Bill Text: CA AB1232 | 2019-2020 | Regular Session | Amended
Bill Title: Affordable housing: weatherization.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Passed) 2019-10-11 - Chaptered by Secretary of State - Chapter 754, Statutes of 2019. [AB1232 Detail]
Download: California-2019-AB1232-Amended.html
Amended
IN
Senate
June 28, 2019 |
Amended
IN
Senate
June 11, 2019 |
Amended
IN
Assembly
April 25, 2019 |
Amended
IN
Assembly
April 11, 2019 |
Amended
IN
Assembly
March 26, 2019 |
Assembly Bill | No. 1232 |
Introduced by Assembly Member Gloria (Coauthor: Assembly Member Reyes) |
February 21, 2019 |
LEGISLATIVE COUNSEL'S DIGEST
This bill, commencing January 1, 2021, would require the owner of a dwelling, housing unit, or multiunit residential structure that receives assistance from the Low-Income Weatherization Program to maintain the unit as low-income residential housing for 10 years following
completion of the weatherization service, and in the case of an unregulated housing, to maintain current rent levels plus an annual percentage rent increase, as specified, for 10 years following completion of the weatherization service. The bill would authorize the department to reduce the period of rent restriction for unregulated housing to not less than 5 years if specified requirements are met. The bill would require the department to develop standards that ensure program-funded energy improvements
provide net financial, health, or safety benefits to tenants, as specified.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOBill Text
The people of the State of California do enact as follows:
(a)Commencing January 1, 2021, the owner of a dwelling, housing unit, or multiunit residential structure that is subject to a deed restriction or other legally binding provision that receives assistance from the Low-Income Weatherization Program for the unit shall maintain the unit as low-income residential housing, as defined by paragraph (3) of subdivision (a) of Section 2852 of the Public Utilities Code, for a period of not less than 10 years from the
date of completion of the weatherization services, regardless of the termination date of any deed restriction designation or other legally binding provision, and subject to subdivision
(e).
(b)(1)Commencing on January 1, 2021, in the case of housing that is not regulated by a deed restriction or other legally binding provision, the owner of a dwelling, housing unit, or multiunit residential structure that receives assistance from the Low-Income Weatherization Program for the unit, shall maintain rent levels that were in effect on January 1, 2021, for a period of not less than 10 years from the date of completion of the weatherization services, except that the owner may impose an annual percentage rent increase if both of the following are met:
(A)The increase is tied to the appropriate regional percentage
increase in the Consumer Price Index for All Urban Consumers as reported and published by the United States Department of Labor, Bureau of Labor Statistics, for the previous 12-month period.
(B)The increase is no greater than ___ percent annually, as determined by the department.
(2)Notwithstanding paragraph (1), the department may decrease the period for unregulated housing described in paragraph (1) to no less than a five-year period if the following requirements are met:
(A)Unregulated
properties comprise less than 5 percent of participating properties.
(B)The department has made good faith outreach efforts and sufficient funding has been appropriated by the Legislature.
(C)The department has conducted a robust notice and comment period.
(c)In order to ensure that
tenants in qualifying, unregulated, multifamily properties receive net
financial, health, or safety
benefits from the Low-Income Weatherization Program and to implement the requirements of subdivision (a), the department shall develop standards that ensure program-funded energy improvements provide net financial benefits to tenants, after due consideration of rent and utility costs, including appropriate protections against rent increases that could diminish net financial benefits, considering all relevant factors, including but not limited to, the cost and expected useful life of the improvement, owner and tenant
financial contribution requirements, projected energy savings, current and projected rent levels, trends in local rental market conditions, and owner type. The department shall also develop standards of protections against involuntary displacement and define what is a material breach of the lease. The department shall also develop regulatory contractual or other enforcement provisions, including but not limited to:
(1)Recorded affordability contracts or lease addenda.
(2)Accessible complaint procedures.
(3)Restrictions
placed on property at the time of sale that transfer to the new owner.
(d)Periodic monitoring and disclosure requirements ensuring affected tenants are provided with prompt access to relevant information concerning rent increases.
(e)The department shall determine the level of investment that warrants a dwelling, housing unit, or multiunit property to be subject to the terms of this section.