Transcript Highlights:

• And I was asked to focus today on homeownership. We've got more on homeownership in that report.
• Homeownership.
• is the impact of that going to be on the homeownership rate?
• Of that going to be on the homeownership rate.
• The homeownership rate must be a lot higher than in Washington.

Summary: The Senate Housing Committee heard a series of work-session presentations focused on transit-oriented development, commercial-to-residential redevelopment, building code implementation, housing market trends, and the Covenant Homeownership Program. The first presentation, from the Urban Institute, reviewed research on HB 1491 and TOD feasibility, arguing that Washington has made major progress but faces diverging conditions across transit areas. The presenter said rising construction costs, higher interest rates, and lower rents in some markets have made many projects less feasible, and recommended targeted infrastructure funding for lower-market communities, adjustments to MFTE and affordability requirements by local market conditions, more support for very low-income housing in high-market transit areas, minimum density standards near stations, expanded public land/joint development tools, and better tracking of TOD outcomes over time. Committee members asked about AMI calculations, immigration’s effect on construction labor, developer input, and whether a tracking mechanism had been removed from the bill. The Department of Commerce then outlined implementation of HB 1491 and demonstrated the new Washington Zoning Atlas, which is live and intended to help visualize zoning, overlays, and station-area conditions. Commerce said local governments will designate station areas, update zoning and MFTE policies, and handle anti-displacement measures, with Vancouver and Spokane first to implement and Puget Sound following later. Staff described a timeline for updated MFTE guidance, station-area implementation guidance, a TOD model ordinance, and later rulemaking on variances. The committee also heard from the Lieutenant Governor’s office on a report about converting commercial properties to housing, which found substantial potential for redevelopment on vacant or underused commercial land, especially near transit, but noted barriers such as ground-floor retail mandates, affordability requirements, infrastructure costs, private covenants, and slow implementation. The office urged by-right residential use on commercial land and faster rollout of new housing laws. The State Building Code Council updated the committee on its three-year code cycle and several legislatively directed actions, including minimum dwelling size, emergency shelters, and especially single-exit stairs and multiplex housing. Council staff said those code changes are nearing completion and will provide prescriptive solutions, while noting that elevator size and requirements were not changed and would require separate legislative direction if the committee wanted to revisit them. Members discussed the cost impacts of building and energy codes and the council said it is required to consider economic impacts and is increasingly looking at performance-based approaches. Later, the Washington Center for Real Estate Research presented its annual housing report, showing that higher mortgage rates have sharply reduced affordability, flattened house prices in many cities, and slowed single-family permitting and completions, while multifamily construction has recently cooled after a prior surge. Finally, the Washington State Housing Finance Commission reported strong first-year results for the Covenant Homeownership Program, which provides zero-interest down payment assistance to eligible first-time buyers with family ties to Washington before 1968; the program assisted 547 homebuyers in its first fiscal year, with more than $60 million loaned, and the agency said participation has continued to grow after income-limit changes enacted in 2025.

Transcript Highlights:

• Our state has the second-lowest homeownership rate in the country, behind New York, and we're losing
• Over the last 20 years, our homeownership rate has actually fallen.
• Our persistent failure to turn the ship around on homeownership is the result of a persistent shortage
• Fewer homes, fewer chances for homeownership, and more projects that never move forward.
• California's housing crisis continues to limit homeownership opportunities and increase housing costs

Committee: Senate Housing

Keywords: 987, senate, all

Transcript Highlights:

• We have the second-lowest rate of homeownership of any state in the country.
• And investor homeownership is an increasing part of what is making it harder for California families
• It will give families a fighting chance to attain homeownership, intergenerational... ...goals.
• And so it's something that we can do to provide more opportunity for homeownership for Californians.
• This bill is about preserving access to homeownership for first-time buyers who are already doing the

Summary: The Assembly Committee on Revenue and Taxation met as a subcommittee and announced that all bills on the agenda had revenue impacts placing them on the suspense file, so none were eligible for immediate vote. The chair also reviewed procedural rules, including the deadline for position letters and the suspense-file threshold, and later established a quorum before proceeding through the agenda. Most measures were presented, heard, and then referred to suspense without committee votes. Several bills focused on tax credits or exclusions tied to housing and property. AB 1606 proposed a five-year tax credit for small businesses facing cleanup costs from illegal dumping and encampments; AB 1971 would clarify that home-hardening retrofits are not assessable for property tax purposes; AB 2394 would create a capital gains exclusion to encourage long-term homeowners to sell and downsize; AB 1714 would offer a credit for sellers who complete required repairs for CalHFA-assisted first-time buyers; and AB 2389 would extend the property tax exclusion for newly installed solar systems. Supporters generally framed these bills as targeted relief or affordability measures, while opponents raised concerns about revenue loss, policy effectiveness, or implementation. The committee also heard a series of agriculture-related bills. AB 2427 proposed a tax credit for qualified agricultural producers to offset labor, equipment, infrastructure, and production costs, and AB 2192 would extend the state’s farm equipment sales tax exemption to local sales taxes with a General Fund backfill for local governments. Supporters argued both measures would help preserve California agriculture, jobs, and food security amid rising costs and regulatory burdens; opponents questioned the need for the subsidies and the size of the fiscal impact. Both bills were referred to suspense. Other measures included AB 1611, which would end a tax break on capital gains from single-family home sales for large corporate investors to discourage investor competition with homebuyers; AB 2522, which would exempt over-the-counter medications from sales tax; AB 2444, which would add a state deduction for ScholarShare 529 contributions and align California law with federal Roth IRA rollover rules; and AB 1550, which would allow deductions for tips and overtime. Each drew support from sponsors and allied groups, while tax reform and local government representatives opposed several bills over revenue and policy concerns. All of these measures were also sent to the suspense file, and the committee adjourned after completing its agenda.

Transcript Highlights:

• Over the last 20 years, our homeownership rate has actually fallen.
• Our persistent failure to turn the ship around on homeownership is the result of a persistent shortage
• Fewer homes, fewer chances for homeownership, and more projects that never move forward.
• And so if we can do more of this kind of work, we can make a tremendous difference in homeownership in
• California's housing crisis continues to limit homeownership opportunities and increase housing costs

Summary: The Senate Standing Committee on Housing met on April 7, 2026, and heard two housing-related bills in detail: SB 1116 and SB 1117. SB 1116 would update the Starter Home Revitalization Act by clarifying development standards for small infill projects, reinforcing ministerial approval and timelines, strengthening state oversight, updating subdivision rules, and addressing private restrictions such as HOA or deed limitations. Supporters, including California YIMBY, AlphaX, and several housing groups, said the bill would remove implementation barriers and help produce more starter homes; there was no opposition testimony. Members generally supported the measure, and it was advanced to the Senate Local Government Committee. SB 1117 would clarify accessory dwelling unit fee law by requiring local governments to calculate impact fees only on the portion of an ADU above 750 square feet, rather than charging fees on the entire unit once it exceeds that threshold. Supporters argued the bill would reduce cost barriers and encourage larger ADUs, while opponents from Cal Cities, counties, special districts, and fire districts said impact fees fund essential infrastructure and services and should not be further limited. Committee members largely supported the bill as narrowly tailored, though several emphasized the importance of infrastructure funding and asked for continued work with local government stakeholders. The bill was also moved to the Senate Local Government Committee. The committee also took up a consent calendar containing SB 1267 and the committee omnibus bill SB 1426, both of which were approved. After quorum issues and a brief recess, the committee later returned to lift calls and finalized votes, approving the consent calendar 10-0, SB 1117 10-0, and SB 1116 8-0. The hearing then adjourned.

Transcript Highlights:

• I know in my community, and has very dismal hopes of homeownership in the near future.
• And there's been broad concern generally about condos and how we get this homeownership type scaled.
• Ultimately, this bill is about expanding housing supply and creating more homeownership opportunities
• We support this bill because it would address our shortage of affordable homeownership options, but I
• options that includes abundant accessible homes. middle housing homeownership options that includes

Bills: HB2304 , HB2664

Committee: Senate Housing

Keywords: condominium, housing, warranty, property rights, construction, HB 2664, unlawful detainer, eviction notice, landlord-tenant, tenant rights, service of process, certified mail, notice by mail, notice posting, possession action, vacate notice, Washington RCW 59.12, housing law, rental housing, forcible entry and detainer

Transcript Highlights:

• We have the second-lowest rate of homeownership of any state in the country.
• And investor homeownership is an increasing part of what is making it harder for California families
• It will give families a fighting chance to attain homeownership, intergenerational... ...goals.
• And so it's something that we can do to provide more opportunity for homeownership for Californians.
• This bill is about preserving access to homeownership for first-time buyers who are already doing the

Committee: House Revenue and Taxation

Keywords: 988, house, all

Transcript Highlights:

• So as it's currently drafted, the bill does not include homeownership, though that is an amendment that
• I don't think it was intentional for homeownership to be not included in this bill.
• But it really is prompted by the questions around the homeownership option.
• And I, again, I'm with Habitat for Humanity, and we do exclusively homeownership.
• Again, I'm with Habitat for Humanity, and we do exclusively homeownership.

Summary: House Finance heard testimony on two affordable housing bills. House Bill 1859 would expand an existing density bonus for housing on religious organization property by lowering the affordability threshold from 100% to at least 50% affordable units, requiring local policies to implement the bonus upon request, and creating a new state and local sales and use tax exemption for qualifying projects with at least 50% affordable units maintained for 10 years. The sponsor and supporters said the bill would help projects on church-owned land pencil out amid high construction and financing costs, while a county association raised concern that the bill would create an unfunded mandate for local planning departments. Several witnesses also asked that homeownership projects be explicitly included, and staff confirmed the exemption would be administered through an exemption certificate. The committee then moved to House Bill 1717, which would authorize cities and counties to create a local sales and use tax remittance program for affordable housing developments. Staff said the remittance would cover 100% of local taxes paid after project completion, with a 50% affordable housing threshold and 40-year affordability requirement, and the sponsor and local government and housing advocates supported it as a flexible tool to reduce development costs. Testifiers generally backed both bills, with some asking for more flexibility on income targeting and clarification on county-city interactions under HB 1717. No votes were taken; both public hearings were closed and the committee adjourned after a separate work session on the Working Families Tax Credit, where advocates urged broader eligibility, higher benefit amounts, and easier access, and a California researcher described data-linking methods used to improve tax credit take-up.

Transcript Highlights:

• and increased investment in affordable and workforce housing and targeted programs to promote homeownership
• My name is Elizabeth Perez, and I'm the executive director of the Washington Homeownership Resource Center
• Thank you for your continued commitment to housing stability and homeownership in Washington.
• That means those folks that can barely afford homeownership won't have to worry about that because they
• This is an important equity safeguard for families who are already facing the barrier to homeownership

Summary: The Senate Housing Committee heard public testimony on several bills. SB 5885 would expand affordable housing on property owned by religious organizations by lowering the density-bonus affordability threshold from 100% to 50% and adding a sales and use tax exemption for qualifying projects. The sponsor and supporters from Redmond, Tacoma, Spokane, faith organizations, and housing nonprofits said the current standard is too restrictive and that churches and other faith groups have underused land that could help meet the state’s housing shortage. A county planning representative raised concern about an unfunded mandate to update local development regulations, and one testifier said the bill should be paired with funding for county planning work. The committee also heard SB 5884, which would expand a sales and use tax deferral program for redevelopment of underutilized property. The bill would broaden eligible land beyond surface parking lots to include vacant, partially used, or underutilized parcels, and would allow cities to approve projects with at least 50% affordable units, or 20% in designated residential targeted areas. Supporters from Spokane, Vancouver, Kent, Bellingham, and the Washington State Association of Counties said the current program is too narrow and should be available in more places, including counties and more cities. Construction industry groups supported redevelopment but objected to a provision tying eligibility to apprenticeship utilization, saying it could disadvantage nonunion contractors and create compliance burdens. For SB 5937, the committee heard testimony on smart access systems in rental housing. The bill would require landlords, upon request, to offer a non-biometric, non-app-based alternative key and to provide privacy policies and limits on data collection for smart access systems. Tenant advocates supported the bill as a privacy and access protection, citing concerns about app-based locks, data tracking, lockouts, and retaliation. Landlord and multifamily housing groups said they were open to the concept but argued the bill was too broad and could impose burdens on small housing providers or simple keypad systems, and they asked for narrower definitions and clearer implementation language. Finally, the committee took testimony on SB 5938, which would make technical changes to the foreclosure prevention fee created last year, including exempting certain reverse mortgages and chattel loans, preventing duplicate charges on some state-backed transactions, and directing Commerce to study a possible state homeowner assistance fund. Homeownership counselors, legal aid, HOA advocates, and equity organizations supported the bill, saying it would clarify fee collection, protect low- and moderate-income buyers from unnecessary costs, and help sustain foreclosure prevention services. No votes or final committee actions were taken in the transcript, and the meeting ended after public testimony.

Transcript Highlights:

• As a reminder, this is the bill that limits homeownership by corporate entities. Thank you, Mr.
• As a reminder, this is the bill that limits homeownership by corporate entities.
• we might be able to do with other opportunities for helping especially working families afford homeownership
• Especially working families afford homeownership.
• This bill, as it moves forward, we'll see how it does. especially working families afford homeownership

Committee: House Housing

Keywords: 904, all

Transcript Highlights:

• Homeownership is increasingly out of reach for more and more residents.
• out and left out of homeownership.
• Since 2017, the homeownership rate among Black households has increased from 32% to 38%.
• The homeownership rate among Hispanic households has increased from 26% to 33%, and the homeownership
• MassHousing also offers homeownership loans in-house.

Committee: Joint Joint Committee on Housing

Keywords: 995, all

Summary: The Joint Committee on Housing opened its second hearing of the session with remarks from Chairs Haggerty and Cyr emphasizing that the hearing was a broad look at Massachusetts’ housing crisis rather than a single bill. They highlighted topics including zoning, permitting, rental assistance, public housing, homelessness prevention, and housing production. The first witness, Housing and Livable Communities Secretary Augustus, reviewed implementation of the Affordable Homes Act and the state’s new housing plan, citing a 1.6% vacancy rate, a projected need for 222,000 new homes over 10 years, and ongoing efforts such as ADUs by right, fair housing enforcement, eviction record sealing, seasonal communities planning, and new funding for affordable housing, public housing, and the Momentum Fund. He also discussed infrastructure support for municipalities, technical assistance for ADUs, and concerns about possible federal funding cuts. Committee members questioned the secretary about ADU financing and technical assistance, the likely unit yield from the Affordable Homes Act, infrastructure barriers in suburban and rural communities, public housing waitlist management, supportive housing, and federal budget risks. MassNAHRO then testified that public housing authorities are facing rising operating and capital costs, a statewide waitlist nearing 300,000, and uncertainty over federal Section 8 and HUD funding. Witnesses described recent state support for operating subsidies, capital improvements, vacancy turnover teams, and resident service coordinators, while warning that proposed federal cuts could sharply affect voucher issuance and agency operations. CDAC’s executive director Roger Herzog described the agency’s role as a quasi-public source of early-stage financing and technical assistance for nonprofit housing developers, noting its loan capital, supportive housing bond programs, home modification loans, and preservation work under Chapter 40T. He said CDAC has helped produce or preserve more than 55,000 units and stressed the importance of patient capital and preservation tools. CHAPA CEO Rachel Heller urged the committee to focus on production, preservation, planning, and political will, supporting goals for affordability, supportive housing, and homeownership, and endorsing policy changes such as YIGBY, clearer site plan review rules, stronger fair housing funding, and more support for vouchers and public housing. MassHousing then outlined its financing role, including mortgage lending, down payment assistance, the Community Climate Bank, and the Momentum Fund, while noting that permitting delays, capital gaps, and possible federal changes could affect production. Members also asked about transparency, prevailing wage compliance, and a recent internal restructuring related to diversity and business engagement.

Transcript Highlights:

• We're a Minnesota-based nonprofit, NeighborWorks America Homeownership Center, and also a member of Homeownership
• Homeownership has felt out of reach for generations.
• HEAT supports our work as homeownership advisers in meaningful ways.
• and to reduce Minnesota's racial homeownership gap.
• and to reduce Minnesota's racial homeownership gap.

Committee: Senate Housing and Homelessness Prevention

Keywords: 1187, senate, all

Transcript Highlights:

• Homeownership provides many significant benefits to a community, such as boosting educational performance
• Homeownership provides many significant benefits to a community, such as boosting educational performance
• Homeownership provides many significant benefits to a community, such as boosting educational performance
• Homeownership provides many significant benefits to a community, such as boosting educational performance
• Homeownership provides many significant benefits to a community, such as boosting educational performance

Committee: House Housing Finance and Policy

Keywords: 1183, house

Transcript Highlights:

• Uh, all of the loans that are made within our homeownership program get securitized in the secondary
• He is our director of homeownership.
• We'll plan on covering the full continuum of housing from homelessness to homeownership and the needs
• For homeowners on, on how they build wealth through homeownership.
• , and then market rate homeownership.

Committee: House Mortgage Finance Authority Act Oversight Committee

Transcript Highlights:

• We've talked so much in this committee about that being a goal to create pathways into homeownership.
• </c><00:26:08.200><c> We've</c> that next step into homeownership.
• We've that next step into homeownership.
• </c><00:26:13.360><c> And</c> into homeownership. And into homeownership.
• Um I think it's a really homeownership.

Keywords: 1183, house

Transcript Highlights:

• Over the last 20 years, our homeownership rate has actually fallen.
• Our persistent failure to turn the ship around on homeownership is the result of a persistent shortage
• Fewer homes, fewer chances for homeownership, and more projects that never move forward.
• And so if we can do more of this kind of work, we can make a tremendous difference in homeownership in
• California's housing crisis continues to limit homeownership opportunities and increase housing costs

Committee: Senate Housing

Summary: The Senate Standing Committee on Housing heard two substantive housing bills and two consent items. SB 1116 by Senator Caballero would update the Starter Home Revitalization Act (SB 684) by clarifying development standards for small infill housing, reinforcing ministerial approval and timelines, improving state oversight and reporting, updating subdivision rules, and addressing private restrictions such as HOA or deed provisions that can block housing. The author and supporters, including California YIMBY and a small developer, said the bill responds to implementation problems and would help produce more starter homes; there was no opposition testimony. Members generally supported the measure but noted concerns about local implementation and the broader impact-fee/infrastructure context. SB 1117 by Senator Cervantes would clarify ADU fee law so local governments assess impact fees only on the portion of an ADU above 750 square feet, rather than on the full unit, while keeping the existing 750-square-foot exemption intact. Supporters argued the current fee structure discourages larger ADUs and creates a sharp production drop above 750 square feet; a homeowner witness said fees on an 800-square-foot ADU would have exceeded construction costs. Local government and fire-related organizations opposed or opposed unless amended, arguing impact fees fund essential infrastructure and services and should remain tied to nexus studies. Several senators said the bill was narrowly tailored but emphasized the need to address broader infrastructure financing. The committee also took up consent items SB 1267 by Senator Allen and SB 1426, the committee omnibus bill. After the committee obtained a quorum and later reconvened, it approved the consent calendar 10-0, SB 1117 10-0, and SB 1116 8-0. All measures were ordered out to the Senate Local Government Committee, and the hearing was adjourned.

Transcript Highlights:

• real property of up to four units and the purchase transaction is financed through the Covenant Homeownership
• Program, Housing Trust Fund program administered by Commerce, or any homeownership program administered
• For any homeownership program administered by the Housing Finance Commission, the fee may only be collected
• My name is Elizabeth Bittes, and I'm the executive director at the Washington Homeownership Resource
• However, homeownership is also a critical stabilizing force in neighborhoods.

Summary: The committee held public hearings on two housing-related bills. Senate Bill 6054 would prohibit common interest communities, including HOAs and condominiums, from banning fire-hardened building materials that meet health and safety standards, while still allowing reasonable rules on design, placement, and appearance. The sponsor said the bill is intended to help homeowners reduce wildfire risk without forcing any resident to make changes, and staff explained that it would apply retroactively to conflicting governing documents. Testimony was generally supportive, including from the Office of the Insurance Commissioner, the Washington State Community Associations Institute, and HOA United, though the American Wood Council asked for narrower definitions so wood products could still qualify under other standards. Senate Bill 5938 would revise the $80 foreclosure prevention fee created last session. Staff said the bill expands exemptions to include reverse mortgages for borrowers age 60 and older, chattel loans and retail installment contracts for dwellings secured as personal property, and limits duplicate charges in certain state-supported homeownership programs. It also removes the option to pay the fee from borrower cash at closing, allows financing through loan proceeds, clarifies disclosure and Commerce’s rulemaking authority, and directs Commerce and the Housing Finance Commission to study creating a state homeowner assistance fund by July 1, 2027. The sponsor and supporters said the changes would stabilize foreclosure prevention funding, prevent multiple charges on the same transaction, and help homeowners stay in their homes. Testimony on SB 5938 was strongly supportive from the Washington Homeownership Resource Center, the Washington Build Back Black Alliance, HOA United, and the Northwest Justice Project, with speakers emphasizing foreclosure prevention, housing stability, and the need for assistance for seniors, first-time buyers, and HOA homeowners. At the end of the hearing, the chair announced that the committee would likely take executive action on the bills early the next week and asked members to submit amendments by the stated deadlines.

Transcript Highlights:

• Yet California is facing the lowest homeownership rate since the 1940s.
• Yet California is facing the lowest homeownership rate since the 1940s, and the path to owning a home
• Since 2020, CalHome, one of the only sources of funding for affordable homeownership production, has
• To be clear, affordable rentals and affordable homeownership are both essential, which is why AB 595
• UnidosUS has had a long commitment to expanding homeownership opportunities because we know that it's

Summary: The Assembly Committee on Housing and Community Development heard a long agenda focused mainly on housing production, higher education facilities, homelessness, and permitting reform. Early items included AB 6, which would direct HCD to convene a working group on allowing three- to ten-unit “missing middle” housing to be built under the Residential Code rather than the Building Code; AB 48, a higher education bond proposal that would fund campus repairs, modernization, disaster recovery, and student/employee housing; and AB 76, which would clarify a Chula Vista university innovation district exemption so the project can include academic buildings and housing without conflicting with surplus land rules. Supporters emphasized affordability, cost savings, student housing needs, and access to education, while members raised questions about implementation, affordability requirements, and project scope. The committee later took votes on these items, with AB 6, AB 48, and AB 76 all moving forward on unanimous or near-unanimous votes to Appropriations. Members also heard AB 595, which would create a state homeownership tax credit pilot to support affordable for-sale housing. The author and supporters argued that California’s homeownership rate is at historic lows and that the bill would help close racial wealth gaps by financing homes working families can buy. The committee approved AB 595 and sent it to Appropriations. The consent calendar, including several other housing-related bills, was also approved unanimously. A major portion of the hearing was devoted to AB 1165, the California Housing Justice Act of 2025, which would require ongoing state investment and a financing plan to address homelessness and housing affordability. The author and witnesses described the scale of homelessness, the limits of one-time funding, and the need for sustained, accountable funding streams. After testimony from housing advocates and people with lived experience, the committee passed AB 1165 on a 10-0 vote to Appropriations. Finally, the committee heard AB 609, a CEQA reform bill that would create a simplified exemption for qualifying infill housing projects in already developed areas. Supporters framed it as a targeted way to reduce delays and costs for housing near jobs and transit, while opponents from environmental justice, labor, and tribal groups warned it could reduce public participation, weaken protections for disadvantaged communities, and create consultation concerns for tribal cultural resources. The author said the bill would not change zoning or affordability tools and would continue to work with opponents on amendments. The bill was moved forward after extensive discussion, with members noting ongoing negotiations on tribal consultation and labor concerns.

Transcript Highlights:

• Funding for these programs are now combined under a single homeownership Super NOFA, known as Hosen.
• To date, the CERNA single-family homeownership program has provided $30 million in two NOFA rounds to
• Funding for these programs are now combined under a single homeownership Super NOFA, known as Hosen.
• And on the homeownership front, we are providing opportunities throughout...
• And it's the only homeownership program that can boast that particular success.

Summary: The committee held an outcomes review hearing on AB 457 and related farmworker and rural housing policy, with members and witnesses discussing whether recent streamlining laws are actually increasing production. Chair Haney, Assembly Members Soria and Pellerin, and others described the purpose of AB 457 and its predecessor bills AB 1783 and AB 3035: to make farmworker housing easier to build through ministerial approval and other reforms. Witnesses emphasized that farmworkers face severe overcrowding, high rents, long commutes, and limited access to housing in both rural and coastal agricultural regions. The first panel focused on practical barriers and local models. Napa County described its county-owned farmworker centers, which provide nightly lodging, meals, and services, funded by lodger fees, a grower assessment, and state support. Testimony stressed that these centers function as navigation hubs rather than permanent housing, and that stable, inflation-adjusted operating funding, language access, transportation, and local set-asides are critical. United Farm Workers urged that local farmworkers be prioritized over H-2A workers and warned against displacing long-term resident workers. Several witnesses said the biggest barriers remain infrastructure, land costs, local opposition, and insufficient subsidy rather than approval streamlining alone. The second and third panels addressed AB 457’s implementation and broader state funding issues. Santa Clara County said the bill could help on a county-owned Gilroy site, but financing remains the main obstacle. Self-Help Enterprises said AB 457’s expanded geography and project-size rules may help future sites, but rural projects still struggle with water, sewer, and environmental review costs, and with the state’s Super NOFA process, which tends to favor deeper-income projects that do not match farmworker household incomes. HCD reported that CERNA and other programs have increased farmworker housing production in recent years, but witnesses argued that rural regions still receive too little funding, that infrastructure dollars are too fragmented, and that more rural-specific set-asides, local funding incentives, and predictable allocations are needed. No votes or formal actions were taken during the hearing.

Transcript Highlights:

• First is on the homeownership side.
• And at the other end of the scale, homeownership is out of reach for many.
• And then, you know, we do have homeownership programs as well.
• So, yeah, did you want on the homeownership side?
• That's 6% given to the homeowner for a down payment for homeownership.

Summary: The Assembly Select Committee on Housing Finance and Affordability held its first hearing of 2025 to examine California’s housing finance system, with opening remarks emphasizing the state’s severe housing shortage, high costs, and the need for practical recommendations to the Legislature and Governor. Co-chairs described the committee as an educational and problem-solving forum focused on financing housing production, first-time homeownership, mixed-income developments, and affordability across the income spectrum. Witnesses from state agencies and the development sector were invited to explain how housing is financed and where the system is breaking down. Panelists from the California Housing Partnership, the Business, Consumer Services and Housing Agency, the Tax Credit Allocation Committee/State Treasurer’s Office, CalHFA, and Related outlined the “capital stack” used to finance affordable housing, stressing that projects typically rely on multiple public and private sources, including federal and state low-income housing tax credits, tax-exempt bonds, state subsidies, local funds, and rental income. Speakers noted that affordable housing rents generally cannot support full project costs without public subsidy, and that recent federal changes—especially the expansion of the 4% and 9% tax credit programs and the reduction of the bond financing threshold for 4% credits—should allow California to finance substantially more units. CalHFA also described its homeownership programs, including My Home, Dream For All, and disaster-related mortgage assistance, as well as its multifamily lending and bond issuance programs. Several witnesses and committee members emphasized that the system remains too complex, too slow, and underfunded. They pointed to the need for more state funding, a housing bond, a permanent funding source, and better coordination among agencies, while also citing recent streamlining efforts such as AB 434’s SuperNOFA, AB 519’s one-stop-shop working group, and the planned California Housing and Homeless Agency reorganization. Members raised concerns about equity, access, missing-middle housing, gender and racial disparities, and whether current programs adequately serve extremely low-income households and those at risk of homelessness. No formal votes or actions were taken during the hearing; the discussion ended with committee members and witnesses agreeing that both funding and administrative reform are needed to increase production and improve affordability.

Transcript Highlights:

• I'll just add that your point is well taken about homeownership opportunities for people, and these are
• I think of my little sister who's renting and has very dismal hopes of homeownership in the near future
• And there's been broad concern generally about condos and how we get this homeownership type scaled.
• We support this bill because it would address our shortage of affordable homeownership options, but I
• Middle housing homeownership options that include abundant accessible homes.

Summary: The committee heard several housing-related bills. Representative Connors testified on two notice-service bills: HB 2452, which would change manufactured/mobile home rent increase notices so they are served like other MHLTA notices rather than by certified mail, and HB 2664, which would remove certified-mail requirements for unlawful detainer and related notices. Connors said the current certified-mail rules are causing notices to go unclaimed and creating unnecessary costs for housing providers, while staff explained the bills would allow service by regular mail in the same manner as other notices. Public testimony on both bills was generally supportive, emphasizing reduced cost and better delivery, though one witness on HB 2452 urged allowing electronic notice options as well. The committee also heard SHB 2269, which clarifies that middle housing in limited areas of more intensive rural development may be served by either a public sewer system or a large on-site sewage system in rural counties, while non-rural counties would still require public sewer service. The sponsor and supporters said the bill resolves ambiguity created by prior legislation and gives county planners more flexibility; questions focused on what kinds of systems and uses would qualify. EHB 1687 was heard next and would expand the housing cooperation law to allow cities and counties to assist social housing public development authorities. Representative Reed and supporters said the bill would give Seattle and potentially other jurisdictions a tool to support permanently public, mixed-income housing with land, infrastructure, and other assistance. In executive session, the committee adopted a due-pass recommendation for EHB 1345 after Senator Gaynor withdrew an amendment that would have removed water-withdrawal and metering requirements for detached ADUs outside urban growth areas. The committee also adopted a striking amendment and moved ESHB 1500 and EHB 1501 forward, both with updated timelines and clarifications related to common-interest-community resale certificates and owner inquiries. Amendments to ESHB 1974 on land bank authorities were rejected, including proposals to remove private negotiation and tax preferences, and the bill was sent to Ways and Means. Finally, SHB 2288 on scissors stairs was advanced without amendment. Later, the committee heard HB 2304, which would expand the 2-10 warranty option to certain four-story stacked-flat condominium projects; testimony from builders, housing advocates, and the Office of Insurance Commissioner supported it as a way to reduce liability costs and increase condo supply. The committee also took testimony on EHB 1687 and HB 2664, and then closed the hearing on SHB 2452 after hearing support from housing providers for easing manufactured-home rent notice service requirements.