On Tuesday, Governor Newsom signed Senate Bill 1177, authored by State Senator Anthony J. Portantino (D – Pasadena), into law.
SB 1177 creates a regional affordable housing trust between the cities of Pasadena, Burbank, and Glendale. In June, the Senator announced that his budget request to create and fund the regional affordable housing trust had been approved in the 2022-2023 State Budget, allocating $23 million to help finance affordable housing projects created by SB 1177.
“We in the City of Pasadena are grateful for the Governor’s signature on SB 1177,” said Mayor Victor Gordo. “The housing affordability crisis continues to press many households in our region as they struggle to keep up with rising housing costs.
“It is critical that additional funding be made available to produce more housing, especially affordable housing. This is not a challenge that can be addressed by one city alone. It will take cities working together, because we are stronger together, are in a better position to address the housing crisis.
According to Gordo, increasing land prices, construction costs and interest rates have made this a huge challenge, but we are committed to do all we can to create more affordable housing. SB 1177 is a critical part of that commitment.”
SB 1177, creates a regional housing trust fund that would be administered by a joint powers authority (JPA) comprised of the cities of Burbank, Glendale, and Pasadena. Under the bill, the JPA would be allowed to request and receive private and state funding allocations, as well as authorize and issue bonds, to help finance affordable housing projects for persons and families of extremely low-, very low-, low-, and moderate-income households.
Burbank, Glendale, and Pasadena have nearly 3,000 affordable housing units in the combined development pipeline, including permanent supportive housing, senior housing, workforce housing, and affordable home ownership units. Due to insufficient local funding, they have been unable to bring their backlog of affordable housing projects to completion.
“I am thrilled that the Governor has supported and funded this effort,” stated Senator Portantino. “Burbank, Glendale and Pasadena have been at the forefront of meeting California’s housing needs. The high cost of housing has had a devastating effect on Californians, especially on lower income and workforce households in the Burbank, Glendale, and Pasadena area. These three great cities initiated a creative solution and we are grateful to the Governor for signing this critical housing measure.”