State Prohousing Designation Program Moves Forward

In his Fiscal Year 2019-20 budget, Governor Newsom announced a new Pro-Housing Designation Program, which provides incentives to local governments in the competition for certain State housing and infrastructure funding if they take steps to eliminate barriers to building new affordable, transit-oriented housing. Currently, the designation is being applied to four programs: Affordable Housing and Sustainable Communities (AHCS), Infill Infrastructure Grant (IIG), Transformative Climate Communities (TCC), and Transit and Intercity Rail Capital Program (TIRCP). This list may grow as the program is finalized.

Applications are currently being considered on an over-the-counter basis while formal program regulations are being finalized. Interested localities can access the application here.  Comments on the final regulations are being accepted through March 23, 2022. To submit comments, email the State Department of Housing and Community Development (HCD) at [email protected] with the subject line “Comments on Regulations.” Localities can also request technical assistance from HCD by sending an email to the same email address.

In February, the City of Sacramento became the first city in the State to receive a Pro-Housing Designation by adopting a series of policies, including eliminating parking requirements for accessory dwelling units, reducing development impact fees for new affordable homes, expanding residential and mixed uses allowed by right, and eliminating maximum densities for mixed-use development.