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California Housing Crisis Worst in History

<p>Increasing rent and the scarcity of affordable homes in California is pushing millions of people into poverty&semi; and in some cases&comma; into the street&period;<&sol;p>&NewLine;<p>Homelessness is rising&period; Homeownership is&nbsp&semi;at 1940&&num;8217&semi;s levels&period;<&sol;p>&NewLine;<p>Of the ten least affordable counties in the US&comma; seven are in California&period;&nbsp&semi;<&sol;p>&NewLine;<p>&ldquo&semi;California is in the most intense housing crisis in our state&rsquo&semi;s history&comma;&rdquo&semi; says state Assemblyman David Chiu &lpar;D-San Francisco&rpar;&period; &ldquo&semi;For the millions of Californians who are suffering&comma; Sacramento needs to act&period; There is no silver bullet to the housing crisis&period;&rdquo&semi;<&sol;p>&NewLine;<p><strong>Reasons for the crisis include&colon;<&sol;strong><&sol;p>&NewLine;<p>&bull&semi; The expiration of a program that allocated &dollar;1 billion per year to redevelopment agencies&nbsp&semi;<&sol;p>&NewLine;<p>&bull&semi; Development restrictions&nbsp&semi;<&sol;p>&NewLine;<p>&bull&semi; California has used up &dollar;5 billion in affordable housing bonds passed in 2002 and 2006&nbsp&semi;<&sol;p>&NewLine;<p>&bull&semi; Lack of new homes being built&nbsp&semi;<&sol;p>&NewLine;<p>&ldquo&semi;The catastrophe is real&comma;&rdquo&semi; says Ray Pearl&comma; director of an affordable-housing advocacy group called the California Housing Consortium&period;<&sol;p>&NewLine;<p>&ldquo&semi;There are low-income Californians on the brink of homelessness&period; You can&rsquo&semi;t pick up a paper that doesn&rsquo&semi;t mention homelessness on the rise across the state&period; I think we are finally at a point where it equals action&period;&rdquo&semi;&nbsp&semi;<&sol;p>&NewLine;<p>California would need to build 180&comma;000 new homes each year to satisfy its massive population&period; The state was building about 160&comma;000 in prior years&comma; but is now building only 80&comma;000&period; According to the Consortium&comma; the state would need to build 1&period;5 million units to fully satisfy the state&rsquo&semi;s lowest-income bracket&period;&nbsp&semi;<&sol;p>&NewLine;<p>&ldquo&semi;Without serious changes&comma; the phenomenon that&rsquo&semi;s becoming the norm in Silicon Valley &ndash&semi; people with decent jobs forced by housing costs to live in their cars&comma; trucks&comma; or RVs &ndash&semi; will become a statewide norm&comma;&rdquo&semi; warns <em>The San Diego Union-Tribune&&num;8217&semi;s<&sol;em>&nbsp&semi;editorial board&period;&nbsp&semi;<&sol;p>&NewLine;<p>Lawmakers have introduced more than 100 housing-related bills so far this year&period; One of the most talked about is SB2&comma; which would allocate &dollar;300 million per year for low-income housing&period;&nbsp&semi;<&sol;p>&NewLine;<p>Lawmakers are also hoping to strengthen California&rsquo&semi;s <em>Housing Accountability Act<&sol;em>&comma; which prevents cities from turning away development for arbitrary reasons &lpar;like rich people who don&rsquo&semi;t want to live near poor people&rpar;&period;&nbsp&semi;<&sol;p>&NewLine;<p>The Assembly is&nbsp&semi;currently negotiating with Governor Jerry Brown to locate funding and ease building restrictions&period; A vote on housing legislation may come as early as next week&period;<&sol;p>&NewLine;<p><strong>Editor&&num;8217&semi;s note&colon;<&sol;strong> This won&&num;8217&semi;t be solved by regulation and government programs&comma; they need less&comma; not more&period; To fix this problem California needs to focus on transportation&comma; to connect lower cost areas to higher cost&period; This is an age old problem&comma; lower income areas that are integrally attached to higher income areas become the next higher income areas&period;<&sol;p>&NewLine;

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