Existing law, the San Francisco Bay Area Regional Housing Finance Act, establishes the Bay Area Housing Finance Authority (BAHFA) to raise, administer, and allocate funding for affordable housing in the San Francisco Bay area, as defined, and provide technical assistance at a regional level for tenant protection, affordable housing preservation, and new affordable housing production. The act requires the executive board and the authority board of BAHFA to form an advisory committee, as specified, to assist in the development of funding guidelines and overall implementation of the program.
The act authorizes the authority to impose various funding mechanisms including a parcel tax and a special tax measured by gross receipts. The act authorizes the authority to issue general obligation bonds secured by the levy of ad valorem property taxes, in accordance with applicable constitutional requirements. The act requires the executive board and BAHFA, in consultation with the advisory committee, to adopt a regional expenditure plan for the use of housing revenue that includes specified information, including a description of any specific project or program proposed to receive funding, as specified. The act requires up to 20% of the revenue received by BAHFA from any of the aforementioned funding mechanisms to be collected by BAHFA for expenditures consistent with the regional expenditure plan adopted, as specified, and to be eligible to be spent in any county in which the funding measure is in effect.
This bill would prohibit the regional expenditure plan from rendering projects ineligible for funding based on the presence or absence of any city, county, or city and county land use or housing policies. Notwithstanding that provision, the bill would authorize BAHFA to use project-specific conditions to prioritize projects for funding.
The act requires each county to adopt a county expenditure plan that includes specified information, including the proposed share of revenues that will be allocated to the construction of new affordable housing, affordable housing preservation, and tenant protection programs. The act requires at least 80% of the revenue received by BAHFA from any of the aforementioned funding mechanisms to be allocated to the county of origin for expenditure in that county, consistent with the adopted county expenditure plan.
This bill would prohibit the authority from imposing any other conditions for a county expenditure plan to be deemed complete to allocate funds. Notwithstanding that provision, the bill would authorize the authority to enter into an agreement with a county or city that receives an allocation of county housing revenue to ensure that the authority or the county, city, or city and county take the actions necessary or incidental to implementing the above-described provisions.
This bill would make legislative findings and declarations as to the necessity of a special statute for the San Francisco Bay area.

Statutes affected:
AB598: 64650 GOV
03/09/23 - Amended Assembly: 51934 EDC, 51934 EDC
04/18/23 - Amended Assembly: 51934 EDC
06/10/24 - Amended Senate: 64650 GOV, 64650 GOV, 51934 EDC
09/05/24 - Enrolled: 64650 GOV
09/27/24 - Chaptered: 64650 GOV