Editorial: Here’s one reason California isn’t building enough affordable housing: bureaucracy
4 years, 1 month ago

Editorial: Here’s one reason California isn’t building enough affordable housing: bureaucracy

LA Times  

Developer Ginger Hitzke, president of of Hitzke Development Corp., in front of her affordable housing development, Autumn Terrace in San Marcos, Calif. Hitzke has been trying to get a 10-unit affordable housing project built by the beach in Solana Beach for the last 10 years and has yet to break ground. No wonder the state is struggling to build enough affordable housing despite voter-approved state and local bond measures that have raised billions of dollars for it. One big problem, according to Howle’s audit, is that the state lacks a coordinated plan to effectively use taxpayer and private dollars to support affordable housing. The state awards billions of dollars each year in tax credits, tax-exempt bond proceeds and loans to build affordable housing. In one example, the state’s Debt Limit Allocation Committee, which oversees the tax-exempt “private activity” bonds that government agencies sell to help finance affordable housing and other private projects that serve a public interest, allowed $2.7 billion in potential bond revenue to expire between 2015 and 2017.

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