California Housing: Building a More Affordable Future

Report #267, March 2022
California Housing: Building a More Affordable Future

Full Report

Executive Summary

Press Release

FOR IMMEDIATE RELEASE
March 9, 2022
 
For Additional Information Contact:
Ethan Rarick, Executive Director
(916) 445-0926
 
State Leaders Must Act Now to Address California’s Housing Affordability Crisis, Urges Little Hoover Commission

California needs to build millions of additional homes to safely house its population, and the state must do more to increase the development of and access to affordable housing, says the state’s independent government watchdog in a new report.

In California Housing: Building a More Affordable Future, the Little Hoover Commission offers seven targeted recommendations state leaders can take action on immediately to help address California’s housing affordability crisis.

“The consequences of the state’s limited supply of housing are devastating,” says Commission Chair Pedro Nava. “Prices are skyrocketing and families are struggling. The state can and should be doing more to address this crisis.”

In its report, the Commission finds that state funding for affordable housing has traditionally focused on rental housing. While the state should continue its support of renters, the Commission urges the state to expand its affordable housing strategy—in policy and funding—to put a greater emphasis on affordable home ownership. To ensure that this strategy is not counterproductive, the state must also include an emphasis on increasing housing supply.

“The state should jumpstart affordable housing production by treating the state’s housing crisis with the same urgency as the state’s wildfire crisis,” says Cathy Schwamberger, who chaired the Commission’s subcommittee on affordable housing. “This includes creating targeted working groups to tackle logistical and policy challenges and building in CEQA flexibility to expedite projects.”

The Commission also found that the state’s organization of its housing functions is inefficient. Spread across four different agencies and divided under the purviews of the governor and the state treasurer, the current organization results in confusion over responsibilities that leads to gaps in services. To help California craft a better affordable housing strategy and improve operations, the Commission calls on the state to consolidate housing functions. The state should also consider formalizing a strategic working relationship between the two constitutional officers and the agencies they oversee.

The Commission learned that California’s process for determining how much and where housing needs to be built fails to account for how much housing, particularly affordable housing, is actually built. To address this challenge, the Commission recommends that that the state reconsider how it measures local governments’ progress toward housing goals to include how many units are actually constructed.

The Commission also outlines additional reforms to include proactively enforcing housing requirements, filling housing data and analysis gaps, and investing in shared equity models.

“The state’s efforts to address its affordable housing shortage are often bogged down by a lack of political will or by Californians themselves,” says Commissioner Dion Aroner, a member of the study’s subcommittee. “This report identifies focused actions that provide state leaders a pathway forward.”

About the Little Hoover Commission

The Little Hoover Commission is America’s only permanent, independent citizens commission working to improve state government. A nonpartisan oversight agency created in 1962, the Commission includes 13 Commissioners appointed by the Governor and legislative leaders. The Commission’s mission is to investigate state operations and promote efficiency, economy, and improved service.

 

Fact Sheet

Study Description

Agenda

Overview

California is short by two to three million homes to safely house its population. As a result of this limited supply, Californians are paying record prices for housing and far too many are finding themselves priced out of the market. The implications of California’s housing crisis are devastating. The state’s poverty rate—when taking into account cost of living—is the highest in the nation. Californians looking for housing they can afford are pushed farther away from their jobs, while others are thrust into crowded living conditions.

In this report, the Commission outlines recommendations to address the state’s housing crisis. These recommendations are informed by the following themes: affordable home ownership, housing supply, cooperation with local government, addressing historical inequities and preventing new ones, and actions state leaders can take immediately.

Written testimony from hearing witnesses can be found below in the corresponding event agenda.

 

Relevant Reports
(Report #258, April 2021)
 
(Report #165, May 2002)
 
 
In the News
 
Print 
			Agenda
  • September 23
    2021
    Hearing on Creating Affordable Housing: The State and Local Relationship (Part 3)
    10 a.m.
    Public Hearing
    Agenda

    AGENDA:
    Public Hearing on Creating Affordable Housing: The State and Local Relationship (Part 3)
    10:00 a.m.
    Thursday, September 23, 2021
     
    Join Online or By Phone Via Zoom
    Online:
    https://bit.ly/3iNjQOK
    Toll Free Phone: (888) 788-0099
    Webinar ID: 971-4008-7427
    Password: 380397

    Or watch the hearing live on the Commission's Facebook.

    1. Perspectives from Within State Government on Facilitating the Creation of Affordable Housing

    a. Lourdes Castro Ramírez, Secretary, California Business, Consumer Services and Housing Agency (Written Testimony)

    b. Claudia Cappio, Former Local Planning Official and Former Director, California Housing Finance Agency and Former Director, Housing and Community Development (2011-2015) (Written Testimony)

    c. Ben Metcalf, Managing Director, Terner Center for Housing Innovation (Written Testimony)

    d. Public Comments


    Add to your calendar

    Public Notice

    FOR IMMEDIATE RELEASE
    August 16, 2021
     

    For Additional Information Contact:
    Ethan Rarick, Executive Director
    (916) 445-2125
     

    Notice of Hearings

    On Thursday, August 26, 2021, Thursday, September 9, 2021, and Thursday, September 23, 2021 the Little Hoover Commission will conduct public hearings on Creating Affordable Housing: The State and Local Relationship. The hearings will be conducted via Zoom, under the provisions of the Bagley-Keene Act as revised by Governor’s Executive Order N-29-20.

    Members of the public are encouraged to listen to the hearings by joining online or by phone. The Zoom information and phone number for accessing the hearings are included below with each hearing's agenda and also on our website. We highly recommend members of the public access the meeting through the Zoom app. Please visit the Zoom website for instructions on how to download the Zoom app onto a computer or smartphone. All three hearings will also be livestreamed on the Commission's Facebook page.

    During the hearings, members of the public may indicate to staff that they wish to make public comment by using the “raise hand" feature in Zoom or sending an email to littlehoover@lhc.ca.gov with your question and the phone number from which you have joined the hearing. As is the Commission’s normal procedure during physical hearings, public comments will be heard at the end of the hearing, following the final agenda item, and will be limited to three minutes each.

    Witnesses may be taken out of order to accommodate speakers and to maintain a quorum. The hearings may be cancelled without notice.

    If you need reasonable accommodation due to a disability, please contact the Little Hoover Commission at (916) 445-2125 or littlehoover@lhc.ca.gov by Thursday, August 19 for the August 26 public hearing; Thursday, September 2 for the September 9 public hearing; and Thursday, September 16 for the September 23 public hearing.

    Please be aware that there may be delays in responding to emails or other communications to the Commission as our staff is now working remotely due to the coronavirus epidemic. We appreciate your patience.

    Video
  • September 9
    2021
    Hearing on Creating Affordable Housing: The State and Local Relationship (Part 2)
    10 a.m.
    Public Hearing
    Agenda

    AGENDA:
    Public Hearing on Creating Affordable Housing: The State and Local Relationship (Part 2)
    10:00 a.m.
    Thursday, September 9, 2021
     
    Join Online or By Phone Via Zoom
    Online:
    https://bit.ly/3m8ktUY
    Toll Free Phone: (888) 788-0099
    Webinar ID: 987-0021-4985
    Password: 130995

    Or watch the hearing live on the Commission's Facebook.

    1. Perspectives from Stakeholders Outside of Government on Facilitating the Creation of Affordable Housing
      1. Robert Phipps, Deputy Director, Fresno Council of Governments and Michael Sigala, Principal, Sigala Inc.
      2. Heather Peters, Principal Regional Housing Planner, Metropolitan Transportation Commission and Association of Bay Area Governments.
      3. Sharon Byrne, Vice President, United Nations Association of Santa Barbara and Tri Counties.
      4. Public Comments


    Add to your calendar

    Public Notice

    FOR IMMEDIATE RELEASE
    August 16, 2021
     

    For Additional Information Contact:
    Ethan Rarick, Executive Director
    (916) 445-2125
     

    Notice of Hearings

    On Thursday, August 26, 2021, Thursday, September 9, 2021, and Thursday, September 23, 2021 the Little Hoover Commission will conduct public hearings on Creating Affordable Housing: The State and Local Relationship. The hearings will be conducted via Zoom, under the provisions of the Bagley-Keene Act as revised by Governor’s Executive Order N-29-20.

    Members of the public are encouraged to listen to the hearings by joining online or by phone. The Zoom information and phone number for accessing the hearings are included below with each hearing's agenda and also on our website. We highly recommend members of the public access the meeting through the Zoom app. Please visit the Zoom website for instructions on how to download the Zoom app onto a computer or smartphone. All three hearings will also be livestreamed on the Commission's Facebook page.

    During the hearings, members of the public may indicate to staff that they wish to make public comment by using the “raise hand" feature in Zoom or sending an email to littlehoover@lhc.ca.gov with your question and the phone number from which you have joined the hearing. As is the Commission’s normal procedure during physical hearings, public comments will be heard at the end of the hearing, following the final agenda item, and will be limited to three minutes each.

    Witnesses may be taken out of order to accommodate speakers and to maintain a quorum. The hearings may be cancelled without notice.

    If you need reasonable accommodation due to a disability, please contact the Little Hoover Commission at (916) 445-2125 or littlehoover@lhc.ca.gov by Thursday, August 19 for the August 26 public hearing; Thursday, September 2 for the September 9 public hearing; and Thursday, September 16 for the September 23 public hearing.

    Please be aware that there may be delays in responding to emails or other communications to the Commission as our staff is now working remotely due to the coronavirus epidemic. We appreciate your patience.

    Video
  • August 26
    2021
    Hearing on Creating Affordable Housing: The State and Local Relationship (Part 1)
    10 a.m.
    Public Hearing
    Agenda

    AGENDA:
    Public Hearing on Creating Affordable Housing: The State and Local Relationship (Part 1)
    10:00 a.m.
    Thursday, August 26, 2021

     
    Join Online or By Phone Via Zoom
    Online: https://bit.ly/3snjBx5
    Toll Free Phone: (888) 788-0099
    Webinar ID: 920-9723-9737
    Password: 916118

    Or watch the hearing live on the Commission's Facebook.

    1. Public Comments
    2. Perspectives from Stakeholders Outside of Government on Facilitating the Creation of Affordable Housing
      • Denise Pinkston, Founder and President, The Casita Coalition, and Partner, TMG Partners (Written Testimony)
      • Debbie Arakel, Executive Director, Habitat for Humanity California (Written Testimony)
      • Fanny Ortiz, Co-Founder and Board Member, Fideicomiso Comunitario Tierra Libre, and Treasurer, California Community Land Trust Network


    Add to your calendar

    Public Notice

    FOR IMMEDIATE RELEASE
    August 16, 2021
     

    For Additional Information Contact:
    Ethan Rarick, Executive Director
    (916) 445-2125
     

    Notice of Hearings

    On Thursday, August 26, 2021, Thursday, September 9, 2021, and Thursday, September 23, 2021 the Little Hoover Commission will conduct public hearings on Creating Affordable Housing: The State and Local Relationship. The hearings will be conducted via Zoom, under the provisions of the Bagley-Keene Act as revised by Governor’s Executive Order N-29-20.

    Members of the public are encouraged to listen to the hearings by joining online or by phone. The Zoom information and phone number for accessing the hearings are included below with each hearing's agenda and also on our website. We highly recommend members of the public access the meeting through the Zoom app. Please visit the Zoom website for instructions on how to download the Zoom app onto a computer or smartphone. All three hearings will also be livestreamed on the Commission's Facebook page.

    During the hearings, members of the public may indicate to staff that they wish to make public comment by using the “raise hand" feature in Zoom or sending an email to littlehoover@lhc.ca.gov with your question and the phone number from which you have joined the hearing. As is the Commission’s normal procedure during physical hearings, public comments will be heard at the end of the hearing, following the final agenda item, and will be limited to three minutes each.

    Witnesses may be taken out of order to accommodate speakers and to maintain a quorum. The hearings may be cancelled without notice.

    If you need reasonable accommodation due to a disability, please contact the Little Hoover Commission at (916) 445-2125 or littlehoover@lhc.ca.gov by Thursday, August 19 for the August 26 public hearing; Thursday, September 2 for the September 9 public hearing; and Thursday, September 16 for the September 23 public hearing.

    Please be aware that there may be delays in responding to emails or other communications to the Commission as our staff is now working remotely due to the coronavirus epidemic. We appreciate your patience.

    Video
Print 
		Agenda
  • September 23
    2021
    Hearing on Creating Affordable Housing: The State and Local Relationship (Part 3)
    10 a.m.
    Public Hearing
    Agenda

    AGENDA:
    Public Hearing on Creating Affordable Housing: The State and Local Relationship (Part 3)
    10:00 a.m.
    Thursday, September 23, 2021
     
    Join Online or By Phone Via Zoom
    Online:
    https://bit.ly/3iNjQOK
    Toll Free Phone: (888) 788-0099
    Webinar ID: 971-4008-7427
    Password: 380397

    Or watch the hearing live on the Commission's Facebook.

    1. Perspectives from Within State Government on Facilitating the Creation of Affordable Housing

    a. Lourdes Castro Ramírez, Secretary, California Business, Consumer Services and Housing Agency (Written Testimony)

    b. Claudia Cappio, Former Local Planning Official and Former Director, California Housing Finance Agency and Former Director, Housing and Community Development (2011-2015) (Written Testimony)

    c. Ben Metcalf, Managing Director, Terner Center for Housing Innovation (Written Testimony)

    d. Public Comments


    Add to your calendar

    Public Notice

    FOR IMMEDIATE RELEASE
    August 16, 2021
     

    For Additional Information Contact:
    Ethan Rarick, Executive Director
    (916) 445-2125
     

    Notice of Hearings

    On Thursday, August 26, 2021, Thursday, September 9, 2021, and Thursday, September 23, 2021 the Little Hoover Commission will conduct public hearings on Creating Affordable Housing: The State and Local Relationship. The hearings will be conducted via Zoom, under the provisions of the Bagley-Keene Act as revised by Governor’s Executive Order N-29-20.

    Members of the public are encouraged to listen to the hearings by joining online or by phone. The Zoom information and phone number for accessing the hearings are included below with each hearing's agenda and also on our website. We highly recommend members of the public access the meeting through the Zoom app. Please visit the Zoom website for instructions on how to download the Zoom app onto a computer or smartphone. All three hearings will also be livestreamed on the Commission's Facebook page.

    During the hearings, members of the public may indicate to staff that they wish to make public comment by using the “raise hand" feature in Zoom or sending an email to littlehoover@lhc.ca.gov with your question and the phone number from which you have joined the hearing. As is the Commission’s normal procedure during physical hearings, public comments will be heard at the end of the hearing, following the final agenda item, and will be limited to three minutes each.

    Witnesses may be taken out of order to accommodate speakers and to maintain a quorum. The hearings may be cancelled without notice.

    If you need reasonable accommodation due to a disability, please contact the Little Hoover Commission at (916) 445-2125 or littlehoover@lhc.ca.gov by Thursday, August 19 for the August 26 public hearing; Thursday, September 2 for the September 9 public hearing; and Thursday, September 16 for the September 23 public hearing.

    Please be aware that there may be delays in responding to emails or other communications to the Commission as our staff is now working remotely due to the coronavirus epidemic. We appreciate your patience.

    Video
  • September 9
    2021
    Hearing on Creating Affordable Housing: The State and Local Relationship (Part 2)
    10 a.m.
    Public Hearing
    Agenda

    AGENDA:
    Public Hearing on Creating Affordable Housing: The State and Local Relationship (Part 2)
    10:00 a.m.
    Thursday, September 9, 2021
     
    Join Online or By Phone Via Zoom
    Online:
    https://bit.ly/3m8ktUY
    Toll Free Phone: (888) 788-0099
    Webinar ID: 987-0021-4985
    Password: 130995

    Or watch the hearing live on the Commission's Facebook.

    1. Perspectives from Stakeholders Outside of Government on Facilitating the Creation of Affordable Housing
      1. Robert Phipps, Deputy Director, Fresno Council of Governments and Michael Sigala, Principal, Sigala Inc.
      2. Heather Peters, Principal Regional Housing Planner, Metropolitan Transportation Commission and Association of Bay Area Governments.
      3. Sharon Byrne, Vice President, United Nations Association of Santa Barbara and Tri Counties.
      4. Public Comments


    Add to your calendar

    Public Notice

    FOR IMMEDIATE RELEASE
    August 16, 2021
     

    For Additional Information Contact:
    Ethan Rarick, Executive Director
    (916) 445-2125
     

    Notice of Hearings

    On Thursday, August 26, 2021, Thursday, September 9, 2021, and Thursday, September 23, 2021 the Little Hoover Commission will conduct public hearings on Creating Affordable Housing: The State and Local Relationship. The hearings will be conducted via Zoom, under the provisions of the Bagley-Keene Act as revised by Governor’s Executive Order N-29-20.

    Members of the public are encouraged to listen to the hearings by joining online or by phone. The Zoom information and phone number for accessing the hearings are included below with each hearing's agenda and also on our website. We highly recommend members of the public access the meeting through the Zoom app. Please visit the Zoom website for instructions on how to download the Zoom app onto a computer or smartphone. All three hearings will also be livestreamed on the Commission's Facebook page.

    During the hearings, members of the public may indicate to staff that they wish to make public comment by using the “raise hand" feature in Zoom or sending an email to littlehoover@lhc.ca.gov with your question and the phone number from which you have joined the hearing. As is the Commission’s normal procedure during physical hearings, public comments will be heard at the end of the hearing, following the final agenda item, and will be limited to three minutes each.

    Witnesses may be taken out of order to accommodate speakers and to maintain a quorum. The hearings may be cancelled without notice.

    If you need reasonable accommodation due to a disability, please contact the Little Hoover Commission at (916) 445-2125 or littlehoover@lhc.ca.gov by Thursday, August 19 for the August 26 public hearing; Thursday, September 2 for the September 9 public hearing; and Thursday, September 16 for the September 23 public hearing.

    Please be aware that there may be delays in responding to emails or other communications to the Commission as our staff is now working remotely due to the coronavirus epidemic. We appreciate your patience.

    Video
  • August 26
    2021
    Hearing on Creating Affordable Housing: The State and Local Relationship (Part 1)
    10 a.m.
    Public Hearing
    Agenda

    AGENDA:
    Public Hearing on Creating Affordable Housing: The State and Local Relationship (Part 1)
    10:00 a.m.
    Thursday, August 26, 2021

     
    Join Online or By Phone Via Zoom
    Online: https://bit.ly/3snjBx5
    Toll Free Phone: (888) 788-0099
    Webinar ID: 920-9723-9737
    Password: 916118

    Or watch the hearing live on the Commission's Facebook.

    1. Public Comments
    2. Perspectives from Stakeholders Outside of Government on Facilitating the Creation of Affordable Housing
      • Denise Pinkston, Founder and President, The Casita Coalition, and Partner, TMG Partners (Written Testimony)
      • Debbie Arakel, Executive Director, Habitat for Humanity California (Written Testimony)
      • Fanny Ortiz, Co-Founder and Board Member, Fideicomiso Comunitario Tierra Libre, and Treasurer, California Community Land Trust Network


    Add to your calendar

    Public Notice

    FOR IMMEDIATE RELEASE
    August 16, 2021
     

    For Additional Information Contact:
    Ethan Rarick, Executive Director
    (916) 445-2125
     

    Notice of Hearings

    On Thursday, August 26, 2021, Thursday, September 9, 2021, and Thursday, September 23, 2021 the Little Hoover Commission will conduct public hearings on Creating Affordable Housing: The State and Local Relationship. The hearings will be conducted via Zoom, under the provisions of the Bagley-Keene Act as revised by Governor’s Executive Order N-29-20.

    Members of the public are encouraged to listen to the hearings by joining online or by phone. The Zoom information and phone number for accessing the hearings are included below with each hearing's agenda and also on our website. We highly recommend members of the public access the meeting through the Zoom app. Please visit the Zoom website for instructions on how to download the Zoom app onto a computer or smartphone. All three hearings will also be livestreamed on the Commission's Facebook page.

    During the hearings, members of the public may indicate to staff that they wish to make public comment by using the “raise hand" feature in Zoom or sending an email to littlehoover@lhc.ca.gov with your question and the phone number from which you have joined the hearing. As is the Commission’s normal procedure during physical hearings, public comments will be heard at the end of the hearing, following the final agenda item, and will be limited to three minutes each.

    Witnesses may be taken out of order to accommodate speakers and to maintain a quorum. The hearings may be cancelled without notice.

    If you need reasonable accommodation due to a disability, please contact the Little Hoover Commission at (916) 445-2125 or littlehoover@lhc.ca.gov by Thursday, August 19 for the August 26 public hearing; Thursday, September 2 for the September 9 public hearing; and Thursday, September 16 for the September 23 public hearing.

    Please be aware that there may be delays in responding to emails or other communications to the Commission as our staff is now working remotely due to the coronavirus epidemic. We appreciate your patience.

    Video