Paso Robles, CA – Sept. 2, 2020      The temporary camping facility for homeless residents has been operational at the Borkey Flats site for a few weeks. The site has restrooms, showers, and a safe needle exchange program, and a safe parking area….. The City’s Community Action Team (CAT) has been visiting homeless encampments in the riverbed. They have visited 15-20 camps and informed individuals of the new camping site and of the city’s intent to clean up the riverbed to mitigate fire risk and protect water quality…… To date, three encampments have been cleaned up of all debris and waste products. The camping site has not seen high levels of utilization to date, but the city has seen a drop in fire activity since the CAT team has been active and cleanup has begun….. The city will need to move the Borkey Flats encampment in the winter given that it is in the flood plain, and continues to work with homeless service provider partners to identify long-term solutions…..     HOMELESS PERSPECTIVE CALIFORNIA TICKER    …..     …..
Sacramento, CA – Sept. 3, 2020     Gov. Newsom said Wednesday that California is making an “unprecedented” effort to address homelessness, two days after lawmakers failed to pass a bill to massively increase housing production….. The governor said the state has placed more than 22,000 homeless Californians in 16,400 hotel and motel rooms amid the pandemic, and is giving cities and counties $600 million to purchase the rooms and convert them into permanent housing….. Local governments also got another $628 million in emergency homelessness aid….. “It’s self-evident that this has to be our top priority and it is,” said Newsom……   A bill heading to Newsom’s desk would create a state Office to End Homelessness, led by a new “homelessness czar.” But the governor said Wednesday he already has a homelessness czar — a seemingly fluid title, given that he’s used it to refer to six people in the past two years, including himself……      HOMELESS PERSPECTIVE CALIFORNIA TICKER…..     …..
Oxnard, CA – Sept. 3, 2020     The Vagabond Inn in Oxnard could soon transition from an affordable hotel option to permanent supportive housing for 70 of the county’s homeless residents, thanks to a state funding effort that aims to house California’s most vulnerable homeless individuals….. The Vagabond Inn is under consideration for funding under Project Homekey, the next phase in the state’s efforts to protect homeless residents who are high-risk for COVID-19. In July, Gov. Gavin Newsom announced $600 million in funding for cities and counties to convert motels, hotels and other housing types into permanent housing…..  “This is an opportunity that allows us to both respond to COVID-19 and respond to homelessness and the long-term need to provide housing,” said Oxnard Housing Director Emilio Ramirez…..     HOMELESS PERSPECTIVE CALIFORNIA TICKER     …..     …..
San Francisco, CA – Sept. 3, 2020     Bay Area universities and homeless advocates released a report on Thursday revealing the various barriers homeless San Franciscans face when accessing housing…..  The report’s authors, the Coalition on Homelessness and researchers with the University of California at Berkeley, San Francisco State University and Santa Clara University surveyed 600 temporarily housed San Franciscans, with a focus on transgender people …..  Participants revealed inequities that homeless transgender people face to obtain housing, poor shelter conditions, crowded living spaces and strict curfews, created even more barriers to housing. Fifty-eight percent of participants said they would prefer a legal homeless camp with basic amenities like showers and toilets while 34 percent reported having substance abuse issues…..     HOMELESS PERSPECTIVE CALIFORNIA TICKER     …..     …..
Stanton, CA – Sept. 3, 2020     The County of Orange and Jamboree Housing Corporation submitted three applications as co-applicants and in partnership with the City of Stanton under the State Homekey program, all located in the City of Stanton, for a total request of $28.1 million in funding…..   The County recently received word that the State reserved funding for both The Tahiti Motel and Stanton Inn and Suites applications….. Two of the motels identified for funds in the City of Stanton include The Stanton Inn and Suites, on Katella Avenue and the Tahiti Motel, on Beach Boulevard. A third motel is in negotiation with the motel owner, they say. By the end of the project, 132 new affordable homes will be available for those experiencing homelessness.   Although this does not yet represent an award from the State, it is one step closer to securing funding to make the Homekey program work…..     HOMELESS PERSPECTIVE CALIFORNIA TICKER…..     …..     …..  
Paso Robles, CA – Sept. 2, 2020      The temporary camping facility for homeless residents has been operational at the Borkey Flats site for a few weeks. The site has restrooms, showers, and a safe needle exchange program, and a safe parking area….. The City’s Community Action Team (CAT) has been visiting homeless encampments in the riverbed. They have visited 15-20 camps and informed individuals of the new camping site and of the city’s intent to clean up the riverbed to mitigate fire risk and protect water quality…… To date, three encampments have been cleaned up of all debris and waste products. The camping site has not seen high levels of utilization to date, but the city has seen a drop in fire activity since the CAT team has been active and cleanup has begun….. The city will need to move the Borkey Flats encampment in the winter given that it is in the flood plain, and continues to work with homeless service provider partners to identify long-term solutions…..     HOMELESS PERSPECTIVE CALIFORNIA TICKER    …..     …..
San Francisco, CA – Sept. 3, 2020     Bay Area universities and homeless advocates released a report on Thursday revealing the various barriers homeless San Franciscans face when accessing housing…..  The report’s authors, the Coalition on Homelessness and researchers with the University of California at Berkeley, San Francisco State University and Santa Clara University surveyed 600 temporarily housed San Franciscans, with a focus on transgender people …..  Participants revealed inequities that homeless transgender people face to obtain housing, poor shelter conditions, crowded living spaces and strict curfews, created even more barriers to housing. Fifty-eight percent of participants said they would prefer a legal homeless camp with basic amenities like showers and toilets while 34 percent reported having substance abuse issues…..     HOMELESS PERSPECTIVE CALIFORNIA TICKER     …..     …..
Sacramento, CA – Sept. 3, 2020     Gov. Newsom said Wednesday that California is making an “unprecedented” effort to address homelessness, two days after lawmakers failed to pass a bill to massively increase housing production….. The governor said the state has placed more than 22,000 homeless Californians in 16,400 hotel and motel rooms amid the pandemic, and is giving cities and counties $600 million to purchase the rooms and convert them into permanent housing….. Local governments also got another $628 million in emergency homelessness aid….. “It’s self-evident that this has to be our top priority and it is,” said Newsom……   A bill heading to Newsom’s desk would create a state Office to End Homelessness, led by a new “homelessness czar.” But the governor said Wednesday he already has a homelessness czar — a seemingly fluid title, given that he’s used it to refer to six people in the past two years, including himself……      HOMELESS PERSPECTIVE CALIFORNIA TICKER…..     …..
Oxnard, CA – Sept. 3, 2020     The Vagabond Inn in Oxnard could soon transition from an affordable hotel option to permanent supportive housing for 70 of the county’s homeless residents, thanks to a state funding effort that aims to house California’s most vulnerable homeless individuals….. The Vagabond Inn is under consideration for funding under Project Homekey, the next phase in the state’s efforts to protect homeless residents who are high-risk for COVID-19. In July, Gov. Gavin Newsom announced $600 million in funding for cities and counties to convert motels, hotels and other housing types into permanent housing…..  “This is an opportunity that allows us to both respond to COVID-19 and respond to homelessness and the long-term need to provide housing,” said Oxnard Housing Director Emilio Ramirez…..     HOMELESS PERSPECTIVE CALIFORNIA TICKER     …..     …..
Stanton, CA – Sept. 3, 2020     The County of Orange and Jamboree Housing Corporation submitted three applications as co-applicants and in partnership with the City of Stanton under the State Homekey program, all located in the City of Stanton, for a total request of $28.1 million in funding…..   The County recently received word that the State reserved funding for both The Tahiti Motel and Stanton Inn and Suites applications….. Two of the motels identified for funds in the City of Stanton include The Stanton Inn and Suites, on Katella Avenue and the Tahiti Motel, on Beach Boulevard. A third motel is in negotiation with the motel owner, they say. By the end of the project, 132 new affordable homes will be available for those experiencing homelessness.   Although this does not yet represent an award from the State, it is one step closer to securing funding to make the Homekey program work…..     HOMELESS PERSPECTIVE CALIFORNIA TICKER…..     …..     …..  

The Economic Consequences of California’s Housing Crisis

By: Jeff Montejano
June 19, 2019 —

California’s housing crisis has received a heightened level of attention in 2019 and rightfully so.

A statewide survey conducted earlier this year by the Public Policy Institute of California made headlines regarding the overwhelmingly high level of public apprehension over skyrocketing housing costs. Not only did a record-high share of Californians say that the lack of affordable housing is a big problem in their region, but an eye-opening thirty-five percent said that high housing costs have them seriously considering leaving the state.

In Sacramento, the housing crisis has come to the forefront as well, with a myriad of housing bills introduced in the state legislature. The most notable of these bills, SB 50 by Senator Scott Wiener, generated a vigorous discussion over the issue of local control, eventually failing to pass out of committee. Other issues such as environmental regulations and rent control have fanned the flames of debate among various stakeholders.

As part of this debate, it’s critical not to overlook the negative economic consequences that accompany such a massive scarcity of affordable housing. Not only has the lack of new home construction in California caused a substantial financial hardship on individuals renting or purchasing homes, but the state’s overall economy has suffered as well.  

A study by the well-respected McKinsey Global Institute found that due to the state’s housing shortage, California’s economy loses over $140 billion per year in economic output.

Included is an estimated loss of over $50 billion per year in consumer consumption due to the state’s high cost of housing. When people are spending a substantial portion of their paychecks on rent or mortgage payments, they have less to spend elsewhere. For low-income residents, this often means that income that would ordinarily be spent on basic necessities like food and clothing is redirected towards housing costs

The lack of housing construction also eliminates the economic ripple effect that accompanies new home production. Architects, plumbers, roofers, and realtors are a small sampling of the numerous professions which stand to benefit from new housing development. According to the report, lost construction activity in California costs the economy over $90 billion per year.

In contrast, when homes are being built at a robust pace, a thriving housing construction industry has shown to be a considerable economic driver. A study funded by the California Homebuilding Foundation found that the industry’s most recent peak came in 2005 with new home construction supporting over 486,000 jobs.

The Building Industry Association of Southern California (BIASC) is steadfast in the belief that while the economic benefits of new housing are resounding, building new homes is far more than a business issue – it’s a quality of life imperative. Whether it’s working with policy makers both locally and in Sacramento, advocating in the courts through our Building Industry Legal Defense Foundation, or partnering with labor unions to address critical industry issues, BIASC is resolute in our commitment to a future of full and fair housing construction.

Ultimately, there is only one way out of California’s housing crisis, and that’s to ensure that home builders can do business in a legislative and regulatory environment where actual construction can take place. To do so, our elected leaders must acknowledge that when it comes to solving the state’s housing crisis, we must move away from the policies of the past that have created the dilemma in which the state finds itself today. As stated ever so eloquently by Groucho Marx, “Politics is the art of looking for trouble, finding it everywhere, diagnosing it incorrectly, and applying the wrong remedies.”

This article courtesy of Fox & Hounds

Jeff Montejano is the CEO of the
Building Industry Association of Southern California


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