [others], there’s not a lot of good-paying jobs and not a lot of affordable housing either,” said Niyah Proctor, a Fairfield resident. “The state of California is really expensive, so I feel like we should add more places for people to be able to afford.”\u003c/p>\n\u003cp>To woo more voters like Carrie and Proctor and get its initiative approved, California Forever promised to spend big bucks on its campaign. Just how much won’t be publicly available until the company files its campaign finance statements.\u003c/p>\n\u003cp>Bob Stern, who served on the first council of the Fair Political Practices Commission, said deep pockets don’t necessarily guarantee a “Yes” vote.\u003c/p>\n\u003cp>“Just because you spend a lot of money doesn’t mean you’re going to win an election,” he said. “It does mean you’re going to get on the ballot.”\u003c/p>\n\u003cp>\u003c/p>\n","blocks":[],"excerpt":"On Tuesday, California Forever, a company with a controversial vision to transform Eastern Solano County farmland into a dense, walkable city, moved one step closer to appearing on the November ballot.","status":"publish","parent":0,"modified":1714669175,"stats":{"hasAudio":false,"hasVideo":false,"hasChartOrMap":false,"iframeSrcs":[],"hasGoogleForm":false,"hasGallery":false,"hasHearkenModule":false,"hasPolis":false,"paragraphCount":23,"wordCount":963},"headData":{"title":"Billionaire-Backed Bid for New Solano County City Is Closer to November Ballot | KQED","description":"On Tuesday, California Forever, a company with a controversial vision to transform Eastern Solano County farmland into a dense, walkable city, moved one step closer to appearing on the November ballot.","ogTitle":"","ogDescription":"","ogImgId":"","twTitle":"","twDescription":"","twImgId":"","schema":{"@context":"http://schema.org","@type":"NewsArticle","headline":"Billionaire-Backed Bid for New Solano County City Is Closer to November Ballot","datePublished":"2024-04-30T17:00:57.000Z","dateModified":"2024-05-02T16:59:35.000Z","image":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png","isAccessibleForFree":"Y","publisher":{"@type":"NewsMediaOrganization","@id":"https://www.kqed.org/#organization","name":"KQED","url":"https://www.kqed.org","logo":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png"}}},"audioUrl":"https://traffic.omny.fm/d/clips/0af137ef-751e-4b19-a055-aaef00d2d578/ffca7e9f-6831-41c5-bcaf-aaef00f5a073/d76cead7-2a90-48c4-b65b-b1640101d218/audio.mp3","sticky":false,"nprStoryId":"kqed-11984408","excludeFromSiteSearch":"Include","articleAge":"0","path":"/news/11984408/billionaire-backed-bid-for-new-solano-county-city-is-closer-to-november-ballot","audioTrackLength":null,"parsedContent":[{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003cp>\u003cem>\u003cstrong>This story was updated on April 30, 2024, at 11:15 a.m.\u003c/strong>\u003c/em>\u003c/p>\n\u003cp>\u003ca href=\"https://www.kqed.org/news/11970694/california-forever-lawsuit-looms-as-solano-county-farmers-fight-back\">California Forever\u003c/a> has gathered enough signatures to qualify its measure for the November ballot, representatives for the billionaire-backed company said Tuesday.\u003c/p>\n\u003cp>The company, which hopes to transform farmland in Eastern Solano County into a dense, walkable city, must first get its plan approved by voters. However, California Forever had to submit just over 13,000 signatures to get on the ballot.\u003c/p>\n\u003cp>The Solano County Registrar’s Office confirmed with KQED that they had received the signatures early Tuesday morning. The company claims it collected over 20,000 signatures, but the registrar’s office will spend the next five days counting each signature individually to make sure they have enough to qualify.\u003c/p>\n\u003cp>Tuesday’s announcement marked a turning point in a campaign that’s been controversial from the start. Despite \u003ca href=\"https://www.kqed.org/news/11972769/not-just-a-crazy-idea-california-forever-releases-ballot-details-for-new-bay-area-city\">revealing the ballot initiative\u003c/a> in mid-January, California Forever didn’t begin collecting signatures until late March due to back-and-forth with the registrar’s office over the ballot language. The company also faced accusations that the firm it hired to gather signatures, PCI Consultants, was misrepresenting the initiative and manipulating voters into signing it.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"ad","attributes":{"named":{"label":"fullwidth"},"numeric":["fullwidth"]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>California Forever has denied those allegations.\u003c/p>\n\u003cp>On Tuesday, Jan Sramek, CEO of California Forever, characterized the speedy signature-gathering effort as an endorsement for the plan itself, noting workers gathered 7,000 more signatures than required.\u003c/p>\n\u003cp>“That number reflects the breadth and depth of support for the East Solano plan across Solano County, from all walks of life, all parts of the county who are saying the same thing: Yes,” he said.\u003c/p>\n\u003cp>But Paul Mitchell, who heads the political polling organization Redistricting Partners, said signature gathering can be done quickly — if you’re willing to pay for it.\u003c/p>\n\u003cp>“These signature firms, when they have the resources to hire staff, don’t fail in collecting signatures,” he said. “The signature-gathering process is very mechanical. So if you have the resources to pay for all those mechanics, you’ll be fine.”\u003c/p>\n\u003cp>While the Secretary of State’s Office did not confirm or deny whether it was investigating any formal complaints against California Forever, a spokesperson at the Solano County Registrar’s Office said at least nine people had emailed the office, complaining about misconduct.\u003c/p>\n\u003cp>Vacaville resident Tina Collins said she saw that conduct first-hand in early April from a signature gatherer standing outside a Walmart Supercenter in Dixon. She said the worker handed her several pieces of paper to sign, but she was confused about what she was approving. When she refused to sign the documents, she said the signature gatherer followed her to her car.\u003c/p>\n\u003cp>“I felt extremely uncomfortable,” she said. “I haven’t heard much about [California Forever], but from what I’ve heard, I don’t think it’s promising.”\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"aside","attributes":{"named":{"label":"Related Coverage ","tag":"housing"},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>California Forever may have an uphill battle ahead of them as they seek approval from voters, who have been deeply skeptical of the plan since it was unveiled last August. It, along with its parent company, Flannery Associates, were forced to reveal their identities after spending the past six years \u003ca href=\"https://www.kqed.org/news/11970694/california-forever-lawsuit-looms-as-solano-county-farmers-fight-back\">discreetly buying about 60,000 acres of land\u003c/a> in the Montezuma Hills. Since going public, California Forever has been met with harsh criticism from \u003ca href=\"https://www.kqed.org/news/11976108/california-forever-faces-resistance-from-federal-lawmakers-and-local-leaders-in-solano-county\">several lawmakers\u003c/a>, affordable housing advocates and residents.\u003c/p>\n\u003cp>A poll conducted in early March by FM3 Research on behalf of the Greenbelt Alliance, an organization staunchly opposed to the project, found that 60% of people aware of the company’s plan opposed it.\u003c/p>\n\u003cp>But despite vocal naysayers, some Solano County voters are supportive. Tyree Carrie lives in Suisun City, a few miles from the proposed new town. He said if it makes it to the November ballot, he’ll vote “Yes.”\u003c/p>\n\u003cp>“I feel it’s something that’s very necessary,” he said. “There’s a lot of people who are struggling with housing in general, so I think it’s awesome when there are more options available and being able to generate income in an area, as far as giving people work.”\u003c/p>\n\u003cp>Among the myriad of promises California Forever has tied to its proposal, the company said it would bring 15,000 new jobs with higher-than-average pay. A recent \u003ca href=\"https://assets.ctfassets.net/ivxuf0dn6dhw/7d88UkQMImn6Q01yvy1RWM/76e2a1e38c16fc52ab3b758f6caf71b0/CMC_Solano_Analysis.pdf\">study\u003c/a> conducted by Michael Genest, the former California Director of Finance, found a “significant economic gap between Solano County and its neighbors in the Bay Area,” with a 30% gap in average household income between Solano County residents and other Bay Area residents, based on 2022 numbers.\u003c/p>\n\u003cp>“In cities like Fairfield and [others], there’s not a lot of good-paying jobs and not a lot of affordable housing either,” said Niyah Proctor, a Fairfield resident. “The state of California is really expensive, so I feel like we should add more places for people to be able to afford.”\u003c/p>\n\u003cp>To woo more voters like Carrie and Proctor and get its initiative approved, California Forever promised to spend big bucks on its campaign. Just how much won’t be publicly available until the company files its campaign finance statements.\u003c/p>\n\u003cp>Bob Stern, who served on the first council of the Fair Political Practices Commission, said deep pockets don’t necessarily guarantee a “Yes” vote.\u003c/p>\n\u003cp>“Just because you spend a lot of money doesn’t mean you’re going to win an election,” he said. “It does mean you’re going to get on the ballot.”\u003c/p>\n\u003cp>\u003c/p>\n\u003c/div>\u003c/p>","attributes":{"named":{},"numeric":[]}}],"link":"/news/11984408/billionaire-backed-bid-for-new-solano-county-city-is-closer-to-november-ballot","authors":["11672"],"categories":["news_6266","news_8"],"tags":["news_18538","news_33689","news_27626","news_1775","news_21358","news_353","news_23938","news_27264","news_273"],"featImg":"news_11984434","label":"news"},"news_11982379":{"type":"posts","id":"news_11982379","meta":{"index":"posts_1591205157","site":"news","id":"11982379","score":null,"sort":[1712709574000]},"guestAuthors":[],"slug":"san-jose-leaders-ban-homeless-encampments-near-schools","title":"San José Leaders Ban Homeless Encampments Near Schools","publishDate":1712709574,"format":"standard","headTitle":"San José Leaders Ban Homeless Encampments Near Schools | KQED","labelTerm":{"site":"news"},"content":"\u003cp>San José leaders approved new rules on Tuesday barring people experiencing homelessness from living near schools and greenlit new limits on where people in RVs can park.[pullquote size=\"medium\" align=\"right\" citation=\"Jennifer Loving, CEO of Destination: Home\"]‘We shouldn’t make it harder for those that have been pushed into our streets to survive.’[/pullquote]\u003c/p>\n\u003cp>While city officials say the changes are motivated by an immediate need to address the feeling of safety for students, homeless advocates say the move by the San José City Council lays the groundwork for more widespread restrictions against people living in tents, RVs and cars in the future.\u003c/p>\n\u003cp>“You are criminalizing the unhoused people because they don’t have a home,” Gail Osmer, a homeless advocate in San José, told the council on Tuesday. “Maybe they shouldn’t be near schools, OK? But there is no place for them to go.”\u003c/p>\n\u003cfigure id=\"attachment_11982492\" class=\"wp-caption alignnone\" style=\"max-width: 800px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-11982492\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-019-BL_qut-800x533.jpg\" alt=\"Pink and blue paint on an RV with a sign that says 'Welcome'\" width=\"800\" height=\"533\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-019-BL_qut-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-019-BL_qut-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-019-BL_qut-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-019-BL_qut-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-019-BL_qut.jpg 1920w\" sizes=\"(max-width: 800px) 100vw, 800px\">\u003cfigcaption class=\"wp-caption-text\">An RV is decorated with a ‘Welcome’ sign in East San José on April 9, 2024. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>The council voted unanimously in favor of the restrictions, though for them to become official, a second reading of the rules needs to be approved at the April 23 council meeting. Officials said they would take effect 30 days after that.\u003c/p>\n\u003cp>Under the new local laws, the city will ban all homeless encampments within 150 feet of K-12 schools citywide by establishing “School Clearance Zones.” Officials said the rules formalize and slightly expand on a similar policy the city already has in place. City staff reports said anyone violating the rule would not be subject to any “criminal enforcement” but would be given a $0 administrative citation.[aside tag=\"housing\" label=\"More Housing Coverage\"]\u003c/p>\n\u003cp>The council’s action also gives the police and other city workers broad power to tow or remove large vehicles, such as RVs, when they are parked in areas the council designates as prohibited. But first, city officials must complete a traffic study to determine if the vehicles cause safety hazards in a given area and would need to post “no overnight parking” or “no large vehicle parking” signs before any enforcement could take place.\u003c/p>\n\u003cp>Officials said the city would start with a pilot program to enforce RV restrictions around three schools: KIPP San José Collegiate, which is on the campus of Independence High School; Shirakawa Elementary School; and Challenger School in Berryessa.\u003c/p>\n\u003cp>The rules could be expanded and enforced in more areas if the council decides and if the budget for enforcement and planning can be allocated, officials said.\u003c/p>\n\u003cfigure id=\"attachment_11982454\" class=\"wp-caption alignnone\" style=\"max-width: 800px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-11982454\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-013-BL_qut-800x533.jpg\" alt=\"A woman sweeps the sidewalk near an RV while a dog stands nearby.\" width=\"800\" height=\"533\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-013-BL_qut-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-013-BL_qut-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-013-BL_qut-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-013-BL_qut-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-013-BL_qut.jpg 1920w\" sizes=\"(max-width: 800px) 100vw, 800px\">\u003cfigcaption class=\"wp-caption-text\">Ana Lilia Guerrero, 37, takes her dog, Duke, outside the RV where she lives in East San José near Independence High School on April 9, 2024. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Ana Lilia Guerrero, 37, lives in an RV near Independence High School in East San José. She has been living in the RV for a year and a half after she lost a job cleaning homes and her apartment rent increased.\u003c/p>\n\u003cp>Living in an RV makes everyday necessities like cooking, cleaning and bathing harder to manage, Guerrero said in Spanish through an interpreter, and the new rules won’t make anything easier.\u003c/p>\n\u003cp>“We’re gonna have to scatter out, another difficulty for us to find a place to go,” Guerrero told KQED. She’s grown frustrated with city and county officials who have long talked publicly about the need to help people experiencing homelessness.\u003c/p>\n\u003cp>“All they do is promise us things, and they don’t come through with it,” she said.[pullquote size=\"medium\" align=\"right\" citation=\"Ana Lilia Guerrero, lives in an RV after she lost her job and her apartment rent increased\"]‘We’re gonna have to scatter out, another difficulty for us to find a place to go.’[/pullquote]\u003c/p>\n\u003cp>Tuesday’s approval is several months in the making after Mayor Matt Mahan and District 5 City Councilmember Peter Ortiz highlighted concerns in August from students at public charter high school, KIPP San José Collegiate.\u003c/p>\n\u003cp>The students reportedly told officials they sometimes feel unsafe coming to and from school, find needles on campus, and have been verbally harassed by people living on the street near their campus.\u003c/p>\n\u003cp>“While we are working to build basic dignified shelters, safe parking sites and more affordable housing, (students) should not have to deal with those conditions right next to their school every day,” Mahan said to reporters on Tuesday.\u003c/p>\n\u003cp>Mahan said more \u003ca href=\"https://www.kqed.org/news/11979482/san-jose-mayor-matt-mahan-calls-for-urgent-action-on-homelessness-in-city-budget-plan\">statewide and regional coordination is needed\u003c/a> to create enough interim and permanent housing solutions for people in need.\u003c/p>\n\u003cp>Homelessness \u003ca href=\"https://www.kqed.org/news/11982237/california-audit-questions-state-homelessness-spending-san-jose\">increased in San José between 2015 to 2022, from just over 4,000 to 6,650\u003c/a>. The population dipped slightly in 2023 to 6,340 — which Mahan attributes to the city’s investment in interim housing.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" title=\"Sheltered and Unsheltered Homelessness in San Jose\" aria-label=\"Stacked Bars\" id=\"datawrapper-chart-Dw8zM\" src=\"https://datawrapper.dwcdn.net/Dw8zM/1/\" scrolling=\"no\" frameborder=\"0\" style=\"width: 0; min-width: 100% !important; border: none;\" height=\"385\" width=\"100%\" class=\"iframe-class\">\u003c/iframe>\u003cbr>\n[datawrapper]\u003c/p>\n\u003cp>The city opened one safe parking site last year at the Santa Teresa VTA light rail station with space for about 45 cars and plans to open a larger site at 1300 Berryessa Road later this year, which could accommodate about 85 vehicles.\u003c/p>\n\u003cp>Jennifer Loving, the CEO of Destination: Home, a key public-private partnership working to end homelessness in Santa Clara County, said people experiencing homelessness are still desperately struggling in this region.\u003c/p>\n\u003cp>“Homelessness is a crisis for everybody in a community, but punitive approaches to managing homelessness are not effective if we’re not also making sure that we’re creating more and more places for people to go,” Loving said. “We shouldn’t make it harder for those that have been pushed into our streets to survive.”\u003c/p>\n\u003cfigure id=\"attachment_11982494\" class=\"wp-caption alignnone\" style=\"max-width: 800px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-11982494\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-032-BL_qut-800x533.jpg\" alt=\"Purple agapantha flowers in the forefront and a row of RVs lined up next to the street in the background.\" width=\"800\" height=\"533\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-032-BL_qut-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-032-BL_qut-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-032-BL_qut-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-032-BL_qut-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-032-BL_qut.jpg 1920w\" sizes=\"(max-width: 800px) 100vw, 800px\">\u003cfigcaption class=\"wp-caption-text\">A row of RVs are parked on Educational Park Drive in San José on April 9, 2024. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>\u003c/p>\n","blocks":[],"excerpt":"The new rules also restrict where people living in RVs can park and sleep overnight.","status":"publish","parent":0,"modified":1712770912,"stats":{"hasAudio":false,"hasVideo":false,"hasChartOrMap":true,"iframeSrcs":["https://datawrapper.dwcdn.net/Dw8zM/1/"],"hasGoogleForm":false,"hasGallery":false,"hasHearkenModule":false,"hasPolis":false,"paragraphCount":23,"wordCount":992},"headData":{"title":"San José Leaders Ban Homeless Encampments Near Schools | KQED","description":"The new rules also restrict where people living in RVs can park and sleep overnight.","ogTitle":"","ogDescription":"","ogImgId":"","twTitle":"","twDescription":"","twImgId":"","schema":{"@context":"http://schema.org","@type":"NewsArticle","headline":"San José Leaders Ban Homeless Encampments Near Schools","datePublished":"2024-04-10T00:39:34.000Z","dateModified":"2024-04-10T17:41:52.000Z","image":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png","isAccessibleForFree":"Y","publisher":{"@type":"NewsMediaOrganization","@id":"https://www.kqed.org/#organization","name":"KQED","url":"https://www.kqed.org","logo":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png"}}},"sticky":false,"excludeFromSiteSearch":"Include","articleAge":"0","path":"/news/11982379/san-jose-leaders-ban-homeless-encampments-near-schools","audioTrackLength":null,"parsedContent":[{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003cp>San José leaders approved new rules on Tuesday barring people experiencing homelessness from living near schools and greenlit new limits on where people in RVs can park.\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"‘We shouldn’t make it harder for those that have been pushed into our streets to survive.’","name":"pullquote","attributes":{"named":{"size":"medium","align":"right","citation":"Jennifer Loving, CEO of Destination: Home","label":""},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>While city officials say the changes are motivated by an immediate need to address the feeling of safety for students, homeless advocates say the move by the San José City Council lays the groundwork for more widespread restrictions against people living in tents, RVs and cars in the future.\u003c/p>\n\u003cp>“You are criminalizing the unhoused people because they don’t have a home,” Gail Osmer, a homeless advocate in San José, told the council on Tuesday. “Maybe they shouldn’t be near schools, OK? But there is no place for them to go.”\u003c/p>\n\u003cfigure id=\"attachment_11982492\" class=\"wp-caption alignnone\" style=\"max-width: 800px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-11982492\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-019-BL_qut-800x533.jpg\" alt=\"Pink and blue paint on an RV with a sign that says 'Welcome'\" width=\"800\" height=\"533\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-019-BL_qut-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-019-BL_qut-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-019-BL_qut-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-019-BL_qut-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-019-BL_qut.jpg 1920w\" sizes=\"(max-width: 800px) 100vw, 800px\">\u003cfigcaption class=\"wp-caption-text\">An RV is decorated with a ‘Welcome’ sign in East San José on April 9, 2024. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>The council voted unanimously in favor of the restrictions, though for them to become official, a second reading of the rules needs to be approved at the April 23 council meeting. Officials said they would take effect 30 days after that.\u003c/p>\n\u003cp>Under the new local laws, the city will ban all homeless encampments within 150 feet of K-12 schools citywide by establishing “School Clearance Zones.” Officials said the rules formalize and slightly expand on a similar policy the city already has in place. City staff reports said anyone violating the rule would not be subject to any “criminal enforcement” but would be given a $0 administrative citation.\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"aside","attributes":{"named":{"tag":"housing","label":"More Housing Coverage "},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>The council’s action also gives the police and other city workers broad power to tow or remove large vehicles, such as RVs, when they are parked in areas the council designates as prohibited. But first, city officials must complete a traffic study to determine if the vehicles cause safety hazards in a given area and would need to post “no overnight parking” or “no large vehicle parking” signs before any enforcement could take place.\u003c/p>\n\u003cp>Officials said the city would start with a pilot program to enforce RV restrictions around three schools: KIPP San José Collegiate, which is on the campus of Independence High School; Shirakawa Elementary School; and Challenger School in Berryessa.\u003c/p>\n\u003cp>The rules could be expanded and enforced in more areas if the council decides and if the budget for enforcement and planning can be allocated, officials said.\u003c/p>\n\u003cfigure id=\"attachment_11982454\" class=\"wp-caption alignnone\" style=\"max-width: 800px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-11982454\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-013-BL_qut-800x533.jpg\" alt=\"A woman sweeps the sidewalk near an RV while a dog stands nearby.\" width=\"800\" height=\"533\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-013-BL_qut-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-013-BL_qut-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-013-BL_qut-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-013-BL_qut-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-013-BL_qut.jpg 1920w\" sizes=\"(max-width: 800px) 100vw, 800px\">\u003cfigcaption class=\"wp-caption-text\">Ana Lilia Guerrero, 37, takes her dog, Duke, outside the RV where she lives in East San José near Independence High School on April 9, 2024. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Ana Lilia Guerrero, 37, lives in an RV near Independence High School in East San José. She has been living in the RV for a year and a half after she lost a job cleaning homes and her apartment rent increased.\u003c/p>\n\u003cp>Living in an RV makes everyday necessities like cooking, cleaning and bathing harder to manage, Guerrero said in Spanish through an interpreter, and the new rules won’t make anything easier.\u003c/p>\n\u003cp>“We’re gonna have to scatter out, another difficulty for us to find a place to go,” Guerrero told KQED. She’s grown frustrated with city and county officials who have long talked publicly about the need to help people experiencing homelessness.\u003c/p>\n\u003cp>“All they do is promise us things, and they don’t come through with it,” she said.\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"‘We’re gonna have to scatter out, another difficulty for us to find a place to go.’","name":"pullquote","attributes":{"named":{"size":"medium","align":"right","citation":"Ana Lilia Guerrero, lives in an RV after she lost her job and her apartment rent increased","label":""},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>Tuesday’s approval is several months in the making after Mayor Matt Mahan and District 5 City Councilmember Peter Ortiz highlighted concerns in August from students at public charter high school, KIPP San José Collegiate.\u003c/p>\n\u003cp>The students reportedly told officials they sometimes feel unsafe coming to and from school, find needles on campus, and have been verbally harassed by people living on the street near their campus.\u003c/p>\n\u003cp>“While we are working to build basic dignified shelters, safe parking sites and more affordable housing, (students) should not have to deal with those conditions right next to their school every day,” Mahan said to reporters on Tuesday.\u003c/p>\n\u003cp>Mahan said more \u003ca href=\"https://www.kqed.org/news/11979482/san-jose-mayor-matt-mahan-calls-for-urgent-action-on-homelessness-in-city-budget-plan\">statewide and regional coordination is needed\u003c/a> to create enough interim and permanent housing solutions for people in need.\u003c/p>\n\u003cp>Homelessness \u003ca href=\"https://www.kqed.org/news/11982237/california-audit-questions-state-homelessness-spending-san-jose\">increased in San José between 2015 to 2022, from just over 4,000 to 6,650\u003c/a>. The population dipped slightly in 2023 to 6,340 — which Mahan attributes to the city’s investment in interim housing.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" title=\"Sheltered and Unsheltered Homelessness in San Jose\" aria-label=\"Stacked Bars\" id=\"datawrapper-chart-Dw8zM\" src=\"https://datawrapper.dwcdn.net/Dw8zM/1/\" scrolling=\"no\" frameborder=\"0\" style=\"width: 0; min-width: 100% !important; border: none;\" height=\"385\" width=\"100%\" class=\"iframe-class\">\u003c/iframe>\u003cbr>\n\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"datawrapper","attributes":{"named":{"label":""},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>The city opened one safe parking site last year at the Santa Teresa VTA light rail station with space for about 45 cars and plans to open a larger site at 1300 Berryessa Road later this year, which could accommodate about 85 vehicles.\u003c/p>\n\u003cp>Jennifer Loving, the CEO of Destination: Home, a key public-private partnership working to end homelessness in Santa Clara County, said people experiencing homelessness are still desperately struggling in this region.\u003c/p>\n\u003cp>“Homelessness is a crisis for everybody in a community, but punitive approaches to managing homelessness are not effective if we’re not also making sure that we’re creating more and more places for people to go,” Loving said. “We shouldn’t make it harder for those that have been pushed into our streets to survive.”\u003c/p>\n\u003cfigure id=\"attachment_11982494\" class=\"wp-caption alignnone\" style=\"max-width: 800px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-11982494\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-032-BL_qut-800x533.jpg\" alt=\"Purple agapantha flowers in the forefront and a row of RVs lined up next to the street in the background.\" width=\"800\" height=\"533\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-032-BL_qut-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-032-BL_qut-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-032-BL_qut-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-032-BL_qut-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/04/240409-SJEncampmentBan-032-BL_qut.jpg 1920w\" sizes=\"(max-width: 800px) 100vw, 800px\">\u003cfigcaption class=\"wp-caption-text\">A row of RVs are parked on Educational Park Drive in San José on April 9, 2024. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"ad","attributes":{"named":{"label":"fullwidth"},"numeric":["fullwidth"]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>\u003c/p>\n\u003c/div>\u003c/p>","attributes":{"named":{},"numeric":[]}}],"link":"/news/11982379/san-jose-leaders-ban-homeless-encampments-near-schools","authors":["11906"],"categories":["news_31795","news_6266","news_6188","news_28250","news_8"],"tags":["news_27626","news_4020","news_1775","news_21358","news_24635","news_18541","news_353","news_29607"],"featImg":"news_11982448","label":"news"},"news_11981595":{"type":"posts","id":"news_11981595","meta":{"index":"posts_1591205157","site":"news","id":"11981595","score":null,"sort":[1712081713000]},"guestAuthors":[],"slug":"controversial-california-law-meant-to-spur-new-housing-could-get-more-teeth","title":"Controversial California Law Meant to Spur New Housing Could Get More Teeth","publishDate":1712081713,"format":"standard","headTitle":"Controversial California Law Meant to Spur New Housing Could Get More Teeth | KQED","labelTerm":{"site":"news"},"content":"\u003cp>A controversial California law meant to scare cities into allowing more housing could grow a few more teeth.\u003c/p>\n\u003cp>Attorney General Rob Bonta announced Tuesday that he is sponsoring AB 1893, a bill by Assemblymember Buffy Wicks (D-Oakland) that would update the builder’s remedy. The law allows developers to bypass local building rules and receive automatic approval for dense housing developments in jurisdictions that are out of compliance with state housing law.\u003c/p>\n\u003cp>\u003ca href=\"https://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=202320240AB1893\">AB 1893\u003c/a> updates the original law to reduce the amount of affordable housing required for builder’s remedy projects — from 20% to 10% — and exempt developments with 10 or fewer units from providing any affordable housing at all. It also clarifies where the projects can be located and establishes standards for how large they can be, among other changes.[pullquote size=\"medium\" align=\"right\" citation=\"Adam Mayberry, architect\"]‘A bill like this would lessen the uncertainty and the risk that developers that have submitted projects are going through.’[/pullquote]\u003c/p>\n\u003cp>Bonta said the bill clarifies “how the builder’s remedy will work in different situations.\u003c/p>\n\u003cp>“It provides clear and objective standards, to provide greater guidance, more clarity, more certainty as to when the builder’s remedy applies and when projects must be approved,” he said.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>By reducing the bill’s requirements and providing legal clarity on a law filled with ambiguities could empower more developers to use the law. And since the builder’s remedy only applies to cities or counties that don’t comply with state housing law, Wicks said the bill should further incentivize those jurisdictions to get in line.\u003c/p>\n\u003cp>“The message to local jurisdictions is very clear: The days of shirking your responsibility to your neighbors are over,” she said. “This bill is not about taking away local control. It’s about creating consequences for ignoring the law.”\u003c/p>\n\u003cp>[aside postID=\"news_11945744,news_11938267\" label=\"Related Stories\"]Though the builder’s remedy has been on the books since 1990, developers have only recently been willing to use it. That changed, in part, due to a bevy of new housing laws that have been approved over the past half-decade as the state seeks to spur the construction of some \u003ca href=\"https://statewide-housing-plan-cahcd.hub.arcgis.com/\">2.5 million new homes by 2031\u003c/a>.\u003c/p>\n\u003cp>In particular, jurisdictions are required to submit plans to the state every eight years detailing where developers can build new housing. But, because of those recent changes to state law, cities and counties not only have to plan for more housing than ever before, they also have to locate more of that housing in neighborhoods with access to highly-rated schools, grocery stores and transportation.\u003c/p>\n\u003cp>That’s meant that cities and counties have often had to resubmit plans multiple times.\u003c/p>\n\u003cp>As of Tuesday, 40% of cities and counties across the state were \u003ca href=\"https://www.hcd.ca.gov/planning-and-community-development/housing-open-data-tools/housing-element-review-and-compliance-report\">out of compliance\u003c/a> with state housing law, and in the Bay Area, 37% were out of compliance — making them potentially vulnerable to builder’s remedy projects.\u003c/p>\n\u003cp>In the past two years, \u003ca href=\"https://airtable.com/app9RDx8iUzQMybXB/shrOu16SXIFWr5Bsy/tblCmd5iq08cbtxR8/viwdVopcBuGou2AfK?backgroundColor=green\">at least 93 builder’s remedy projects\u003c/a>, representing 17,000 potential new homes or apartments, have been proposed across California, according to the pro-housing advocacy organization, YIMBY Law, which keeps a running tally — though Sonja Trauss, the organization’s executive director, admits the tally is an undercount.\u003c/p>\n\u003cp>“When a jurisdiction is in compliance with housing element law, that means they’ve made it possible to build the housing that we need,” Wicks said. “That means that they have zoned to ensure there’s enough land where it’s legal to build housing. They’ve removed constraints so that their approval process is more efficient and objective.”\u003c/p>\n\u003cp>Even without the update proposed under AB 1893, Trauss said the law has been successful “at motivating cities to get in compliance” with state housing laws.\u003c/p>\n\u003cp>“We’re looking forward to continuing to see positive results in the courts on projects using the existing program, and also looking forward to the improvements this bill promises in making the builder’s remedy even easier to use to build housing faster,” she wrote in an email.\u003c/p>\n\u003cp>The projects, however, have faced opposition from cities that have sought to block approvals under the builder’s remedy. In the wealthy Los Angeles-area city of La Cañada Flintridge, for instance, city officials denied an application for a project with 80 mixed-income apartment units, along with hotel and office space, arguing it had “self-certified” its own housing plan, making it immune to the law. Last month, a court \u003ca href=\"https://oag.ca.gov/news/press-releases/attorney-general-bonta-court-orders-la-ca%C3%B1ada-flintridge-follow-state-housing#:~:text=OAKLAND%20%E2%80%94%20California%20Attorney%20General%20Rob,did%20not%20have%20a%20compliant\">ruled against the city\u003c/a>, forcing it to proceed with processing the application.\u003c/p>\n\u003cp>AB 1893 clarifies where housing could be built, designating sites already used for housing, retail or office as appropriate and prohibiting projects on or adjacent to industrial sites. It also provides clearer objective standards for development, allowing projects to more than double or sometimes triple the density of housing the jurisdiction currently allows.\u003c/p>\n\u003cp>All of which should make it easier for developers to make sure their projects can’t be challenged in court, said Muhammad Alameldin, a policy associate with the Terner Center for Housing Innovation at UC Berkeley.\u003c/p>\n\u003cp>“It establishes a definitive objective standard,” he said. “This also diminishes the ability for local governments to disapprove projects by adding onerous standards or refusing to process applications.”\u003c/p>\n\u003cp>Alameldin said the projects are more likely to be financially feasible by lowering the requirements to provide affordable housing.\u003c/p>\n\u003cp>“So what the bill hopes to do is that by lowering the threshold, more projects will be proposed,” he said. “By making [the affordable housing requirement] 10%, then projects could start penciling across the state.”\u003c/p>\n\u003cp>One developer, Sasha Zbrozek, wasted no time submitting an application to build a five-unit townhouse on his property in the Bay Area’s Los Altos Hills. But just a month after he submitted it, city officials found it incomplete.\u003c/p>\n\u003cp>A year later, his project still hasn’t broken ground — a result, he said, of a combination of factors, including high-interest rates and regulatory hurdles. Even with the changes proposed to the builder’s remedy, Zbrozek said it’s unlikely to spur enough housing to make a dent in the state’s affordability crisis.\u003c/p>\n\u003cp>[ad floatright]\u003c/p>\n\u003cp>“I’ve realized that if I want to build homes, that it will need to be in a different state that has fewer and more favorable laws,” he said.\u003c/p>\n\n","blocks":[],"excerpt":"California Attorney General Rob Bonta is partnering with Assemblymember Buffy Wicks on a bill that would update a controversial housing measure known as the 'builder's remedy' meant to get more homes built — and scare cities into following state housing law.","status":"publish","parent":0,"modified":1712089238,"stats":{"hasAudio":false,"hasVideo":false,"hasChartOrMap":false,"iframeSrcs":[],"hasGoogleForm":false,"hasGallery":false,"hasHearkenModule":false,"hasPolis":false,"paragraphCount":26,"wordCount":1119},"headData":{"title":"Controversial California Law Meant to Spur New Housing Could Get More Teeth | KQED","description":"California Attorney General Rob Bonta is partnering with Assemblymember Buffy Wicks on a bill that would update a controversial housing measure known as the 'builder's remedy' meant to get more homes built — and scare cities into following state housing law.","ogTitle":"","ogDescription":"","ogImgId":"","twTitle":"","twDescription":"","twImgId":"","schema":{"@context":"http://schema.org","@type":"NewsArticle","headline":"Controversial California Law Meant to Spur New Housing Could Get More Teeth","datePublished":"2024-04-02T18:15:13.000Z","dateModified":"2024-04-02T20:20:38.000Z","image":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png","isAccessibleForFree":"Y","publisher":{"@type":"NewsMediaOrganization","@id":"https://www.kqed.org/#organization","name":"KQED","url":"https://www.kqed.org","logo":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png"}}},"sticky":false,"excludeFromSiteSearch":"Include","articleAge":"0","path":"/news/11981595/controversial-california-law-meant-to-spur-new-housing-could-get-more-teeth","audioTrackLength":null,"parsedContent":[{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003cp>A controversial California law meant to scare cities into allowing more housing could grow a few more teeth.\u003c/p>\n\u003cp>Attorney General Rob Bonta announced Tuesday that he is sponsoring AB 1893, a bill by Assemblymember Buffy Wicks (D-Oakland) that would update the builder’s remedy. The law allows developers to bypass local building rules and receive automatic approval for dense housing developments in jurisdictions that are out of compliance with state housing law.\u003c/p>\n\u003cp>\u003ca href=\"https://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=202320240AB1893\">AB 1893\u003c/a> updates the original law to reduce the amount of affordable housing required for builder’s remedy projects — from 20% to 10% — and exempt developments with 10 or fewer units from providing any affordable housing at all. It also clarifies where the projects can be located and establishes standards for how large they can be, among other changes.\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"‘A bill like this would lessen the uncertainty and the risk that developers that have submitted projects are going through.’","name":"pullquote","attributes":{"named":{"size":"medium","align":"right","citation":"Adam Mayberry, architect","label":""},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>Bonta said the bill clarifies “how the builder’s remedy will work in different situations.\u003c/p>\n\u003cp>“It provides clear and objective standards, to provide greater guidance, more clarity, more certainty as to when the builder’s remedy applies and when projects must be approved,” he said.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"ad","attributes":{"named":{"label":"fullwidth"},"numeric":["fullwidth"]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>By reducing the bill’s requirements and providing legal clarity on a law filled with ambiguities could empower more developers to use the law. And since the builder’s remedy only applies to cities or counties that don’t comply with state housing law, Wicks said the bill should further incentivize those jurisdictions to get in line.\u003c/p>\n\u003cp>“The message to local jurisdictions is very clear: The days of shirking your responsibility to your neighbors are over,” she said. “This bill is not about taking away local control. It’s about creating consequences for ignoring the law.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"aside","attributes":{"named":{"postid":"news_11945744,news_11938267","label":"Related Stories "},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>Though the builder’s remedy has been on the books since 1990, developers have only recently been willing to use it. That changed, in part, due to a bevy of new housing laws that have been approved over the past half-decade as the state seeks to spur the construction of some \u003ca href=\"https://statewide-housing-plan-cahcd.hub.arcgis.com/\">2.5 million new homes by 2031\u003c/a>.\u003c/p>\n\u003cp>In particular, jurisdictions are required to submit plans to the state every eight years detailing where developers can build new housing. But, because of those recent changes to state law, cities and counties not only have to plan for more housing than ever before, they also have to locate more of that housing in neighborhoods with access to highly-rated schools, grocery stores and transportation.\u003c/p>\n\u003cp>That’s meant that cities and counties have often had to resubmit plans multiple times.\u003c/p>\n\u003cp>As of Tuesday, 40% of cities and counties across the state were \u003ca href=\"https://www.hcd.ca.gov/planning-and-community-development/housing-open-data-tools/housing-element-review-and-compliance-report\">out of compliance\u003c/a> with state housing law, and in the Bay Area, 37% were out of compliance — making them potentially vulnerable to builder’s remedy projects.\u003c/p>\n\u003cp>In the past two years, \u003ca href=\"https://airtable.com/app9RDx8iUzQMybXB/shrOu16SXIFWr5Bsy/tblCmd5iq08cbtxR8/viwdVopcBuGou2AfK?backgroundColor=green\">at least 93 builder’s remedy projects\u003c/a>, representing 17,000 potential new homes or apartments, have been proposed across California, according to the pro-housing advocacy organization, YIMBY Law, which keeps a running tally — though Sonja Trauss, the organization’s executive director, admits the tally is an undercount.\u003c/p>\n\u003cp>“When a jurisdiction is in compliance with housing element law, that means they’ve made it possible to build the housing that we need,” Wicks said. “That means that they have zoned to ensure there’s enough land where it’s legal to build housing. They’ve removed constraints so that their approval process is more efficient and objective.”\u003c/p>\n\u003cp>Even without the update proposed under AB 1893, Trauss said the law has been successful “at motivating cities to get in compliance” with state housing laws.\u003c/p>\n\u003cp>“We’re looking forward to continuing to see positive results in the courts on projects using the existing program, and also looking forward to the improvements this bill promises in making the builder’s remedy even easier to use to build housing faster,” she wrote in an email.\u003c/p>\n\u003cp>The projects, however, have faced opposition from cities that have sought to block approvals under the builder’s remedy. In the wealthy Los Angeles-area city of La Cañada Flintridge, for instance, city officials denied an application for a project with 80 mixed-income apartment units, along with hotel and office space, arguing it had “self-certified” its own housing plan, making it immune to the law. Last month, a court \u003ca href=\"https://oag.ca.gov/news/press-releases/attorney-general-bonta-court-orders-la-ca%C3%B1ada-flintridge-follow-state-housing#:~:text=OAKLAND%20%E2%80%94%20California%20Attorney%20General%20Rob,did%20not%20have%20a%20compliant\">ruled against the city\u003c/a>, forcing it to proceed with processing the application.\u003c/p>\n\u003cp>AB 1893 clarifies where housing could be built, designating sites already used for housing, retail or office as appropriate and prohibiting projects on or adjacent to industrial sites. It also provides clearer objective standards for development, allowing projects to more than double or sometimes triple the density of housing the jurisdiction currently allows.\u003c/p>\n\u003cp>All of which should make it easier for developers to make sure their projects can’t be challenged in court, said Muhammad Alameldin, a policy associate with the Terner Center for Housing Innovation at UC Berkeley.\u003c/p>\n\u003cp>“It establishes a definitive objective standard,” he said. “This also diminishes the ability for local governments to disapprove projects by adding onerous standards or refusing to process applications.”\u003c/p>\n\u003cp>Alameldin said the projects are more likely to be financially feasible by lowering the requirements to provide affordable housing.\u003c/p>\n\u003cp>“So what the bill hopes to do is that by lowering the threshold, more projects will be proposed,” he said. “By making [the affordable housing requirement] 10%, then projects could start penciling across the state.”\u003c/p>\n\u003cp>One developer, Sasha Zbrozek, wasted no time submitting an application to build a five-unit townhouse on his property in the Bay Area’s Los Altos Hills. But just a month after he submitted it, city officials found it incomplete.\u003c/p>\n\u003cp>A year later, his project still hasn’t broken ground — a result, he said, of a combination of factors, including high-interest rates and regulatory hurdles. Even with the changes proposed to the builder’s remedy, Zbrozek said it’s unlikely to spur enough housing to make a dent in the state’s affordability crisis.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"ad","attributes":{"named":{"label":"floatright"},"numeric":["floatright"]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>“I’ve realized that if I want to build homes, that it will need to be in a different state that has fewer and more favorable laws,” he said.\u003c/p>\n\n\u003c/div>\u003c/p>","attributes":{"named":{},"numeric":[]}}],"link":"/news/11981595/controversial-california-law-meant-to-spur-new-housing-could-get-more-teeth","authors":["11652","11672"],"categories":["news_6266","news_8"],"tags":["news_3921","news_32754","news_1386","news_20179","news_33942","news_18538","news_27626","news_1775","news_27208","news_21358"],"featImg":"news_11767898","label":"news"},"news_11980785":{"type":"posts","id":"news_11980785","meta":{"index":"posts_1591205157","site":"news","id":"11980785","score":null,"sort":[1711537242000]},"guestAuthors":[],"slug":"these-california-companies-want-to-buy-your-backyard-and-build-a-house","title":"These California Companies Want to Buy Your Backyard — and Build a House","publishDate":1711537242,"format":"standard","headTitle":"These California Companies Want to Buy Your Backyard — and Build a House | KQED","labelTerm":{},"content":"\u003cp>Brian and Gail Tremaine moved to East San José 45 years ago for the quiet. On the outskirts of this Silicon Valley city, atop what was once an apricot orchard, the couple kept sheep, goats and horses.\u003c/p>\n\u003cp>They planted mulberry trees along the driveway and carved terraces and patios out of the sloping hillside, but a portion of the 1.7-acre property remained untamed.\u003c/p>\n\u003cp>“It’s just become an area where we need to do weed control and keep it clean because the county gets after us if the weeds get too high,” said Brian Tremaine, 75. “We’re getting to the age where we want less land.”\u003c/p>\n\u003cp>The couple first considered building an accessory dwelling unit (ADU) or backyard cottage. But the cost — with estimates ranging from $500,000 to $700,000 — was formidable, Brian Tremaine said, as was the idea of taking out a second mortgage.\u003c/p>\n\u003cfigure id=\"attachment_11979558\" class=\"wp-caption alignnone\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-11979558\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-8-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-8-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-8-KQED-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-8-KQED-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-8-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-8-KQED-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-8-KQED-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Brian and Gail Tremaine stand in the parcel of land that will be carved from their original parcel in San José on March 13, 2024. \u003ccite>(Kathryn Styer Martínez/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>That’s when they learned about \u003ca href=\"https://www.buildcasa.com/\">BuildCasa \u003c/a>— a company that would purchase a portion of their backyard and assist them in splitting the lot under SB 9, a controversial law that went into effect in January 2022. It allows property owners to build up to two duplexes on most single-family properties.\u003c/p>\n\u003cp>At the time of its passage, supporters hailed it as the end of single-family zoning in California and an opportunity to spur more housing, while critics worried it would spark a dramatic shift in the makeup of California’s suburban neighborhoods. But in the first two years since the law was in effect, it has produced little in the way of either new lots or housing.\u003c/p>\n\u003cp>A KQED survey of 16 cities of varying sizes across the state found that between 2022 and 2023, the cities collectively approved 75 lot split applications and 112 applications for new units under the law. That’s compared to more than 8,800 ADUs the cities permitted during the same time frame.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" src=\"https://datawrapper.dwcdn.net/ih4uc/4/?v=3\" width=\"800\" height=\"620\" scrolling=\"yes\" class=\"iframe-class\" frameborder=\"0\">\u003c/iframe>\u003c/p>\n\u003cp>However, a growing cadre of companies is hoping to jumpstart the construction of SB 9 projects by taking on the permitting and development work themselves, as well as making it easier for homeowners to take advantage of the law.\u003c/p>\n\u003cp>“These types of projects are really costly and complicated for a homeowner to take on,” said Ben Bear, co-founder and CEO of BuildCasa. “They’re basically asking the homeowner to be a developer, which, from a financial and capabilities perspective, is a challenge.”\u003c/p>\n\u003cp>In Southern California, \u003ca href=\"https://yardsworth.com/\">Yardsworth\u003c/a> has emerged with a model similar to BuildCasa. But unlike the latter company, which sells the lots to developers, Yardsworth plans to develop the lots themselves and either sell or rent out the new homes. Elsewhere in the state, other companies are specializing in particular aspects of SB 9.\u003c/p>\n\u003cp>[pullquote align=\"right\" size=\"medium\" citation=\"Ben Bear, co-founder and CEO, BuildCasa.\"]‘These types of projects are really costly and complicated for a homeowner to take on. They’re basically asking the homeowner to be a developer, which, from a financial and capabilities perspective, is a challenge.’[/pullquote]Bear said his clients make, on average, just over $100,000 selling the new lot — though in high-priced areas of the state, the amounts have been as high as $400,000. Homeowners get to keep their existing home and mortgage.\u003c/p>\n\u003cp>The tradeoff, he said, is a reduction in the value of the existing property by 10% or less.\u003c/p>\n\u003cp>“So there’s a major positive benefit when you compare those two numbers,” Bear said.\u003c/p>\n\u003cp>Whether these offers are enticing enough to encourage more homeowners to take advantage of SB 9 remains to be seen.\u003c/p>\n\u003cp>Muhammad Alameldin, a policy associate at the Terner Center for Housing Innovation at UC Berkeley, is skeptical that these companies alone can kickstart the construction of new housing because few projects are financially viable under SB 9. He said that without changing the law itself, it would likely result in only a smattering of new homes each year.\u003c/p>\n\u003cp>“If we do not go back after implementation and reform and fix some of the requirements of [SB 9],” he said, “then what’s the point of even having this big fight in the first place?”\u003c/p>\n\u003ch2>Slow uptake\u003c/h2>\n\u003cp>After the law went into effect, many cities implemented their own restrictions on SB 9 projects. Alameldin co-authored a \u003ca href=\"https://ternercenter.berkeley.edu/research-and-policy/sb-9-turns-one-applications/\">2023 report\u003c/a> detailing many of them: limitations on the size of new units, open space requirements and burdensome fees, to name a few.\u003c/p>\n\u003cp>It was a story that had been told before — with ADUs, which were first \u003ca href=\"https://bipartisanpolicy.org/blog/accessory-dwelling-units-adus-in-california/#:~:text=In%202016%2C%20the%20state%20legislature,zoning%20ordinances%20and%20permitting%20processes.\">legalized statewide in 2016\u003c/a>. It took several years and nearly a dozen new laws to reduce regulations and spur construction. In 2016, just over\u003ca href=\"https://bipartisanpolicy.org/blog/accessory-dwelling-units-adus-in-california/#:~:text=As%20soon%20as%20the%20first,19%25%20of%20new%20housing%20permits.\"> 1,000 ADUs were approved\u003c/a> across the state. In 2022, there were nearly 25,000 — comprising \u003ca href=\"https://www.hcd.ca.gov/planning-and-community-development/housing-open-data-tools/housing-element-implementation-and-apr-dashboard\">nearly a fifth\u003c/a> of the state’s estimated housing supply.\u003c/p>\n\u003cfigure id=\"attachment_11979557\" class=\"wp-caption alignnone\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-11979557\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-5-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-5-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-5-KQED-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-5-KQED-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-5-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-5-KQED-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-5-KQED-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">The plot of land that will be carved off of Gail and Brian Tremaine’s original lot in San José on March 13, 2024. \u003ccite>(Kathryn Styer Martínez/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“It wasn’t by accident,” Alameldin said. “It was years and years of legislation by multiple authors from the Assembly and Senate, who kept improving the law year after year.”\u003c/p>\n\u003cp>State Sen. Toni Atkins, SB 9’s original author, has introduced a bill, \u003ca href=\"https://sd39.senate.ca.gov/news/20230320-senate-leader-atkins-introduces-legislation-improve-access-oversight-california-home\">SB 450\u003c/a>, that begins to address some of the issues that developers, planning staff and homeowners have faced. It would set a time limit for jurisdictions to approve or reject applications for SB 9 projects and mandate that new housing not be held to stricter design standards than other homes.\u003c/p>\n\u003cp>The bill passed in the Senate and Assembly last year but was then put on hold. It’s eligible for a floor vote this year.\u003c/p>\n\u003cp>In a statement, Atkins acknowledged the slow rollout of SB 9 and said she was committed to “finding solutions to the housing crisis by building on past legislative efforts, like SB 9.”\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>“Implementation of new legislation like SB 9 doesn’t happen overnight; it takes time and thoughtful consideration,” Atkins wrote. “SB 9 is a modest tool that gives homeowners control of housing options that best meet their needs.”\u003c/p>\n\u003cp>But even with the proposed changes, some developers said SB 450 doesn’t go far enough. Several said they would like to see an anti-speculation measure removed that requires applicants to live on the property for three years after undergoing a lot split.\u003c/p>\n\u003cp>Doing so would make the projects more enticing to developers, said Peter Taormina, the managing owner of a development company called Cypress Pacific Investors, who is hoping the provision can be changed in subsequent legislation.\u003c/p>\n\u003cp>[pullquote align=\"right\" size=\"medium\" citation=\"State Sen. Toni Atkins (D-San Diego)\"]‘Implementation of new legislation like SB 9 doesn’t happen overnight; it takes time and thoughtful consideration. SB 9 is a modest tool that gives homeowners control of housing options that best meet their needs.’[/pullquote]“You’re going to have to let the people that do this for a living, roll up their sleeves and do it,” said Taormina, who is in the process of completing an SB 9 project in Marina, California, that consists of splitting three parcels into six with a home and an in-law unit on each. “The end result will be [that] housing will be created.”\u003c/p>\n\u003cp>But Matt Lucido, co-founder and CEO of Yardsworth, identified less tangible barriers, as well. Most people simply aren’t aware of the bill, he said, and even if they are, they may be reluctant to sell a portion of their backyard.\u003c/p>\n\u003cp>“It’s a really emotional thing. People are attached to their backyards, even if they don’t use them,” he said. “You’re asking them to carve off a piece of the American dream.”\u003c/p>\n\u003cp>To help potential clients overcome this hurdle, Yardsworth introduced a \u003ca href=\"https://zerodownca.com/\">new offer\u003c/a> earlier this month: The company will fund the down payment on a new home in exchange for a portion of the homebuyer’s yet-to-sentimentalized backyard. Lucido said that can help solve two problems simultaneously — adding housing amid a shortage and helping renters become owners.\u003c/p>\n\u003ch2>Homeowners leverage their lots\u003c/h2>\n\u003cp>For those willing to take on an SB 9 project, the leaders of BuildCasa and Yardsworth said their clients tended to fall into two categories: retirees looking to downsize in place — similar to the Tremaines in San José — or younger homeowners hoping to leverage the equity in their properties without taking on debt.\u003c/p>\n\u003cp>The latter was the case for one of Yardsworth’s clients, former Olympian Jamele Mason, who competed in the 2012 Summer Games in the men’s 400-meter hurdles. Mason bought his South Los Angeles home in February 2020, right before the pandemic lockdowns.\u003c/p>\n\u003cp>[aside label=\"Related Stories\" postID=\"news_11968455,news_11806332,news_11770372\"]At first, he thought maintaining the large backyard, with its lemon tree and pergola, would be a fun pastime. But, he quickly realized it was more work than pleasure.\u003c/p>\n\u003cp>“So, I ripped up all the grass that was in the back. I put in artificial turf to try to make it as low maintenance as possible,” he said. “Turns out there is still maintenance that needs to be done.”\u003c/p>\n\u003cp>He learned about Yardsworth while researching ways to pull equity out of his house without having to sell and contacted the company last fall to begin the process. In January, he began working for Yardsworth as a sales manager.\u003c/p>\n\u003cp>Mason, 34, said he plans to use the $135,000 he got from Yardsworth to buy an investment property in Houston, where he grew up. He hopes the additional property will set him up for a more comfortable retirement, something he admitted was a constant worry.\u003c/p>\n\u003cp>“I put everything I had into purchasing this house,” Mason said. “So, when I found out that I could pull the money out, I was like, ‘Wow, that’s actually a really cool way to leverage what I have.’”\u003c/p>\n\u003cp>In other cases, homeowners opt to keep their split lots vacant as an investment — either to pass down to their children or sell later. Such was the case with roughly half of Peter Riechers’ 80 or so clients, who are spread out across the state, he said. The president of civil engineering firm Riechers Engineering said he was so motivated by SB 9’s potential that he came out of a 15-year retirement when the law went into effect.\u003c/p>\n\u003cp>“It was so exciting — still is very exciting,” he said. “You’ve got all this land sitting there, not being used … when it could be used for this housing crisis we have in California.”\u003c/p>\n\u003cp>[pullquote align=\"right\" size=\"medium\" citation=\"Peter Riechers, president, Riechers Engineering\"]‘It was so exciting — still is very exciting. You’ve got all this land sitting there, not being used … when it could be used for this housing crisis we have in California.’[/pullquote]Easton McAllister, the owner of DeBolt Civil Engineering, which is based out of Danville, said his company has taken on at least 50 lot splits. In roughly a dozen cases, he said he’s also offered to complete the work for free in exchange for an option to purchase the newly split lot.\u003c/p>\n\u003cp>It is unclear whether these companies’ models of shepherding property owners through the process — and then selling the newly split lots or developing them themselves — are in keeping with the spirit of SB 9’s anti-speculation protections. Atkins declined to be interviewed and didn’t respond to a request for comment via email.\u003c/p>\n\u003cp>But both Mason and the Tremaines said their projects wouldn’t have happened without some kind of professional assistance. Brian Tremaine said he wouldn’t even have known where to start.\u003c/p>\n\u003cp>“If you ever go to the county, it’s impossible. … Who do you talk to?” he said. “That would have taken months — probably years, literally — just to figure it out.”\u003c/p>\n\u003cp>In Los Angeles, Mason is bracing for a duplex to be built behind his single-story home, while the Tremaines said they don’t yet know what kind of home might be built in their backyard.\u003c/p>\n\u003cp>But that’s not what worries Gail Tremaine. The law requires at least 40% of the existing lot to be sectioned off, which, in the Tremaines’ case, made for an awkward gerrymandering of the property. It meant they not only had to carve off the unused portion of their backyard but a portion of their front yard, as well.\u003c/p>\n\u003cp>“That kind of tugs at my heart a little,” she said. “You know, change is always hard. And the older you get, the harder change is.”\u003c/p>\n\u003cp>[ad floatright]\u003c/p>\n","blocks":[],"excerpt":"SB 9, which went into effect in January 2022, allows property owners to split their lot into two parcels and build a duplex on each lot.","status":"publish","parent":0,"modified":1711498816,"stats":{"hasAudio":false,"hasVideo":false,"hasChartOrMap":true,"iframeSrcs":["https://datawrapper.dwcdn.net/ih4uc/4/"],"hasGoogleForm":false,"hasGallery":false,"hasHearkenModule":false,"hasPolis":false,"paragraphCount":48,"wordCount":2254},"headData":{"title":"These California Companies Want to Buy Your Backyard — and Build a House | KQED","description":"SB 9, which went into effect in January 2022, allows property owners to split their lot into two parcels and build a duplex on each lot.","ogTitle":"","ogDescription":"","ogImgId":"","twTitle":"","twDescription":"","twImgId":"","schema":{"@context":"http://schema.org","@type":"NewsArticle","headline":"These California Companies Want to Buy Your Backyard — and Build a House","datePublished":"2024-03-27T11:00:42.000Z","dateModified":"2024-03-27T00:20:16.000Z","image":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png","isAccessibleForFree":"Y","publisher":{"@type":"NewsMediaOrganization","@id":"https://www.kqed.org/#organization","name":"KQED","url":"https://www.kqed.org","logo":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png"}}},"source":"TCRAM","sticky":false,"excludeFromSiteSearch":"Include","articleAge":"0","path":"/news/11980785/these-california-companies-want-to-buy-your-backyard-and-build-a-house","audioTrackLength":null,"parsedContent":[{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003cp>Brian and Gail Tremaine moved to East San José 45 years ago for the quiet. On the outskirts of this Silicon Valley city, atop what was once an apricot orchard, the couple kept sheep, goats and horses.\u003c/p>\n\u003cp>They planted mulberry trees along the driveway and carved terraces and patios out of the sloping hillside, but a portion of the 1.7-acre property remained untamed.\u003c/p>\n\u003cp>“It’s just become an area where we need to do weed control and keep it clean because the county gets after us if the weeds get too high,” said Brian Tremaine, 75. “We’re getting to the age where we want less land.”\u003c/p>\n\u003cp>The couple first considered building an accessory dwelling unit (ADU) or backyard cottage. But the cost — with estimates ranging from $500,000 to $700,000 — was formidable, Brian Tremaine said, as was the idea of taking out a second mortgage.\u003c/p>\n\u003cfigure id=\"attachment_11979558\" class=\"wp-caption alignnone\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-11979558\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-8-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-8-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-8-KQED-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-8-KQED-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-8-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-8-KQED-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-8-KQED-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Brian and Gail Tremaine stand in the parcel of land that will be carved from their original parcel in San José on March 13, 2024. \u003ccite>(Kathryn Styer Martínez/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>That’s when they learned about \u003ca href=\"https://www.buildcasa.com/\">BuildCasa \u003c/a>— a company that would purchase a portion of their backyard and assist them in splitting the lot under SB 9, a controversial law that went into effect in January 2022. It allows property owners to build up to two duplexes on most single-family properties.\u003c/p>\n\u003cp>At the time of its passage, supporters hailed it as the end of single-family zoning in California and an opportunity to spur more housing, while critics worried it would spark a dramatic shift in the makeup of California’s suburban neighborhoods. But in the first two years since the law was in effect, it has produced little in the way of either new lots or housing.\u003c/p>\n\u003cp>A KQED survey of 16 cities of varying sizes across the state found that between 2022 and 2023, the cities collectively approved 75 lot split applications and 112 applications for new units under the law. That’s compared to more than 8,800 ADUs the cities permitted during the same time frame.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" src=\"https://datawrapper.dwcdn.net/ih4uc/4/?v=3\" width=\"800\" height=\"620\" scrolling=\"yes\" class=\"iframe-class\" frameborder=\"0\">\u003c/iframe>\u003c/p>\n\u003cp>However, a growing cadre of companies is hoping to jumpstart the construction of SB 9 projects by taking on the permitting and development work themselves, as well as making it easier for homeowners to take advantage of the law.\u003c/p>\n\u003cp>“These types of projects are really costly and complicated for a homeowner to take on,” said Ben Bear, co-founder and CEO of BuildCasa. “They’re basically asking the homeowner to be a developer, which, from a financial and capabilities perspective, is a challenge.”\u003c/p>\n\u003cp>In Southern California, \u003ca href=\"https://yardsworth.com/\">Yardsworth\u003c/a> has emerged with a model similar to BuildCasa. But unlike the latter company, which sells the lots to developers, Yardsworth plans to develop the lots themselves and either sell or rent out the new homes. Elsewhere in the state, other companies are specializing in particular aspects of SB 9.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"‘These types of projects are really costly and complicated for a homeowner to take on. They’re basically asking the homeowner to be a developer, which, from a financial and capabilities perspective, is a challenge.’","name":"pullquote","attributes":{"named":{"align":"right","size":"medium","citation":"Ben Bear, co-founder and CEO, BuildCasa.","label":""},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>Bear said his clients make, on average, just over $100,000 selling the new lot — though in high-priced areas of the state, the amounts have been as high as $400,000. Homeowners get to keep their existing home and mortgage.\u003c/p>\n\u003cp>The tradeoff, he said, is a reduction in the value of the existing property by 10% or less.\u003c/p>\n\u003cp>“So there’s a major positive benefit when you compare those two numbers,” Bear said.\u003c/p>\n\u003cp>Whether these offers are enticing enough to encourage more homeowners to take advantage of SB 9 remains to be seen.\u003c/p>\n\u003cp>Muhammad Alameldin, a policy associate at the Terner Center for Housing Innovation at UC Berkeley, is skeptical that these companies alone can kickstart the construction of new housing because few projects are financially viable under SB 9. He said that without changing the law itself, it would likely result in only a smattering of new homes each year.\u003c/p>\n\u003cp>“If we do not go back after implementation and reform and fix some of the requirements of [SB 9],” he said, “then what’s the point of even having this big fight in the first place?”\u003c/p>\n\u003ch2>Slow uptake\u003c/h2>\n\u003cp>After the law went into effect, many cities implemented their own restrictions on SB 9 projects. Alameldin co-authored a \u003ca href=\"https://ternercenter.berkeley.edu/research-and-policy/sb-9-turns-one-applications/\">2023 report\u003c/a> detailing many of them: limitations on the size of new units, open space requirements and burdensome fees, to name a few.\u003c/p>\n\u003cp>It was a story that had been told before — with ADUs, which were first \u003ca href=\"https://bipartisanpolicy.org/blog/accessory-dwelling-units-adus-in-california/#:~:text=In%202016%2C%20the%20state%20legislature,zoning%20ordinances%20and%20permitting%20processes.\">legalized statewide in 2016\u003c/a>. It took several years and nearly a dozen new laws to reduce regulations and spur construction. In 2016, just over\u003ca href=\"https://bipartisanpolicy.org/blog/accessory-dwelling-units-adus-in-california/#:~:text=As%20soon%20as%20the%20first,19%25%20of%20new%20housing%20permits.\"> 1,000 ADUs were approved\u003c/a> across the state. In 2022, there were nearly 25,000 — comprising \u003ca href=\"https://www.hcd.ca.gov/planning-and-community-development/housing-open-data-tools/housing-element-implementation-and-apr-dashboard\">nearly a fifth\u003c/a> of the state’s estimated housing supply.\u003c/p>\n\u003cfigure id=\"attachment_11979557\" class=\"wp-caption alignnone\" style=\"max-width: 2000px\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-11979557\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-5-KQED.jpg\" alt=\"\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-5-KQED.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-5-KQED-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-5-KQED-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-5-KQED-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-5-KQED-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/03/240313-SB-9-SANJOSE-KSM-5-KQED-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">The plot of land that will be carved off of Gail and Brian Tremaine’s original lot in San José on March 13, 2024. \u003ccite>(Kathryn Styer Martínez/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“It wasn’t by accident,” Alameldin said. “It was years and years of legislation by multiple authors from the Assembly and Senate, who kept improving the law year after year.”\u003c/p>\n\u003cp>State Sen. Toni Atkins, SB 9’s original author, has introduced a bill, \u003ca href=\"https://sd39.senate.ca.gov/news/20230320-senate-leader-atkins-introduces-legislation-improve-access-oversight-california-home\">SB 450\u003c/a>, that begins to address some of the issues that developers, planning staff and homeowners have faced. It would set a time limit for jurisdictions to approve or reject applications for SB 9 projects and mandate that new housing not be held to stricter design standards than other homes.\u003c/p>\n\u003cp>The bill passed in the Senate and Assembly last year but was then put on hold. It’s eligible for a floor vote this year.\u003c/p>\n\u003cp>In a statement, Atkins acknowledged the slow rollout of SB 9 and said she was committed to “finding solutions to the housing crisis by building on past legislative efforts, like SB 9.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"ad","attributes":{"named":{"label":"fullwidth"},"numeric":["fullwidth"]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>“Implementation of new legislation like SB 9 doesn’t happen overnight; it takes time and thoughtful consideration,” Atkins wrote. “SB 9 is a modest tool that gives homeowners control of housing options that best meet their needs.”\u003c/p>\n\u003cp>But even with the proposed changes, some developers said SB 450 doesn’t go far enough. Several said they would like to see an anti-speculation measure removed that requires applicants to live on the property for three years after undergoing a lot split.\u003c/p>\n\u003cp>Doing so would make the projects more enticing to developers, said Peter Taormina, the managing owner of a development company called Cypress Pacific Investors, who is hoping the provision can be changed in subsequent legislation.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"‘Implementation of new legislation like SB 9 doesn’t happen overnight; it takes time and thoughtful consideration. SB 9 is a modest tool that gives homeowners control of housing options that best meet their needs.’","name":"pullquote","attributes":{"named":{"align":"right","size":"medium","citation":"State Sen. Toni Atkins (D-San Diego)","label":""},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>“You’re going to have to let the people that do this for a living, roll up their sleeves and do it,” said Taormina, who is in the process of completing an SB 9 project in Marina, California, that consists of splitting three parcels into six with a home and an in-law unit on each. “The end result will be [that] housing will be created.”\u003c/p>\n\u003cp>But Matt Lucido, co-founder and CEO of Yardsworth, identified less tangible barriers, as well. Most people simply aren’t aware of the bill, he said, and even if they are, they may be reluctant to sell a portion of their backyard.\u003c/p>\n\u003cp>“It’s a really emotional thing. People are attached to their backyards, even if they don’t use them,” he said. “You’re asking them to carve off a piece of the American dream.”\u003c/p>\n\u003cp>To help potential clients overcome this hurdle, Yardsworth introduced a \u003ca href=\"https://zerodownca.com/\">new offer\u003c/a> earlier this month: The company will fund the down payment on a new home in exchange for a portion of the homebuyer’s yet-to-sentimentalized backyard. Lucido said that can help solve two problems simultaneously — adding housing amid a shortage and helping renters become owners.\u003c/p>\n\u003ch2>Homeowners leverage their lots\u003c/h2>\n\u003cp>For those willing to take on an SB 9 project, the leaders of BuildCasa and Yardsworth said their clients tended to fall into two categories: retirees looking to downsize in place — similar to the Tremaines in San José — or younger homeowners hoping to leverage the equity in their properties without taking on debt.\u003c/p>\n\u003cp>The latter was the case for one of Yardsworth’s clients, former Olympian Jamele Mason, who competed in the 2012 Summer Games in the men’s 400-meter hurdles. Mason bought his South Los Angeles home in February 2020, right before the pandemic lockdowns.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"aside","attributes":{"named":{"label":"Related Stories ","postid":"news_11968455,news_11806332,news_11770372"},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>At first, he thought maintaining the large backyard, with its lemon tree and pergola, would be a fun pastime. But, he quickly realized it was more work than pleasure.\u003c/p>\n\u003cp>“So, I ripped up all the grass that was in the back. I put in artificial turf to try to make it as low maintenance as possible,” he said. “Turns out there is still maintenance that needs to be done.”\u003c/p>\n\u003cp>He learned about Yardsworth while researching ways to pull equity out of his house without having to sell and contacted the company last fall to begin the process. In January, he began working for Yardsworth as a sales manager.\u003c/p>\n\u003cp>Mason, 34, said he plans to use the $135,000 he got from Yardsworth to buy an investment property in Houston, where he grew up. He hopes the additional property will set him up for a more comfortable retirement, something he admitted was a constant worry.\u003c/p>\n\u003cp>“I put everything I had into purchasing this house,” Mason said. “So, when I found out that I could pull the money out, I was like, ‘Wow, that’s actually a really cool way to leverage what I have.’”\u003c/p>\n\u003cp>In other cases, homeowners opt to keep their split lots vacant as an investment — either to pass down to their children or sell later. Such was the case with roughly half of Peter Riechers’ 80 or so clients, who are spread out across the state, he said. The president of civil engineering firm Riechers Engineering said he was so motivated by SB 9’s potential that he came out of a 15-year retirement when the law went into effect.\u003c/p>\n\u003cp>“It was so exciting — still is very exciting,” he said. “You’ve got all this land sitting there, not being used … when it could be used for this housing crisis we have in California.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"‘It was so exciting — still is very exciting. You’ve got all this land sitting there, not being used … when it could be used for this housing crisis we have in California.’","name":"pullquote","attributes":{"named":{"align":"right","size":"medium","citation":"Peter Riechers, president, Riechers Engineering","label":""},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>Easton McAllister, the owner of DeBolt Civil Engineering, which is based out of Danville, said his company has taken on at least 50 lot splits. In roughly a dozen cases, he said he’s also offered to complete the work for free in exchange for an option to purchase the newly split lot.\u003c/p>\n\u003cp>It is unclear whether these companies’ models of shepherding property owners through the process — and then selling the newly split lots or developing them themselves — are in keeping with the spirit of SB 9’s anti-speculation protections. Atkins declined to be interviewed and didn’t respond to a request for comment via email.\u003c/p>\n\u003cp>But both Mason and the Tremaines said their projects wouldn’t have happened without some kind of professional assistance. Brian Tremaine said he wouldn’t even have known where to start.\u003c/p>\n\u003cp>“If you ever go to the county, it’s impossible. … Who do you talk to?” he said. “That would have taken months — probably years, literally — just to figure it out.”\u003c/p>\n\u003cp>In Los Angeles, Mason is bracing for a duplex to be built behind his single-story home, while the Tremaines said they don’t yet know what kind of home might be built in their backyard.\u003c/p>\n\u003cp>But that’s not what worries Gail Tremaine. The law requires at least 40% of the existing lot to be sectioned off, which, in the Tremaines’ case, made for an awkward gerrymandering of the property. It meant they not only had to carve off the unused portion of their backyard but a portion of their front yard, as well.\u003c/p>\n\u003cp>“That kind of tugs at my heart a little,” she said. “You know, change is always hard. And the older you get, the harder change is.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"ad","attributes":{"named":{"label":"floatright"},"numeric":["floatright"]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003c/div>\u003c/p>","attributes":{"named":{},"numeric":[]}}],"link":"/news/11980785/these-california-companies-want-to-buy-your-backyard-and-build-a-house","authors":["11652"],"programs":["news_72"],"categories":["news_31795","news_6266","news_8"],"tags":["news_3921","news_18538","news_27626","news_31235","news_1775","news_27208","news_21358","news_33930","news_33929","news_29952","news_33928","news_5986"],"featImg":"news_11980876","label":"source_news_11980785"},"news_11977071":{"type":"posts","id":"news_11977071","meta":{"index":"posts_1591205157","site":"news","id":"11977071","score":null,"sort":[1708989603000]},"guestAuthors":[],"slug":"larkspur-voters-to-decide-future-of-rent-control-in-their-city","title":"Larkspur Voters to Decide Future of Rent Control in Their City","publishDate":1708989603,"format":"audio","headTitle":"Larkspur Voters to Decide Future of Rent Control in Their City | KQED","labelTerm":{"site":"news"},"content":"\u003cp>\u003cem>Note: This story contains a clarification.\u003c/em>\u003c/p>\n\u003cp>After heated city council meetings and a months-long referendum campaign rife with accusations of fraud, voters in Larkspur next week will decide the fate of rent control in their city.\u003c/p>\n\u003cp>They’ll be asked to vote on Measure D, a 7% rent cap.\u003c/p>\n\u003cp>“Rent control is almost a loaded word,” said City Councilmember Gabe Paulson, who championed the rent stabilization plan in the picturesque Marin County community. “It just creates an emotional reaction.”\u003c/p>\n\u003cp>[pullquote size=\"medium\" align=\"right\" citation=\"Gabe Paulson, Larkspur City Council member\"]‘What really matters now is on March 5, will the 8,000 or so voters in Larkspur understand what’s really being voted on, and what it means to them?’[/pullquote]Led by Paulson, the City Council voted last September to cap annual residential rent increases at 5% plus inflation, or 7%, whichever is lower, bringing the ceiling down from the state cap of 10%. The city manager \u003ca href=\"https://www.cityoflarkspur.org/DocumentCenter/View/16407/41-Rent-Workshop\">estimates\u003c/a> it will cost up to $400,000 in its first year and roughly $200,000 per year thereafter. Landlords would pay an estimated $100 to $200 annual fee per unit to cover the bulk of those costs.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>That plan would have gone into effect last October, but opponents launched a petition to \u003ca href=\"https://cityoflarkspur.org/DocumentCenter/View/18442/Item-81---Referendum-for-1067\">send a referendum on the plan to voters as Measure D\u003c/a>. Former Larkspur mayor Bill Howard supports the referendum and called the city’s proposed rent cap “deeply flawed.”\u003c/p>\n\u003cfigure id=\"attachment_11976593\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003ca href=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2.jpg\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-11976593 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2.jpg\" alt=\"A closeup of a white man wearing a white hat and glasses. \" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003c/a>\u003cfigcaption class=\"wp-caption-text\">Bill Howard stands outside of an 8-unit apartment complex he owns, 30 Locust Avenue Apartments, in Larkspur on Feb. 17, 2024. Howard is opposed to Measure D, which is scheduled to appear on the March 2024 ballot. \u003ccite>(Kathryn Styer Martínez/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“It’s just a dangerous thing to regulate the market,” he said.\u003c/p>\n\u003cp>[aside postID=\"news_11970062,news_11976600\" label=\"Related Stories\"]The campaign to overturn the city’s ordinance has been loudly criticized by supporters of the city’s plan. Opponents \u003ca href=\"https://www.marinij.com/2024/02/12/marin-elections-larkspur-rent-control-opposition-leads-donation-list/\">spent over $90,000 to gather signatures\u003c/a> for the referendum, employing some tactics that raised alarm bells for tenant advocates.\u003c/p>\n\u003cp>Residents complained to the city that the signature-gatherers were misrepresenting the petition, and Paulson said one resident even filed a police report. Doorbell camera footage shared with KQED by tenant advocates appears to show a signature gatherer wrongly telling a resident that supporting the petition would establish rent control in the city. The company hired to manage signature gathering, On the Ground Inc., did not respond to a request for comment.\u003c/p>\n\u003cp>“What really matters now is on March 5, will the 8,000 or so voters in Larkspur understand what’s really being voted on and what it means to them?” Paulson said.\u003c/p>\n\u003cp>He sees rent control as a necessary tool for keeping seniors on a fixed income and essential workers from being displaced amid the city’s housing shortage. The apartment listing website, \u003ca href=\"https://www.zillow.com/rental-manager/market-trends/larkspur-ca/\">Zillow, estimates\u003c/a> “typical” rents in Marin County have gone up 33% since 2015, from $2,760 to $3,680.\u003c/p>\n\u003cp>“What everybody is waiting for is more housing,” Paulson said, adding that until that housing is built, “The question is how many people are we going to displace?”\u003c/p>\n\u003cp>The Tenant Protection Act, which the state legislature approved in 2019, covers most rental units that are more than 15 years old and caps rental increases at 10% annually. Local rent control ordinances are subject to the Costa-Hawkins Rental Housing Act, which excludes units built after 1995. In Larkspur, the \u003ca href=\"https://www.cityoflarkspur.org/DocumentCenter/View/16407/41-Rent-Workshop\">city manager estimates\u003c/a> that would leave 1,825 rental units subject to the city’s proposed cap.\u003c/p>\n\u003cfigure id=\"attachment_11976597\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003ca href=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2.jpg\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-11976597 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2.jpg\" alt=\"A white woman wearing a dark green sweater and necklace stands inside a home.\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003c/a>\u003cfigcaption class=\"wp-caption-text\">Dorothy O’Leary stands in the 1-bedroom apartment she shares with her cat Mara in Larkspur on Feb. 17, 2024. O’Leary said she is organizing with residents from her apartment complex, Skylark Apartments, as well as renters from Bon Air Apartments, Woodlark Residences and Serenity Knolls. \u003ccite>(Kathryn Styer Martínez/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Dorothy O’Leary is one of them and an avid supporter of Measure D.\u003c/p>\n\u003cp>A couple of years ago, a new owner, Prime Residential, took over the sprawling apartment complex where she lives. O’Leary said the company increased tenants’ rents every year since, and her most recent annual increase added $186 to her monthly bill.\u003c/p>\n\u003cp>“That might not sound like a lot to some people, but it’s significant to me,” she said. “They are maximizing rent increases at an exponential rate that people can’t tolerate, and all over the place, people started moving out.”\u003c/p>\n\u003cp>Daniel Goldstein, a spokesperson for Prime Residential, said that when the company took over the property, some longtime tenants were paying rents that were 30% to 50% below those at similar properties in the area. The spokesperson said Prime has undertaken significant renovations, including seismic retrofits, and average rents at the complex are less than 25% of median household income.\u003c/p>\n\u003cp>O’Leary and her neighbors began to organize and drew in residents from other apartment complexes to form what they’ve dubbed the Keep Larkspur Fair and Affordable movement. They put pressure on the City Council, O’Leary said, “begging for help.”\u003c/p>\n\u003cp>The 7% cap Paulson eventually put forward was a disappointment to the group because, she said, it was too weak. The tenants group is now gathering signatures to put \u003ca href=\"https://www.larkspur4rentcontrol.com/\">a stronger rent control measure on the November ballot\u003c/a>. It would limit annual increases to 3%.\u003c/p>\n\u003cp>But even the proposed 7% ceiling has met fervent opposition from property owners, with the No on Measure D campaign \u003ca href=\"https://www.cityoflarkspur.org/840/Campaign-Disclosures\">raising some $300,000\u003c/a>.\u003c/p>\n\u003cfigure id=\"attachment_11976594\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003ca href=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2.jpg\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-11976594 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2.jpg\" alt=\"A white man wearing glasses and a dark jacket stands outside a building in a parking lot.\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003c/a>\u003cfigcaption class=\"wp-caption-text\">Bill Howard, 89, of Larkspur, stands outside of an 8-unit apartment complex he owns, 30 Locust Avenue Apartments, in Larkspur on Feb. 17, 2024. Howard is opposed to Measure D, which would establish rent control in Larkspur and is scheduled to appear on the March 2024 ballot. \u003ccite>(Kathryn Styer Martínez/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Howard acknowledged that in the short term, the city’s proposed rent cap wouldn’t impact his rental business; he typically raises rents each year by 2% to 4%, which is already below the city’s proposed threshold. His opposition to the measure is rooted in what he sees as negative long-term impacts on the city’s housing market.\u003c/p>\n\u003cp>“The only way you’re going to beat the problems associated with the cost of housing and rentals is to build more housing,” he said, arguing that curbing owners’ ability to turn a profit ultimately discourages new construction and only exacerbates the housing affordability crisis.\u003c/p>\n\u003cp>“Why would somebody want to build something if they know that they’re going to get tagged for all kinds of controls?” he said. “Smart money doesn’t do that.”\u003c/p>\n\u003cp>\u003ca href=\"https://dornsife.usc.edu/eri/publications/rent-matters/\">Researchers have reached\u003c/a> mixed \u003ca href=\"https://www.urban.org/sites/default/files/publication/99646/rent_control._what_does_the_research_tell_us_about_the_effectiveness_of_local_action_1.pdf\">conclusions on the subject (PDF)\u003c/a>. \u003ca href=\"https://www.gsb.stanford.edu/faculty-research/publications/effects-rent-control-expansion-tenants-landlords-inequality-evidence\">Some studies\u003c/a> find rent control reduces tenant displacement in the short run but deters\u003ca href=\"https://www.sciencedirect.com/science/article/abs/pii/S0166046213000641\"> landlords from investing in maintenance\u003c/a> and drives up rents in the long term; others find \u003ca href=\"https://www.sciencedirect.com/science/article/abs/pii/S0264275115001122\">no impact on housing markets\u003c/a>; some \u003ca href=\"https://www.gsb.stanford.edu/faculty-research/publications/effects-rent-control-expansion-tenants-landlords-inequality-evidence\">find people of color are more likely to benefit\u003c/a>, while others conclude \u003ca href=\"https://ideas.repec.org/a/bpj/bejeap/v11y2011i1n27.html\">white, wealthier people are\u003c/a>.\u003c/p>\n\u003cp>Larkspur’s rent control push is part of a broader trend across California as cities struggle to rein in rising housing costs. In 2016, a wave of rent stabilization measures went before Bay Area voters, with about half approved.\u003c/p>\n\u003cp>More recently, \u003ca href=\"https://www.kqed.org/news/11971884/fairfax-tenants-rally-against-what-they-say-are-unlawful-rent-hikes\">Fairfax\u003c/a> became the first city in Marin County to enact a rent cap. In Contra Costa County, Antioch adopted, and \u003ca href=\"https://www.kqed.org/news/11975969/concord-tenants-claim-victory-with-passage-of-new-renter-protections\">Concord is poised to adopt\u003c/a> its own limits. In three other Bay Area cities this year — \u003ca href=\"https://www.kqed.org/news/11970062/these-4-bay-area-cities-could-see-rent-control-measures-on-2024-ballot\">Pittsburg, San Pablo and Redwood City\u003c/a> — proponents are collecting signatures to put rent control measures on the November ballot. Voters statewide will also weigh in on a November \u003ca href=\"https://justiceforrenters.org/\">measure\u003c/a> that would allow cities to expand local rent control measures by repealing the Costa-Hawkins Rental Housing Act.\u003c/p>\n\u003cp>Russell Lowery, executive director of the California Rental Housing Association, has watched with disillusionment as the momentum builds for rent control — something he views as a counterproductive strategy.\u003c/p>\n\u003cp>“As people look for answers to California’s housing crisis, they look at good ideas and bad ideas,” he said. “This is one of the bad ideas.”\u003c/p>\n\u003cfigure id=\"attachment_11976595\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003ca href=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2.jpg\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-11976595\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2.jpg\" alt=\"An apartment building.\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003c/a>\u003cfigcaption class=\"wp-caption-text\">30 Locust Avenue Apartments in Larkspur on Feb. 17, 2024. \u003ccite>(Kathryn Styer Martínez/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>His organization decried a \u003ca href=\"https://www.reuters.com/legal/us-supreme-court-wont-hear-challenge-rent-stabilization-laws-2024-02-20/\">February Supreme Court decision\u003c/a> that upheld New York’s rent control ordinance. He advocates for rental assistance programs, either public or private, as a better solution.\u003c/p>\n\u003cp>In response to the concerns of tenants and City Council members, the company that took over the management of O’Leary’s apartment complex tried this strategy. Prime Residential began offering 15% monthly discounts to tenants whose incomes fell below 50% of the area’s median income — or $65,250 for an individual — and limited their annual rent increases to inflation.\u003c/p>\n\u003cp>Goldstein said 100 households out of the 456 apartments are enrolled today.\u003c/p>\n\u003cp>In a \u003ca href=\"https://www.cityoflarkspur.org/DocumentCenter/View/16407/41-Rent-Workshop\">report last year\u003c/a>, some participants told city staff the subsidy offered a bit of relief, but they still wanted rent control.\u003c/p>\n\u003cp>[ad floatright]\u003c/p>\n\u003cp>\u003cem>Editor’s note: This story has been updated to clarify that the $100 to $200 estimated annual registration fees for landlords would be charged per unit.\u003c/em>\u003c/p>\n\n","blocks":[],"excerpt":"Larkspur landlords are spending big to take down Measure D, which would impose rent control in the city, but tenant activists say it doesn’t go far enough.","status":"publish","parent":0,"modified":1709757200,"stats":{"hasAudio":false,"hasVideo":false,"hasChartOrMap":false,"iframeSrcs":[],"hasGoogleForm":false,"hasGallery":false,"hasHearkenModule":false,"hasPolis":false,"paragraphCount":35,"wordCount":1590},"headData":{"title":"Larkspur Voters to Decide Future of Rent Control in Their City | KQED","description":"Larkspur landlords are spending big to take down Measure D, which would impose rent control in the city, but tenant activists say it doesn’t go far enough.","ogTitle":"","ogDescription":"","ogImgId":"","twTitle":"","twDescription":"","twImgId":"","schema":{"@context":"http://schema.org","@type":"NewsArticle","headline":"Larkspur Voters to Decide Future of Rent Control in Their City","datePublished":"2024-02-26T23:20:03.000Z","dateModified":"2024-03-06T20:33:20.000Z","image":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png","isAccessibleForFree":"Y","publisher":{"@type":"NewsMediaOrganization","@id":"https://www.kqed.org/#organization","name":"KQED","url":"https://www.kqed.org","logo":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png"}}},"audioUrl":"https://traffic.omny.fm/d/clips/0af137ef-751e-4b19-a055-aaef00d2d578/ffca7e9f-6831-41c5-bcaf-aaef00f5a073/5928626f-ddc5-496d-a6a2-b12601193040/audio.mp3","sticky":false,"excludeFromSiteSearch":"Include","articleAge":"0","path":"/news/11977071/larkspur-voters-to-decide-future-of-rent-control-in-their-city","audioTrackLength":null,"parsedContent":[{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003cp>\u003cem>Note: This story contains a clarification.\u003c/em>\u003c/p>\n\u003cp>After heated city council meetings and a months-long referendum campaign rife with accusations of fraud, voters in Larkspur next week will decide the fate of rent control in their city.\u003c/p>\n\u003cp>They’ll be asked to vote on Measure D, a 7% rent cap.\u003c/p>\n\u003cp>“Rent control is almost a loaded word,” said City Councilmember Gabe Paulson, who championed the rent stabilization plan in the picturesque Marin County community. “It just creates an emotional reaction.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"‘What really matters now is on March 5, will the 8,000 or so voters in Larkspur understand what’s really being voted on, and what it means to them?’","name":"pullquote","attributes":{"named":{"size":"medium","align":"right","citation":"Gabe Paulson, Larkspur City Council member","label":""},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>Led by Paulson, the City Council voted last September to cap annual residential rent increases at 5% plus inflation, or 7%, whichever is lower, bringing the ceiling down from the state cap of 10%. The city manager \u003ca href=\"https://www.cityoflarkspur.org/DocumentCenter/View/16407/41-Rent-Workshop\">estimates\u003c/a> it will cost up to $400,000 in its first year and roughly $200,000 per year thereafter. Landlords would pay an estimated $100 to $200 annual fee per unit to cover the bulk of those costs.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"ad","attributes":{"named":{"label":"fullwidth"},"numeric":["fullwidth"]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>That plan would have gone into effect last October, but opponents launched a petition to \u003ca href=\"https://cityoflarkspur.org/DocumentCenter/View/18442/Item-81---Referendum-for-1067\">send a referendum on the plan to voters as Measure D\u003c/a>. Former Larkspur mayor Bill Howard supports the referendum and called the city’s proposed rent cap “deeply flawed.”\u003c/p>\n\u003cfigure id=\"attachment_11976593\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003ca href=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2.jpg\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-11976593 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2.jpg\" alt=\"A closeup of a white man wearing a white hat and glasses. \" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-03-KQED-2-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003c/a>\u003cfigcaption class=\"wp-caption-text\">Bill Howard stands outside of an 8-unit apartment complex he owns, 30 Locust Avenue Apartments, in Larkspur on Feb. 17, 2024. Howard is opposed to Measure D, which is scheduled to appear on the March 2024 ballot. \u003ccite>(Kathryn Styer Martínez/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“It’s just a dangerous thing to regulate the market,” he said.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"aside","attributes":{"named":{"postid":"news_11970062,news_11976600","label":"Related Stories "},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>The campaign to overturn the city’s ordinance has been loudly criticized by supporters of the city’s plan. Opponents \u003ca href=\"https://www.marinij.com/2024/02/12/marin-elections-larkspur-rent-control-opposition-leads-donation-list/\">spent over $90,000 to gather signatures\u003c/a> for the referendum, employing some tactics that raised alarm bells for tenant advocates.\u003c/p>\n\u003cp>Residents complained to the city that the signature-gatherers were misrepresenting the petition, and Paulson said one resident even filed a police report. Doorbell camera footage shared with KQED by tenant advocates appears to show a signature gatherer wrongly telling a resident that supporting the petition would establish rent control in the city. The company hired to manage signature gathering, On the Ground Inc., did not respond to a request for comment.\u003c/p>\n\u003cp>“What really matters now is on March 5, will the 8,000 or so voters in Larkspur understand what’s really being voted on and what it means to them?” Paulson said.\u003c/p>\n\u003cp>He sees rent control as a necessary tool for keeping seniors on a fixed income and essential workers from being displaced amid the city’s housing shortage. The apartment listing website, \u003ca href=\"https://www.zillow.com/rental-manager/market-trends/larkspur-ca/\">Zillow, estimates\u003c/a> “typical” rents in Marin County have gone up 33% since 2015, from $2,760 to $3,680.\u003c/p>\n\u003cp>“What everybody is waiting for is more housing,” Paulson said, adding that until that housing is built, “The question is how many people are we going to displace?”\u003c/p>\n\u003cp>The Tenant Protection Act, which the state legislature approved in 2019, covers most rental units that are more than 15 years old and caps rental increases at 10% annually. Local rent control ordinances are subject to the Costa-Hawkins Rental Housing Act, which excludes units built after 1995. In Larkspur, the \u003ca href=\"https://www.cityoflarkspur.org/DocumentCenter/View/16407/41-Rent-Workshop\">city manager estimates\u003c/a> that would leave 1,825 rental units subject to the city’s proposed cap.\u003c/p>\n\u003cfigure id=\"attachment_11976597\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003ca href=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2.jpg\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-11976597 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2.jpg\" alt=\"A white woman wearing a dark green sweater and necklace stands inside a home.\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-16-KQED-2-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003c/a>\u003cfigcaption class=\"wp-caption-text\">Dorothy O’Leary stands in the 1-bedroom apartment she shares with her cat Mara in Larkspur on Feb. 17, 2024. O’Leary said she is organizing with residents from her apartment complex, Skylark Apartments, as well as renters from Bon Air Apartments, Woodlark Residences and Serenity Knolls. \u003ccite>(Kathryn Styer Martínez/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Dorothy O’Leary is one of them and an avid supporter of Measure D.\u003c/p>\n\u003cp>A couple of years ago, a new owner, Prime Residential, took over the sprawling apartment complex where she lives. O’Leary said the company increased tenants’ rents every year since, and her most recent annual increase added $186 to her monthly bill.\u003c/p>\n\u003cp>“That might not sound like a lot to some people, but it’s significant to me,” she said. “They are maximizing rent increases at an exponential rate that people can’t tolerate, and all over the place, people started moving out.”\u003c/p>\n\u003cp>Daniel Goldstein, a spokesperson for Prime Residential, said that when the company took over the property, some longtime tenants were paying rents that were 30% to 50% below those at similar properties in the area. The spokesperson said Prime has undertaken significant renovations, including seismic retrofits, and average rents at the complex are less than 25% of median household income.\u003c/p>\n\u003cp>O’Leary and her neighbors began to organize and drew in residents from other apartment complexes to form what they’ve dubbed the Keep Larkspur Fair and Affordable movement. They put pressure on the City Council, O’Leary said, “begging for help.”\u003c/p>\n\u003cp>The 7% cap Paulson eventually put forward was a disappointment to the group because, she said, it was too weak. The tenants group is now gathering signatures to put \u003ca href=\"https://www.larkspur4rentcontrol.com/\">a stronger rent control measure on the November ballot\u003c/a>. It would limit annual increases to 3%.\u003c/p>\n\u003cp>But even the proposed 7% ceiling has met fervent opposition from property owners, with the No on Measure D campaign \u003ca href=\"https://www.cityoflarkspur.org/840/Campaign-Disclosures\">raising some $300,000\u003c/a>.\u003c/p>\n\u003cfigure id=\"attachment_11976594\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003ca href=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2.jpg\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"wp-image-11976594 size-full\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2.jpg\" alt=\"A white man wearing glasses and a dark jacket stands outside a building in a parking lot.\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-08-KQED-2-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003c/a>\u003cfigcaption class=\"wp-caption-text\">Bill Howard, 89, of Larkspur, stands outside of an 8-unit apartment complex he owns, 30 Locust Avenue Apartments, in Larkspur on Feb. 17, 2024. Howard is opposed to Measure D, which would establish rent control in Larkspur and is scheduled to appear on the March 2024 ballot. \u003ccite>(Kathryn Styer Martínez/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>Howard acknowledged that in the short term, the city’s proposed rent cap wouldn’t impact his rental business; he typically raises rents each year by 2% to 4%, which is already below the city’s proposed threshold. His opposition to the measure is rooted in what he sees as negative long-term impacts on the city’s housing market.\u003c/p>\n\u003cp>“The only way you’re going to beat the problems associated with the cost of housing and rentals is to build more housing,” he said, arguing that curbing owners’ ability to turn a profit ultimately discourages new construction and only exacerbates the housing affordability crisis.\u003c/p>\n\u003cp>“Why would somebody want to build something if they know that they’re going to get tagged for all kinds of controls?” he said. “Smart money doesn’t do that.”\u003c/p>\n\u003cp>\u003ca href=\"https://dornsife.usc.edu/eri/publications/rent-matters/\">Researchers have reached\u003c/a> mixed \u003ca href=\"https://www.urban.org/sites/default/files/publication/99646/rent_control._what_does_the_research_tell_us_about_the_effectiveness_of_local_action_1.pdf\">conclusions on the subject (PDF)\u003c/a>. \u003ca href=\"https://www.gsb.stanford.edu/faculty-research/publications/effects-rent-control-expansion-tenants-landlords-inequality-evidence\">Some studies\u003c/a> find rent control reduces tenant displacement in the short run but deters\u003ca href=\"https://www.sciencedirect.com/science/article/abs/pii/S0166046213000641\"> landlords from investing in maintenance\u003c/a> and drives up rents in the long term; others find \u003ca href=\"https://www.sciencedirect.com/science/article/abs/pii/S0264275115001122\">no impact on housing markets\u003c/a>; some \u003ca href=\"https://www.gsb.stanford.edu/faculty-research/publications/effects-rent-control-expansion-tenants-landlords-inequality-evidence\">find people of color are more likely to benefit\u003c/a>, while others conclude \u003ca href=\"https://ideas.repec.org/a/bpj/bejeap/v11y2011i1n27.html\">white, wealthier people are\u003c/a>.\u003c/p>\n\u003cp>Larkspur’s rent control push is part of a broader trend across California as cities struggle to rein in rising housing costs. In 2016, a wave of rent stabilization measures went before Bay Area voters, with about half approved.\u003c/p>\n\u003cp>More recently, \u003ca href=\"https://www.kqed.org/news/11971884/fairfax-tenants-rally-against-what-they-say-are-unlawful-rent-hikes\">Fairfax\u003c/a> became the first city in Marin County to enact a rent cap. In Contra Costa County, Antioch adopted, and \u003ca href=\"https://www.kqed.org/news/11975969/concord-tenants-claim-victory-with-passage-of-new-renter-protections\">Concord is poised to adopt\u003c/a> its own limits. In three other Bay Area cities this year — \u003ca href=\"https://www.kqed.org/news/11970062/these-4-bay-area-cities-could-see-rent-control-measures-on-2024-ballot\">Pittsburg, San Pablo and Redwood City\u003c/a> — proponents are collecting signatures to put rent control measures on the November ballot. Voters statewide will also weigh in on a November \u003ca href=\"https://justiceforrenters.org/\">measure\u003c/a> that would allow cities to expand local rent control measures by repealing the Costa-Hawkins Rental Housing Act.\u003c/p>\n\u003cp>Russell Lowery, executive director of the California Rental Housing Association, has watched with disillusionment as the momentum builds for rent control — something he views as a counterproductive strategy.\u003c/p>\n\u003cp>“As people look for answers to California’s housing crisis, they look at good ideas and bad ideas,” he said. “This is one of the bad ideas.”\u003c/p>\n\u003cfigure id=\"attachment_11976595\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003ca href=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2.jpg\">\u003cimg loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-11976595\" src=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2.jpg\" alt=\"An apartment building.\" width=\"2000\" height=\"1333\" srcset=\"https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2.jpg 2000w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2-800x533.jpg 800w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2-1020x680.jpg 1020w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2-160x107.jpg 160w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2-1536x1024.jpg 1536w, https://cdn.kqed.org/wp-content/uploads/sites/10/2024/02/240217-LARKSPUR-RENT-CONTROL-KSM-09-KQED-2-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003c/a>\u003cfigcaption class=\"wp-caption-text\">30 Locust Avenue Apartments in Larkspur on Feb. 17, 2024. \u003ccite>(Kathryn Styer Martínez/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>His organization decried a \u003ca href=\"https://www.reuters.com/legal/us-supreme-court-wont-hear-challenge-rent-stabilization-laws-2024-02-20/\">February Supreme Court decision\u003c/a> that upheld New York’s rent control ordinance. He advocates for rental assistance programs, either public or private, as a better solution.\u003c/p>\n\u003cp>In response to the concerns of tenants and City Council members, the company that took over the management of O’Leary’s apartment complex tried this strategy. Prime Residential began offering 15% monthly discounts to tenants whose incomes fell below 50% of the area’s median income — or $65,250 for an individual — and limited their annual rent increases to inflation.\u003c/p>\n\u003cp>Goldstein said 100 households out of the 456 apartments are enrolled today.\u003c/p>\n\u003cp>In a \u003ca href=\"https://www.cityoflarkspur.org/DocumentCenter/View/16407/41-Rent-Workshop\">report last year\u003c/a>, some participants told city staff the subsidy offered a bit of relief, but they still wanted rent control.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"ad","attributes":{"named":{"label":"floatright"},"numeric":["floatright"]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>\u003cem>Editor’s note: This story has been updated to clarify that the $100 to $200 estimated annual registration fees for landlords would be charged per unit.\u003c/em>\u003c/p>\n\n\u003c/div>\u003c/p>","attributes":{"named":{},"numeric":[]}}],"link":"/news/11977071/larkspur-voters-to-decide-future-of-rent-control-in-their-city","authors":["11276"],"categories":["news_6266","news_8"],"tags":["news_3921","news_27626","news_1775","news_21358","news_3463","news_3924"],"featImg":"news_11976596","label":"news"},"news_11967896":{"type":"posts","id":"news_11967896","meta":{"index":"posts_1591205157","site":"news","id":"11967896","score":null,"sort":[1700510412000]},"guestAuthors":[],"slug":"across-california-eviction-cases-have-returned-to-or-surpassed-pre-pandemic-levels","title":"California’s Eviction Crisis: A Post-Pandemic Nightmare for Renters","publishDate":1700510412,"format":"standard","headTitle":"California’s Eviction Crisis: A Post-Pandemic Nightmare for Renters | KQED","labelTerm":{"term":18481,"site":"news"},"content":"\u003cp>Eviction cases soared across California in the year after the last portion of a statewide moratorium lapsed, a CalMatters analysis of court data shows.\u003c/p>\n\u003cp>The elevated numbers — in some places beyond pre-pandemic levels — show a significant portion of renters remain at risk of losing their homes, despite the state’s rollout of a $5 billion rent relief program during the pandemic and a yearslong pause on many eviction cases that many landlords have said disrupted their businesses and income. A nationwide study published this year found increases in eviction filings \u003ca href=\"https://nlihc.org/resource/eviction-filings-associated-increases-homelessness#:~:text=For%20every%20one%20percentage%20point,sheltered%20homelessness%20per%2010%2C000%20people.\">are associated\u003c/a> with slight upticks in the population of homeless people living in shelters.\u003c/p>\n\u003cp>The statewide moratorium was extended until June 2022 for those who had applied for rental assistance by March, barring evictions in cases where tenants had not paid rent and said they couldn’t because of financial hardship wrought by the pandemic. The law \u003ca href=\"https://calmatters.org/housing/2020/08/californians-evicted-coronavirus-pandemic/\">didn’t stop evictions completely\u003c/a> — thousands were still locked out under various exceptions — but it dropped cases to record lows. After it ended, a patchwork of local protections for tenants kicked in for cities that had passed their own eviction limits, which then phased out later in 2022 or earlier this year.\u003c/p>\n\u003cp>[pullquote size=\"medium\" align=\"right\" citation=\"Tim Thomas, sociologist and director, Urban Displacement Project at UC Berkeley\"]‘We’re facing the eviction cliff we tried to prevent during the pandemic. Being back to normal this quickly is concerning.’[/pullquote]Recently obtained data from when the statewide moratorium was lifted through the summer of 2023 show that in a dozen of the state’s most populous counties, the average monthly eviction filings surpassed pre-pandemic averages.\u003c/p>\n\u003cp>Counties that extended local moratoria are also seeing waves of landlords seeking to remove tenants, albeit delayed until after their own rules end. That’s led to particularly acute spikes this year in Alameda County and Los Angeles counties.\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>In June, the month prior to Oakland’s local moratorium sunsetting, landlords filed nearly 800 eviction cases in Alameda County, the highest monthly total in at least a decade. During the three previous years, under local or state moratoria, they filed fewer than 100 cases a month. The average number of evictions filed in the county in 2019 was 324 a month.\u003c/p>\n\u003cp>The post-moratoria spikes could reverse a nearly decade-long trend of evictions falling, both in California and nationwide. While the overall number of eviction cases filed post-pandemic remains far lower than the peak years following the Great Recession, researchers and tenants’ advocates said they were dismayed that while the moratorium and rental assistance kept eviction filings relatively low for about three years, those state interventions don’t appear to have significantly blunted the number of evictions sought afterward.\u003c/p>\n\u003cp>“We’re facing the eviction cliff we tried to prevent during the pandemic,” said Tim Thomas, a sociologist and director of the Urban Displacement Project at UC Berkeley who analyzed the data for CalMatters. “Being back to normal this quickly is concerning.”\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" src=\"https://datawrapper.dwcdn.net/EYVlb/1/\" width=\"800\" height=\"800\" scrolling=\"yes\" class=\"iframe-class\" frameborder=\"0\">\u003c/iframe>\u003c/p>\n\u003cp>Thomas attributed the wave of eviction filings to a combination of state and local moratoria expiring, inflation and the recent expiration of several other pandemic aid programs that had kept families afloat, such as \u003ca href=\"https://calmatters.org/explainers/california-hunger-crisis/#96c7efe3-b21a-478c-b6b0-98e5407331a6\">expanded food assistance\u003c/a> and loosened \u003ca href=\"https://calmatters.org/health/2023/03/medi-cal-eligibility-2/\">eligibility to stay on Medi-Cal\u003c/a>.\u003c/p>\n\u003cp>[aside postID=\"news_11961350,news_11955733,news_11947933\" label=\"Related Stories\"]Landlords’ groups say the yearslong moratoria gave property owners no recourse when tenants failed to pay rent even when the economy started to recover during the pandemic, and said lasting rental debt from the pandemic is leading landlords to now be more aggressive in seeking evictions.\u003c/p>\n\u003cp>Landlords can only file for evictions over unpaid rent from the past 12 months, but that does not forgive old debt, and tenants’ advocates say there’s little to stop landlords from applying newly paid rent to old debt. The National Equity Atlas, a research group, estimates that as of September, 605,000 California households \u003ca href=\"https://nationalequityatlas.org/rent-debt\">owed\u003c/a> $1.8 billion in back rent.\u003c/p>\n\u003cp>A state program open from March 2021 through March 2022 required landlords and tenants to apply for federally funded rental assistance to cover back rent from the pandemic before landlords could seek an eviction. But thousands who applied are still waiting for the aid to cover debts from that time period while the program \u003ca href=\"https://calmatters.org/housing/2023/10/covid-rent-relief/\">appears to have run out of money\u003c/a>. Many landlords said they had trouble handling the program’s red tape or had tenants who weren’t approved for assistance for every month that they owed rent.\u003c/p>\n\u003cp>“You’ve got to anticipate that there’s going to be an increase (in eviction cases) because there hadn’t been any filed in three years,” said Chris Moore, a landlord who owns about 20 units in Oakland.\u003c/p>\n\u003cp>Moore blamed the moratoria, which he said were overly broad, for “creating a culture” of permitting the nonpayment of rent even for tenants who were working and had income.\u003c/p>\n\u003cp>Tenants’ advocates, however, also blamed recent rent increases for the high number of filings. Even in counties that haven’t been governed by any eviction limits since last summer, cases filed remained above pre-pandemic averages more than a year later. Landlords who are subject to a 2019 rent cap law have been \u003ca href=\"https://calmatters.org/housing/2023/06/california-rent-control-settlement/\">allowed to raise rent\u003c/a> on tenants by as much as 10% this year, due to last year’s record inflation, though some cities have stricter caps.\u003c/p>\n\u003cp>Tenants are “unable to pay current rent,” said Gilberto Vera, senior attorney for housing at the Legal Aid Society of San Diego.\u003c/p>\n\u003cp>In San Diego County, eviction filings peaked at more than 1,000 in October 2022, and this year, have see-sawed closer to their pre-pandemic average of 723 a month. Some smaller counties — such as Kern, Ventura, Stanislaus and Tulare — have returned to seeing cases filed at slightly lower rates than pre-pandemic, as of August.\u003c/p>\n\u003cp>But in some counties — including Sacramento, Los Angeles and San Mateo — the number of cases of tenants facing eviction increased this year by more than 10% compared to pre-pandemic levels, according to the CalMatters analysis. The highest leap was in Santa Clara County, where evictions filed in 2023 through August were more than 35% higher than in 2019, on average.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" src=\"https://datawrapper.dwcdn.net/RxU91/3/\" width=\"800\" height=\"800\" scrolling=\"yes\" class=\"iframe-class\" frameborder=\"0\">\u003c/iframe>\u003c/p>\n\u003cp>Eviction filings do not necessarily mean a tenant gets kicked out. But the court filing — known as an unlawful detainer — starts a legal process with strict timetables that could result in a landlord being granted legal possession of the unit, allowing them to send a sheriff’s deputy to perform a lockout.\u003c/p>\n\u003cp>The wave has swamped tenants’ attorneys, most of whom work for \u003ca href=\"https://www.dropbox.com/s/i0j9w6zyyexyqsb/CA%20RR%20Report%20final%20revised%20021420.pdf?dl=0\">understaffed legal ai\u003c/a>d organizations representing low-income residents. Few tenants have attorneys in eviction court, compared to landlords, who are represented most of the time. Linda Yu, co-director of the housing unit at the East Bay Community Law Center, said many tenants risk being evicted unlawfully without an attorney to defend their case.\u003c/p>\n\u003cp>“It’s been chaotic,” \u003ca href=\"https://calmatters.bluelena.io/index.php?action=social&chash=84f7e69969dea92a925508f7c1f9579a.403&s=b5222f21b7b32e5caa20d917d959ac5f\">Yu said, on a day\u003c/a> Alameda County Superior Court had 100 cases scheduled to be heard. “The court system has not been prepared for this influx of evictions following the moratoriums lifting and we are now paying the price.”\u003c/p>\n\u003cp>Alameda County Superior Court spokesperson Paul Rosynsky told CalMatters last week that the timelines set by state law prevent the court from reducing caseloads. Still, court officials have alerted additional judges to make room to hear eviction cases on their calendars.\u003c/p>\n\u003cp>The recent eviction case spikes put California in line with other Democratic states that extended tenant protections during the pandemic well beyond a federal moratorium, such as Oregon or Minnesota, Thomas said.\u003c/p>\n\u003cp>“Liberal states definitely had the most severe whiplash, going from zero to above historical averages,” he said. “It’s a complicated story because you had more tenant protections than ever before but also more gentrification, and a lot more housing instability in these states.”\u003c/p>\n\u003cp>Kyle Nelson, a senior policy and research analyst at Strategic Actions for a Just Economy who has studied evictions in Los Angeles County, said that based on how long it took for evictions to stabilize after the Great Recession, some counties should expect cases to remain elevated for years.\u003c/p>\n\u003cp>CalMatters obtained more than a year of data from courts in 19 of the state’s most populous counties showing the number of eviction cases filed each month through August 2023, along with nearly a decade of corresponding historical figures compiled by the Judicial Council, the agency governing the state’s court system.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" src=\"https://datawrapper.dwcdn.net/ZuqdI/2/\" width=\"800\" height=\"800\" scrolling=\"yes\" class=\"iframe-class\" frameborder=\"0\">\u003c/iframe>\u003c/p>\n\u003cp>In counties that did not extend additional local eviction protections after the state law expired, eviction filings began spiking the month before the statewide moratorium ended and peaked in late 2022. But they remain elevated.\u003c/p>\n\u003cp>The court process allows landlords and tenants to settle a case before it goes to trial, which could include a payment plan to avoid eviction or an agreement to leave.\u003c/p>\n\u003cp>But tenants’ advocates point out there are numerous ways a tenant could also be “informally evicted,” by moving out due to the threat of a court case. The filing data do not include those cases or show if a tenant moved out during a court case. Eviction cases are sealed from public view — but not if the tenant loses in court, making it more difficult for them to rent again.\u003c/p>\n\u003cp>Landlords’ associations said most property owners only file for an eviction as a “last resort.”\u003c/p>\n\u003cp>“Filing an unlawful detainer is not something that’s taken lightly,” said Lucinda Lilley, immediate past president of the Southern California Rental Housing Association in San Diego County. “To work with the renter is much more advantageous to everyone involved.”\u003c/p>\n\u003cp>Lilley praised San Diego County’s rollout of COVID rental assistance and said the association supports the creation of permanent programs to provide short-term help with rent — “a bridging of the gap for people who may have a tough time for a couple of months and they just need some assistance to avoid that termination of tenancy.”\u003c/p>\n\u003cp>“Landlords are bearing the brunt of this,” she said.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" src=\"https://flo.uri.sh/visualisation/15794577/embed?auto=1\" width=\"800\" height=\"600\" scrolling=\"yes\" class=\"iframe-class\" frameborder=\"0\">\u003c/iframe>\u003c/p>\n\u003cp>In eviction court in Sacramento one recent morning, tenants said the process felt designed to pressure them.\u003c/p>\n\u003cp>To avoid a trial, Keyarra Dunn made a deal with her landlord to stay in her apartment by agreeing to pay a portion of her back rent in the next four days, and the remainder — more than $7,000 — in three and a half weeks.\u003c/p>\n\u003cp>Dunn, 23, said she knew of nowhere else to live if she and her four young children had to move out. She acknowledged that she had fallen behind on rent for at least four months but said she was getting divorced, had been in and out of the hospital, and spent much of her income as a car rental shop manager on child care.\u003c/p>\n\u003cp>She said it would have helped to have had an attorney and wasn’t sure she could come up with the money in time. Because the settlement was made instead of a judge’s ruling, it had all the force of a court order. If she can’t keep her end of the deal, the eviction process will move ahead quickly in court.\u003c/p>\n\u003cp>“I felt like I had to,” she said of making the agreement. “It was like, now or never, to pay a rent amount that I might not have all of.”\u003c/p>\n\u003cp>\u003cem>California Divide reporter \u003ca href=\"https://calmatters.org/author/feliciacalmatters-org/\">Felicia Mello\u003c/a> contributed to this story. \u003c/em>\u003c/p>\n\u003cp>[ad floatright]\u003c/p>\n\u003cp>Data compiled by Ben Christopher, Jeanne Kuang, Alejandro Lazo, Felicia Mello and Alejandra Reyes-Velarde.\u003c/p>\n\n","blocks":[],"excerpt":"The number of Californians facing eviction was relatively low for years during a lengthy statewide moratorium. However, in the year after it ended, cases soared and remained high in large counties.","status":"publish","parent":0,"modified":1701995335,"stats":{"hasAudio":false,"hasVideo":false,"hasChartOrMap":true,"iframeSrcs":["https://datawrapper.dwcdn.net/EYVlb/1/","https://datawrapper.dwcdn.net/RxU91/3/","https://datawrapper.dwcdn.net/ZuqdI/2/","https://flo.uri.sh/visualisation/15794577/embed"],"hasGoogleForm":false,"hasGallery":false,"hasHearkenModule":false,"hasPolis":false,"paragraphCount":46,"wordCount":2001},"headData":{"title":"California’s Eviction Crisis: A Post-Pandemic Nightmare for Renters | KQED","description":"The number of Californians facing eviction was relatively low for years during a lengthy statewide moratorium. However, in the year after it ended, cases soared and remained high in large counties.","ogTitle":"","ogDescription":"","ogImgId":"","twTitle":"","twDescription":"","twImgId":"","schema":{"@context":"http://schema.org","@type":"NewsArticle","headline":"California’s Eviction Crisis: A Post-Pandemic Nightmare for Renters","datePublished":"2023-11-20T20:00:12.000Z","dateModified":"2023-12-08T00:28:55.000Z","image":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png","isAccessibleForFree":"Y","publisher":{"@type":"NewsMediaOrganization","@id":"https://www.kqed.org/#organization","name":"KQED","url":"https://www.kqed.org","logo":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png"}}},"sticky":false,"nprByline":"Jeanne Kuang","excludeFromSiteSearch":"Include","showOnAuthorArchivePages":"No","articleAge":"0","path":"/news/11967896/across-california-eviction-cases-have-returned-to-or-surpassed-pre-pandemic-levels","audioTrackLength":null,"parsedContent":[{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003cp>Eviction cases soared across California in the year after the last portion of a statewide moratorium lapsed, a CalMatters analysis of court data shows.\u003c/p>\n\u003cp>The elevated numbers — in some places beyond pre-pandemic levels — show a significant portion of renters remain at risk of losing their homes, despite the state’s rollout of a $5 billion rent relief program during the pandemic and a yearslong pause on many eviction cases that many landlords have said disrupted their businesses and income. A nationwide study published this year found increases in eviction filings \u003ca href=\"https://nlihc.org/resource/eviction-filings-associated-increases-homelessness#:~:text=For%20every%20one%20percentage%20point,sheltered%20homelessness%20per%2010%2C000%20people.\">are associated\u003c/a> with slight upticks in the population of homeless people living in shelters.\u003c/p>\n\u003cp>The statewide moratorium was extended until June 2022 for those who had applied for rental assistance by March, barring evictions in cases where tenants had not paid rent and said they couldn’t because of financial hardship wrought by the pandemic. The law \u003ca href=\"https://calmatters.org/housing/2020/08/californians-evicted-coronavirus-pandemic/\">didn’t stop evictions completely\u003c/a> — thousands were still locked out under various exceptions — but it dropped cases to record lows. After it ended, a patchwork of local protections for tenants kicked in for cities that had passed their own eviction limits, which then phased out later in 2022 or earlier this year.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"‘We’re facing the eviction cliff we tried to prevent during the pandemic. Being back to normal this quickly is concerning.’","name":"pullquote","attributes":{"named":{"size":"medium","align":"right","citation":"Tim Thomas, sociologist and director, Urban Displacement Project at UC Berkeley","label":""},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>Recently obtained data from when the statewide moratorium was lifted through the summer of 2023 show that in a dozen of the state’s most populous counties, the average monthly eviction filings surpassed pre-pandemic averages.\u003c/p>\n\u003cp>Counties that extended local moratoria are also seeing waves of landlords seeking to remove tenants, albeit delayed until after their own rules end. That’s led to particularly acute spikes this year in Alameda County and Los Angeles counties.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"ad","attributes":{"named":{"label":"fullwidth"},"numeric":["fullwidth"]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>In June, the month prior to Oakland’s local moratorium sunsetting, landlords filed nearly 800 eviction cases in Alameda County, the highest monthly total in at least a decade. During the three previous years, under local or state moratoria, they filed fewer than 100 cases a month. The average number of evictions filed in the county in 2019 was 324 a month.\u003c/p>\n\u003cp>The post-moratoria spikes could reverse a nearly decade-long trend of evictions falling, both in California and nationwide. While the overall number of eviction cases filed post-pandemic remains far lower than the peak years following the Great Recession, researchers and tenants’ advocates said they were dismayed that while the moratorium and rental assistance kept eviction filings relatively low for about three years, those state interventions don’t appear to have significantly blunted the number of evictions sought afterward.\u003c/p>\n\u003cp>“We’re facing the eviction cliff we tried to prevent during the pandemic,” said Tim Thomas, a sociologist and director of the Urban Displacement Project at UC Berkeley who analyzed the data for CalMatters. “Being back to normal this quickly is concerning.”\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" src=\"https://datawrapper.dwcdn.net/EYVlb/1/\" width=\"800\" height=\"800\" scrolling=\"yes\" class=\"iframe-class\" frameborder=\"0\">\u003c/iframe>\u003c/p>\n\u003cp>Thomas attributed the wave of eviction filings to a combination of state and local moratoria expiring, inflation and the recent expiration of several other pandemic aid programs that had kept families afloat, such as \u003ca href=\"https://calmatters.org/explainers/california-hunger-crisis/#96c7efe3-b21a-478c-b6b0-98e5407331a6\">expanded food assistance\u003c/a> and loosened \u003ca href=\"https://calmatters.org/health/2023/03/medi-cal-eligibility-2/\">eligibility to stay on Medi-Cal\u003c/a>.\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"aside","attributes":{"named":{"postid":"news_11961350,news_11955733,news_11947933","label":"Related Stories "},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>Landlords’ groups say the yearslong moratoria gave property owners no recourse when tenants failed to pay rent even when the economy started to recover during the pandemic, and said lasting rental debt from the pandemic is leading landlords to now be more aggressive in seeking evictions.\u003c/p>\n\u003cp>Landlords can only file for evictions over unpaid rent from the past 12 months, but that does not forgive old debt, and tenants’ advocates say there’s little to stop landlords from applying newly paid rent to old debt. The National Equity Atlas, a research group, estimates that as of September, 605,000 California households \u003ca href=\"https://nationalequityatlas.org/rent-debt\">owed\u003c/a> $1.8 billion in back rent.\u003c/p>\n\u003cp>A state program open from March 2021 through March 2022 required landlords and tenants to apply for federally funded rental assistance to cover back rent from the pandemic before landlords could seek an eviction. But thousands who applied are still waiting for the aid to cover debts from that time period while the program \u003ca href=\"https://calmatters.org/housing/2023/10/covid-rent-relief/\">appears to have run out of money\u003c/a>. Many landlords said they had trouble handling the program’s red tape or had tenants who weren’t approved for assistance for every month that they owed rent.\u003c/p>\n\u003cp>“You’ve got to anticipate that there’s going to be an increase (in eviction cases) because there hadn’t been any filed in three years,” said Chris Moore, a landlord who owns about 20 units in Oakland.\u003c/p>\n\u003cp>Moore blamed the moratoria, which he said were overly broad, for “creating a culture” of permitting the nonpayment of rent even for tenants who were working and had income.\u003c/p>\n\u003cp>Tenants’ advocates, however, also blamed recent rent increases for the high number of filings. Even in counties that haven’t been governed by any eviction limits since last summer, cases filed remained above pre-pandemic averages more than a year later. Landlords who are subject to a 2019 rent cap law have been \u003ca href=\"https://calmatters.org/housing/2023/06/california-rent-control-settlement/\">allowed to raise rent\u003c/a> on tenants by as much as 10% this year, due to last year’s record inflation, though some cities have stricter caps.\u003c/p>\n\u003cp>Tenants are “unable to pay current rent,” said Gilberto Vera, senior attorney for housing at the Legal Aid Society of San Diego.\u003c/p>\n\u003cp>In San Diego County, eviction filings peaked at more than 1,000 in October 2022, and this year, have see-sawed closer to their pre-pandemic average of 723 a month. Some smaller counties — such as Kern, Ventura, Stanislaus and Tulare — have returned to seeing cases filed at slightly lower rates than pre-pandemic, as of August.\u003c/p>\n\u003cp>But in some counties — including Sacramento, Los Angeles and San Mateo — the number of cases of tenants facing eviction increased this year by more than 10% compared to pre-pandemic levels, according to the CalMatters analysis. The highest leap was in Santa Clara County, where evictions filed in 2023 through August were more than 35% higher than in 2019, on average.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" src=\"https://datawrapper.dwcdn.net/RxU91/3/\" width=\"800\" height=\"800\" scrolling=\"yes\" class=\"iframe-class\" frameborder=\"0\">\u003c/iframe>\u003c/p>\n\u003cp>Eviction filings do not necessarily mean a tenant gets kicked out. But the court filing — known as an unlawful detainer — starts a legal process with strict timetables that could result in a landlord being granted legal possession of the unit, allowing them to send a sheriff’s deputy to perform a lockout.\u003c/p>\n\u003cp>The wave has swamped tenants’ attorneys, most of whom work for \u003ca href=\"https://www.dropbox.com/s/i0j9w6zyyexyqsb/CA%20RR%20Report%20final%20revised%20021420.pdf?dl=0\">understaffed legal ai\u003c/a>d organizations representing low-income residents. Few tenants have attorneys in eviction court, compared to landlords, who are represented most of the time. Linda Yu, co-director of the housing unit at the East Bay Community Law Center, said many tenants risk being evicted unlawfully without an attorney to defend their case.\u003c/p>\n\u003cp>“It’s been chaotic,” \u003ca href=\"https://calmatters.bluelena.io/index.php?action=social&chash=84f7e69969dea92a925508f7c1f9579a.403&s=b5222f21b7b32e5caa20d917d959ac5f\">Yu said, on a day\u003c/a> Alameda County Superior Court had 100 cases scheduled to be heard. “The court system has not been prepared for this influx of evictions following the moratoriums lifting and we are now paying the price.”\u003c/p>\n\u003cp>Alameda County Superior Court spokesperson Paul Rosynsky told CalMatters last week that the timelines set by state law prevent the court from reducing caseloads. Still, court officials have alerted additional judges to make room to hear eviction cases on their calendars.\u003c/p>\n\u003cp>The recent eviction case spikes put California in line with other Democratic states that extended tenant protections during the pandemic well beyond a federal moratorium, such as Oregon or Minnesota, Thomas said.\u003c/p>\n\u003cp>“Liberal states definitely had the most severe whiplash, going from zero to above historical averages,” he said. “It’s a complicated story because you had more tenant protections than ever before but also more gentrification, and a lot more housing instability in these states.”\u003c/p>\n\u003cp>Kyle Nelson, a senior policy and research analyst at Strategic Actions for a Just Economy who has studied evictions in Los Angeles County, said that based on how long it took for evictions to stabilize after the Great Recession, some counties should expect cases to remain elevated for years.\u003c/p>\n\u003cp>CalMatters obtained more than a year of data from courts in 19 of the state’s most populous counties showing the number of eviction cases filed each month through August 2023, along with nearly a decade of corresponding historical figures compiled by the Judicial Council, the agency governing the state’s court system.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" src=\"https://datawrapper.dwcdn.net/ZuqdI/2/\" width=\"800\" height=\"800\" scrolling=\"yes\" class=\"iframe-class\" frameborder=\"0\">\u003c/iframe>\u003c/p>\n\u003cp>In counties that did not extend additional local eviction protections after the state law expired, eviction filings began spiking the month before the statewide moratorium ended and peaked in late 2022. But they remain elevated.\u003c/p>\n\u003cp>The court process allows landlords and tenants to settle a case before it goes to trial, which could include a payment plan to avoid eviction or an agreement to leave.\u003c/p>\n\u003cp>But tenants’ advocates point out there are numerous ways a tenant could also be “informally evicted,” by moving out due to the threat of a court case. The filing data do not include those cases or show if a tenant moved out during a court case. Eviction cases are sealed from public view — but not if the tenant loses in court, making it more difficult for them to rent again.\u003c/p>\n\u003cp>Landlords’ associations said most property owners only file for an eviction as a “last resort.”\u003c/p>\n\u003cp>“Filing an unlawful detainer is not something that’s taken lightly,” said Lucinda Lilley, immediate past president of the Southern California Rental Housing Association in San Diego County. “To work with the renter is much more advantageous to everyone involved.”\u003c/p>\n\u003cp>Lilley praised San Diego County’s rollout of COVID rental assistance and said the association supports the creation of permanent programs to provide short-term help with rent — “a bridging of the gap for people who may have a tough time for a couple of months and they just need some assistance to avoid that termination of tenancy.”\u003c/p>\n\u003cp>“Landlords are bearing the brunt of this,” she said.\u003c/p>\n\u003cp>\u003c!-- iframe plugin v.4.3 wordpress.org/plugins/iframe/ -->\u003cbr>\n\u003ciframe loading=\"lazy\" src=\"https://flo.uri.sh/visualisation/15794577/embed?auto=1\" width=\"800\" height=\"600\" scrolling=\"yes\" class=\"iframe-class\" frameborder=\"0\">\u003c/iframe>\u003c/p>\n\u003cp>In eviction court in Sacramento one recent morning, tenants said the process felt designed to pressure them.\u003c/p>\n\u003cp>To avoid a trial, Keyarra Dunn made a deal with her landlord to stay in her apartment by agreeing to pay a portion of her back rent in the next four days, and the remainder — more than $7,000 — in three and a half weeks.\u003c/p>\n\u003cp>Dunn, 23, said she knew of nowhere else to live if she and her four young children had to move out. She acknowledged that she had fallen behind on rent for at least four months but said she was getting divorced, had been in and out of the hospital, and spent much of her income as a car rental shop manager on child care.\u003c/p>\n\u003cp>She said it would have helped to have had an attorney and wasn’t sure she could come up with the money in time. Because the settlement was made instead of a judge’s ruling, it had all the force of a court order. If she can’t keep her end of the deal, the eviction process will move ahead quickly in court.\u003c/p>\n\u003cp>“I felt like I had to,” she said of making the agreement. “It was like, now or never, to pay a rent amount that I might not have all of.”\u003c/p>\n\u003cp>\u003cem>California Divide reporter \u003ca href=\"https://calmatters.org/author/feliciacalmatters-org/\">Felicia Mello\u003c/a> contributed to this story. \u003c/em>\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"ad","attributes":{"named":{"label":"floatright"},"numeric":["floatright"]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>Data compiled by Ben Christopher, Jeanne Kuang, Alejandro Lazo, Felicia Mello and Alejandra Reyes-Velarde.\u003c/p>\n\n\u003c/div>\u003c/p>","attributes":{"named":{},"numeric":[]}}],"link":"/news/11967896/across-california-eviction-cases-have-returned-to-or-surpassed-pre-pandemic-levels","authors":["byline_news_11967896"],"categories":["news_8"],"tags":["news_33514","news_21358","news_33513","news_27707"],"affiliates":["news_18481"],"featImg":"news_11967907","label":"news_18481"},"news_11957293":{"type":"posts","id":"news_11957293","meta":{"index":"posts_1591205157","site":"news","id":"11957293","score":null,"sort":[1691413210000]},"guestAuthors":[],"slug":"how-californias-rising-insurance-premiums-threaten-affordable-housing","title":"How California’s Rising Insurance Premiums Threaten Affordable Housing","publishDate":1691413210,"format":"standard","headTitle":"How California’s Rising Insurance Premiums Threaten Affordable Housing | KQED","labelTerm":{"site":"news"},"content":"\u003cp>When Sarah Letts went to renew the property insurance for her organization’s 32 apartment buildings last year, she got a sticker shock: a 33% increase.\u003c/p>\n\u003cp>This year? Her carrier, Great American Insurance Group, dropped the policy entirely.\u003c/p>\n\u003cp>Letts said she might have understood if the nonprofit she helms, Hollywood Community Housing Corporation, was based in a forested area, but the affordable housing properties are all on urban infill sites within Los Angeles County and have been upgraded with sprinklers and seismic reinforcements where needed.\u003c/p>\n\u003cp>“We are not abutting a fire hazard,” she said.\u003c/p>\n\u003cp>Now, with less than a month to go before the current policy runs out, she’s scrambling. “We will get [property insurance] because we’re obligated to get it,” Letts said. “But the frightening part is, how much will we pay?”\u003c/p>\n\u003cp>[ad fullwidth]\u003c/p>\n\u003cp>Across the state, affordable housing providers report massive increases in insurance premiums — often regardless of where their buildings are located. And for nonprofits in rural areas with a more pronounced wildfire risk, it’s an “existential” crisis, according to Seana O’Shaughnessy, the president and CEO of Community Housing Improvement Program, which manages nearly 3,000 homes and apartments across seven counties in Northern California.\u003c/p>\n\u003cp>She said the state’s volatile insurance market calls into question the state’s ability to meet \u003ca href=\"https://www.kqed.org/news/11930679/newsom-campaigned-on-building-3-5-million-homes-he-hasnt-gotten-even-close\">Gov. Gavin Newsom’s ambitious goal of building 2.5 million new homes by 2031\u003c/a>.\u003c/p>\n\u003cp>“Without a stable insurance market, we aren’t able to build and meet the affordable housing needs of our state, and we aren’t able to operate effectively,” O’Shaughnessy said. “So this cannot be overstated, how important figuring out and fixing and stabilizing insurance is for our industry.”\u003c/p>\n\u003cp>Newsom’s office declined to comment for this story, deferring instead to the California Department of Insurance, which has recently held hearings to address rising premiums, as well as carriers leaving California, an issue that’s impacting all property owners. [pullquote size=\"medium\" align=\"right\" citation=\"Seana O’Shaughnessy, president and CEO, Community Housing Improvement Program\"]‘Without a stable insurance market, we aren’t able to build and meet the affordable housing needs of our state, and we aren’t able to operate effectively.’[/pullquote] Affordable housing providers, however, say they are at a particular disadvantage. Unlike for-profit apartment owners, who can raise rents to offset increased costs, the very nature of affordable housing means rents are restricted.\u003c/p>\n\u003cp>“Our margins in the affordable housing industry are very thin,” O’Shaughnessy said. “So, that means the nonprofit has to subsidize [increased costs].”\u003c/p>\n\u003cp>Industry groups that track the number of carriers and spending on premiums don’t separate affordable housing from other forms of commercial property. That means apartment buildings are lumped into the same category as gas stations and grocery stores. But according to the analytics firm CoreLogic, commercial property insurance premiums increased 45% since 2018, though the increases were not uniform across sectors.\u003c/p>\n\u003cp>Letts said she is girding for a 100% increase in premiums when she eventually does find a carrier, if not a 150% increase. Such an increase would raise the annual cost of insuring her organization’s properties from $500,000 to somewhere between $1 million to $1.5 million.\u003c/p>\n\u003cp>For the Community Housing Improvement Program’s 17 apartment buildings, property insurance premiums have more than tripled since 2017, according to the organization.\u003c/p>\n\u003cp>In the Bay Area, nonprofit Burbank Housing’s Director of Asset Management, Julie Heredia, said premiums doubled since 2018 across its portfolio of more than 70 properties.\u003c/p>\n\u003cp>And in Northern California, Ryan LaRue, the executive director of Rural Communities Housing Development Corporation, said property insurance premiums for its portfolio of 33 properties doubled between 2021 and 2022 alone.\u003c/p>\n\u003cp>“It’s a disaster,” LaRue said. “It’s a lose-lose for anyone in our part of the industry.”\u003c/p>\n\u003ch2>Rising premiums\u003c/h2>\n\u003cp>Driving the premium increases are inflation, rising interest rates and the ballooning cost of reinsurance, the insurance that carriers get to cover their losses, said Sheri Scott, a principal and consulting actuary at Milliman, an actuarial firm.\u003c/p>\n\u003cp>Unlike in other states, California doesn’t allow insurance companies to include the cost of reinsurance in determining its fire insurance rates.\u003c/p>\n\u003cfigure id=\"attachment_11957163\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg decoding=\"async\" loading=\"lazy\" class=\"size-full wp-image-11957163\" src=\"https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67574_230728-WildfireSantaRosaHousing-37-BL-KQED.jpg\" alt=\"A new condo building is seen through the overgrown grasses of the lot across the street.\" width=\"2000\" height=\"1333\" srcset=\"https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67574_230728-WildfireSantaRosaHousing-37-BL-KQED.jpg 2000w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67574_230728-WildfireSantaRosaHousing-37-BL-KQED-800x533.jpg 800w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67574_230728-WildfireSantaRosaHousing-37-BL-KQED-1020x680.jpg 1020w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67574_230728-WildfireSantaRosaHousing-37-BL-KQED-160x107.jpg 160w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67574_230728-WildfireSantaRosaHousing-37-BL-KQED-1536x1024.jpg 1536w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67574_230728-WildfireSantaRosaHousing-37-BL-KQED-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Laurel at Perennial Park, an affordable apartment complex for seniors, can be seen behind flowers from Journey’s End mobile home park in Santa Rosa on July 28, 2023, which burned almost entirely during the Tubbs Fire in October 2017. Across the state, affordable housing providers report massive increases in insurance premiums — often regardless of where their buildings are located. And for nonprofits in rural areas with a more pronounced wildfire risk, it’s an ‘existential’ crisis. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“And if insurance companies aren’t able to include that cost of doing business in their insurance rates, that could create an issue where insurance companies don’t feel they’re able to get the appropriate rate for the risk,” Scott said.\u003c/p>\n\u003cp>Great American Insurance Group, the carrier that declined to continue providing coverage to Hollywood Community Housing Group, did not respond to requests for comment about its decision to discontinue the nonprofit’s policy. In the single-family home market, large carriers, including Allstate, State Farm, Farmers and AIG, cited economic conditions and the increasing frequency and severity of weather events such as floods and wildfires as reasons for declining to sell new policies in the state. [pullquote size=\"medium\" align=\"right\" citation=\"Ryan LaRue, executive director, Rural Communities Housing Development Corporation\"]‘It’s a disaster. It’s a lose-lose for anyone in our part of the industry.’[/pullquote] According to the National Oceanic and Atmospheric Administration, since 1980 there has been an average of 8.1 weather events nationally that amounted to $1 billion or more in damage. Over the past five years, the average was 18. And, as of July 11 this year, 12 events cost $1 billion or more.\u003c/p>\n\u003cp>“We are seeing a higher frequency of events and a higher severity of these events when they occur than we ever historically have had,” said Justin Dove, a broker specializing in real estate with Arthur J. Gallagher & Co., a risk management services firm.\u003c/p>\n\u003cp>Seven of California’s 10 most destructive wildfires occurred within the past decade, according to Cal Fire. But, insurance carriers in the state are barred from using catastrophe models to estimate their expected future losses to develop insurance rates. Instead, they must look at the previous 20 years of losses, a practice other states have long abandoned, Scott said.\u003c/p>\n\u003cp>“There are no other states that use that methodology anymore,” she said. “They have since modernized their procedures in what insurance companies use so that they can use catastrophe models.”\u003c/p>\n\u003cp>Deputy Insurance Commissioner Tony Cignarale said the Department of Insurance is currently looking at allowing insurers to use catastrophe modeling, as well as to include the cost of reinsurance in setting rates. Allowing the latter change might improve the availability of insurance, but not necessarily affordability.\u003c/p>\n\u003cfigure id=\"attachment_11957164\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg decoding=\"async\" loading=\"lazy\" class=\"size-full wp-image-11957164\" src=\"https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67584_230728-WildfireSantaRosaHousing-55-BL-KQED.jpg\" alt=\"A large empty lot with overgrown grasses surrounded by houses.\" width=\"2000\" height=\"1333\" srcset=\"https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67584_230728-WildfireSantaRosaHousing-55-BL-KQED.jpg 2000w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67584_230728-WildfireSantaRosaHousing-55-BL-KQED-800x533.jpg 800w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67584_230728-WildfireSantaRosaHousing-55-BL-KQED-1020x680.jpg 1020w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67584_230728-WildfireSantaRosaHousing-55-BL-KQED-160x107.jpg 160w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67584_230728-WildfireSantaRosaHousing-55-BL-KQED-1536x1024.jpg 1536w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67584_230728-WildfireSantaRosaHousing-55-BL-KQED-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">An empty plot of land in Coffey Park in Santa Rosa on July 28, 2023. Seven of California’s 10 most destructive wildfires occurred within the past 10 years, according to Cal Fire. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“With reinsurance, it is an additional cost. So, in theory [premiums] would rise,” Cignarale said. “The question is, how much would be allowable to add on to an individual policyholder’s premium? That’s another area that the [insurance] commissioner is looking at to ensure that it’s not excessive.”\u003c/p>\n\u003cp>And while insurance groups say allowing catastrophe modeling won’t necessarily raise rates — it may lower rates for some property owners — Cignarale said more information is needed.\u003c/p>\n\u003cp>“We’re going to take a deeper dive into these catastrophe models and see, are there good models? Are there bad models? Is there a way to make sure that there’s transparency, so that the public, as well as the insurance commissioner, can see what’s under the hood and make sure that there aren’t any negative algorithms there that may be unfair to policyholders just for the sake of increasing rates and premiums?” he said.\u003c/p>\n\u003cp>There’s no timeline for when the Department of Insurance will finalize or implement any proposed changes, Cignarale said.\u003c/p>\n\u003cp>In the meantime, the department in March announced the FAIR Plan — California’s insurance coverage of last resort. The plan is available to property owners who can’t secure fire insurance, though it doesn’t cover other hazards, such as floods or general liability — and it would raise its coverage cap to $20 million for commercial property owners. The FAIR Plan is expected to begin offering the new coverage by the end of the year. [aside label='More on Affordable Housing' tag='affordable-housing'] In October of 2022, Insurance Commissioner Ricardo Lara began enforcing new regulations requiring insurance carriers to provide discounts to property owners who mitigate their own risk of wildfires. The companies are now in the process of getting those proposed discounts approved by the department.\u003c/p>\n\u003cp>“That’s really the goal,” Cignarale said. “If you can reduce the risk, then you can reduce the insurance companies’ need to either restrict writing or increase premiums on consumers.”\u003c/p>\n\u003cp>But even with all these changes, it isn’t clear whether it would translate into lower premiums for property owners, or if the changing climate and increasing risk from wildfires and other extreme weather will discourage carriers from returning to the state.\u003c/p>\n\u003cp>Still, affordable housing providers say they aren’t going out of business — at least not yet.\u003c/p>\n\u003cp>“We always figure it out, but I don’t know that we should have to figure it out,” O’Shaughnessy said. “This is something that the state has to help figure out so that we can continue to provide essential housing for folks. We’ll do it as long as we have to, but we do need help.”\u003c/p>\n\u003cp>[ad floatright]\u003c/p>\n","blocks":[],"excerpt":"California's rising insurance premiums and fleeing carriers are affecting the state’s affordable housing developers and its goal to build 2.5 million homes by 2031.","status":"publish","parent":0,"modified":1691425086,"stats":{"hasAudio":false,"hasVideo":false,"hasChartOrMap":false,"iframeSrcs":[],"hasGoogleForm":false,"hasGallery":false,"hasHearkenModule":false,"hasPolis":false,"paragraphCount":35,"wordCount":1754},"headData":{"title":"How California’s Rising Insurance Premiums Threaten Affordable Housing | KQED","description":"California's rising insurance premiums and fleeing carriers are affecting the state’s affordable housing developers and its goal to build 2.5 million homes by 2031.","ogTitle":"","ogDescription":"","ogImgId":"","twTitle":"","twDescription":"","twImgId":"","schema":{"@context":"http://schema.org","@type":"NewsArticle","headline":"How California’s Rising Insurance Premiums Threaten Affordable Housing","datePublished":"2023-08-07T13:00:10.000Z","dateModified":"2023-08-07T16:18:06.000Z","image":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png","isAccessibleForFree":"Y","publisher":{"@type":"NewsMediaOrganization","@id":"https://www.kqed.org/#organization","name":"KQED","url":"https://www.kqed.org","logo":"https://cdn.kqed.org/wp-content/uploads/2020/02/KQED-OG-Image@1x.png"}}},"excludeFromSiteSearch":"Include","articleAge":"0","path":"/news/11957293/how-californias-rising-insurance-premiums-threaten-affordable-housing","audioTrackLength":null,"parsedContent":[{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003cp>When Sarah Letts went to renew the property insurance for her organization’s 32 apartment buildings last year, she got a sticker shock: a 33% increase.\u003c/p>\n\u003cp>This year? Her carrier, Great American Insurance Group, dropped the policy entirely.\u003c/p>\n\u003cp>Letts said she might have understood if the nonprofit she helms, Hollywood Community Housing Corporation, was based in a forested area, but the affordable housing properties are all on urban infill sites within Los Angeles County and have been upgraded with sprinklers and seismic reinforcements where needed.\u003c/p>\n\u003cp>“We are not abutting a fire hazard,” she said.\u003c/p>\n\u003cp>Now, with less than a month to go before the current policy runs out, she’s scrambling. “We will get [property insurance] because we’re obligated to get it,” Letts said. “But the frightening part is, how much will we pay?”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"ad","attributes":{"named":{"label":"fullwidth"},"numeric":["fullwidth"]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003cp>Across the state, affordable housing providers report massive increases in insurance premiums — often regardless of where their buildings are located. And for nonprofits in rural areas with a more pronounced wildfire risk, it’s an “existential” crisis, according to Seana O’Shaughnessy, the president and CEO of Community Housing Improvement Program, which manages nearly 3,000 homes and apartments across seven counties in Northern California.\u003c/p>\n\u003cp>She said the state’s volatile insurance market calls into question the state’s ability to meet \u003ca href=\"https://www.kqed.org/news/11930679/newsom-campaigned-on-building-3-5-million-homes-he-hasnt-gotten-even-close\">Gov. Gavin Newsom’s ambitious goal of building 2.5 million new homes by 2031\u003c/a>.\u003c/p>\n\u003cp>“Without a stable insurance market, we aren’t able to build and meet the affordable housing needs of our state, and we aren’t able to operate effectively,” O’Shaughnessy said. “So this cannot be overstated, how important figuring out and fixing and stabilizing insurance is for our industry.”\u003c/p>\n\u003cp>Newsom’s office declined to comment for this story, deferring instead to the California Department of Insurance, which has recently held hearings to address rising premiums, as well as carriers leaving California, an issue that’s impacting all property owners. \u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"‘Without a stable insurance market, we aren’t able to build and meet the affordable housing needs of our state, and we aren’t able to operate effectively.’","name":"pullquote","attributes":{"named":{"size":"medium","align":"right","citation":"Seana O’Shaughnessy, president and CEO, Community Housing Improvement Program","label":""},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp> Affordable housing providers, however, say they are at a particular disadvantage. Unlike for-profit apartment owners, who can raise rents to offset increased costs, the very nature of affordable housing means rents are restricted.\u003c/p>\n\u003cp>“Our margins in the affordable housing industry are very thin,” O’Shaughnessy said. “So, that means the nonprofit has to subsidize [increased costs].”\u003c/p>\n\u003cp>Industry groups that track the number of carriers and spending on premiums don’t separate affordable housing from other forms of commercial property. That means apartment buildings are lumped into the same category as gas stations and grocery stores. But according to the analytics firm CoreLogic, commercial property insurance premiums increased 45% since 2018, though the increases were not uniform across sectors.\u003c/p>\n\u003cp>Letts said she is girding for a 100% increase in premiums when she eventually does find a carrier, if not a 150% increase. Such an increase would raise the annual cost of insuring her organization’s properties from $500,000 to somewhere between $1 million to $1.5 million.\u003c/p>\n\u003cp>For the Community Housing Improvement Program’s 17 apartment buildings, property insurance premiums have more than tripled since 2017, according to the organization.\u003c/p>\n\u003cp>In the Bay Area, nonprofit Burbank Housing’s Director of Asset Management, Julie Heredia, said premiums doubled since 2018 across its portfolio of more than 70 properties.\u003c/p>\n\u003cp>And in Northern California, Ryan LaRue, the executive director of Rural Communities Housing Development Corporation, said property insurance premiums for its portfolio of 33 properties doubled between 2021 and 2022 alone.\u003c/p>\n\u003cp>“It’s a disaster,” LaRue said. “It’s a lose-lose for anyone in our part of the industry.”\u003c/p>\n\u003ch2>Rising premiums\u003c/h2>\n\u003cp>Driving the premium increases are inflation, rising interest rates and the ballooning cost of reinsurance, the insurance that carriers get to cover their losses, said Sheri Scott, a principal and consulting actuary at Milliman, an actuarial firm.\u003c/p>\n\u003cp>Unlike in other states, California doesn’t allow insurance companies to include the cost of reinsurance in determining its fire insurance rates.\u003c/p>\n\u003cfigure id=\"attachment_11957163\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg decoding=\"async\" loading=\"lazy\" class=\"size-full wp-image-11957163\" src=\"https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67574_230728-WildfireSantaRosaHousing-37-BL-KQED.jpg\" alt=\"A new condo building is seen through the overgrown grasses of the lot across the street.\" width=\"2000\" height=\"1333\" srcset=\"https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67574_230728-WildfireSantaRosaHousing-37-BL-KQED.jpg 2000w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67574_230728-WildfireSantaRosaHousing-37-BL-KQED-800x533.jpg 800w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67574_230728-WildfireSantaRosaHousing-37-BL-KQED-1020x680.jpg 1020w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67574_230728-WildfireSantaRosaHousing-37-BL-KQED-160x107.jpg 160w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67574_230728-WildfireSantaRosaHousing-37-BL-KQED-1536x1024.jpg 1536w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67574_230728-WildfireSantaRosaHousing-37-BL-KQED-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">Laurel at Perennial Park, an affordable apartment complex for seniors, can be seen behind flowers from Journey’s End mobile home park in Santa Rosa on July 28, 2023, which burned almost entirely during the Tubbs Fire in October 2017. Across the state, affordable housing providers report massive increases in insurance premiums — often regardless of where their buildings are located. And for nonprofits in rural areas with a more pronounced wildfire risk, it’s an ‘existential’ crisis. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“And if insurance companies aren’t able to include that cost of doing business in their insurance rates, that could create an issue where insurance companies don’t feel they’re able to get the appropriate rate for the risk,” Scott said.\u003c/p>\n\u003cp>Great American Insurance Group, the carrier that declined to continue providing coverage to Hollywood Community Housing Group, did not respond to requests for comment about its decision to discontinue the nonprofit’s policy. In the single-family home market, large carriers, including Allstate, State Farm, Farmers and AIG, cited economic conditions and the increasing frequency and severity of weather events such as floods and wildfires as reasons for declining to sell new policies in the state. \u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"‘It’s a disaster. It’s a lose-lose for anyone in our part of the industry.’","name":"pullquote","attributes":{"named":{"size":"medium","align":"right","citation":"Ryan LaRue, executive director, Rural Communities Housing Development Corporation","label":""},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp> According to the National Oceanic and Atmospheric Administration, since 1980 there has been an average of 8.1 weather events nationally that amounted to $1 billion or more in damage. Over the past five years, the average was 18. And, as of July 11 this year, 12 events cost $1 billion or more.\u003c/p>\n\u003cp>“We are seeing a higher frequency of events and a higher severity of these events when they occur than we ever historically have had,” said Justin Dove, a broker specializing in real estate with Arthur J. Gallagher & Co., a risk management services firm.\u003c/p>\n\u003cp>Seven of California’s 10 most destructive wildfires occurred within the past decade, according to Cal Fire. But, insurance carriers in the state are barred from using catastrophe models to estimate their expected future losses to develop insurance rates. Instead, they must look at the previous 20 years of losses, a practice other states have long abandoned, Scott said.\u003c/p>\n\u003cp>“There are no other states that use that methodology anymore,” she said. “They have since modernized their procedures in what insurance companies use so that they can use catastrophe models.”\u003c/p>\n\u003cp>Deputy Insurance Commissioner Tony Cignarale said the Department of Insurance is currently looking at allowing insurers to use catastrophe modeling, as well as to include the cost of reinsurance in setting rates. Allowing the latter change might improve the availability of insurance, but not necessarily affordability.\u003c/p>\n\u003cfigure id=\"attachment_11957164\" class=\"wp-caption aligncenter\" style=\"max-width: 2000px\">\u003cimg decoding=\"async\" loading=\"lazy\" class=\"size-full wp-image-11957164\" src=\"https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67584_230728-WildfireSantaRosaHousing-55-BL-KQED.jpg\" alt=\"A large empty lot with overgrown grasses surrounded by houses.\" width=\"2000\" height=\"1333\" srcset=\"https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67584_230728-WildfireSantaRosaHousing-55-BL-KQED.jpg 2000w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67584_230728-WildfireSantaRosaHousing-55-BL-KQED-800x533.jpg 800w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67584_230728-WildfireSantaRosaHousing-55-BL-KQED-1020x680.jpg 1020w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67584_230728-WildfireSantaRosaHousing-55-BL-KQED-160x107.jpg 160w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67584_230728-WildfireSantaRosaHousing-55-BL-KQED-1536x1024.jpg 1536w, https://ww2.kqed.org/app/uploads/sites/10/2023/08/RS67584_230728-WildfireSantaRosaHousing-55-BL-KQED-1920x1280.jpg 1920w\" sizes=\"(max-width: 2000px) 100vw, 2000px\">\u003cfigcaption class=\"wp-caption-text\">An empty plot of land in Coffey Park in Santa Rosa on July 28, 2023. Seven of California’s 10 most destructive wildfires occurred within the past 10 years, according to Cal Fire. \u003ccite>(Beth LaBerge/KQED)\u003c/cite>\u003c/figcaption>\u003c/figure>\n\u003cp>“With reinsurance, it is an additional cost. So, in theory [premiums] would rise,” Cignarale said. “The question is, how much would be allowable to add on to an individual policyholder’s premium? That’s another area that the [insurance] commissioner is looking at to ensure that it’s not excessive.”\u003c/p>\n\u003cp>And while insurance groups say allowing catastrophe modeling won’t necessarily raise rates — it may lower rates for some property owners — Cignarale said more information is needed.\u003c/p>\n\u003cp>“We’re going to take a deeper dive into these catastrophe models and see, are there good models? Are there bad models? Is there a way to make sure that there’s transparency, so that the public, as well as the insurance commissioner, can see what’s under the hood and make sure that there aren’t any negative algorithms there that may be unfair to policyholders just for the sake of increasing rates and premiums?” he said.\u003c/p>\n\u003cp>There’s no timeline for when the Department of Insurance will finalize or implement any proposed changes, Cignarale said.\u003c/p>\n\u003cp>In the meantime, the department in March announced the FAIR Plan — California’s insurance coverage of last resort. The plan is available to property owners who can’t secure fire insurance, though it doesn’t cover other hazards, such as floods or general liability — and it would raise its coverage cap to $20 million for commercial property owners. The FAIR Plan is expected to begin offering the new coverage by the end of the year. \u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"aside","attributes":{"named":{"label":"More on Affordable Housing ","tag":"affordable-housing"},"numeric":[]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp> In October of 2022, Insurance Commissioner Ricardo Lara began enforcing new regulations requiring insurance carriers to provide discounts to property owners who mitigate their own risk of wildfires. The companies are now in the process of getting those proposed discounts approved by the department.\u003c/p>\n\u003cp>“That’s really the goal,” Cignarale said. “If you can reduce the risk, then you can reduce the insurance companies’ need to either restrict writing or increase premiums on consumers.”\u003c/p>\n\u003cp>But even with all these changes, it isn’t clear whether it would translate into lower premiums for property owners, or if the changing climate and increasing risk from wildfires and other extreme weather will discourage carriers from returning to the state.\u003c/p>\n\u003cp>Still, affordable housing providers say they aren’t going out of business — at least not yet.\u003c/p>\n\u003cp>“We always figure it out, but I don’t know that we should have to figure it out,” O’Shaughnessy said. “This is something that the state has to help figure out so that we can continue to provide essential housing for folks. We’ll do it as long as we have to, but we do need help.”\u003c/p>\n\u003cp>\u003c/p>\u003c/div>","attributes":{"named":{},"numeric":[]}},{"type":"component","content":"","name":"ad","attributes":{"named":{"label":"floatright"},"numeric":["floatright"]}},{"type":"contentString","content":"\u003cdiv class=\"post-body\">\u003cp>\u003c/p>\n\u003c/div>\u003c/p>","attributes":{"named":{},"numeric":[]}}],"link":"/news/11957293/how-californias-rising-insurance-premiums-threaten-affordable-housing","authors":["11652"],"categories":["news_6266","news_8"],"tags":["news_3921","news_18538","news_20341","news_27626","news_32248","news_16","news_1775","news_21358","news_881"],"featImg":"news_11957165","label":"news"}},"programsReducer":{"possible":{"id":"possible","title":"Possible","info":"Possible is hosted by entrepreneur Reid Hoffman and writer Aria Finger. Together in Possible, Hoffman and Finger lead enlightening discussions about building a brighter collective future. The show features interviews with visionary guests like Trevor Noah, Sam Altman and Janette Sadik-Khan. Possible paints an optimistic portrait of the world we can create through science, policy, business, art and our shared humanity. It asks: What if everything goes right for once? How can we get there? 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