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Newsom Hoping For Surge In Affordable Housing Construction

Sacramento, CA — California Governor Gavin Newsom has placed $1.75 billion in his proposed budget to create incentives for construction of more affordable units and workforce housing.

He said he is hoping that at least 3.5 million new units are constructed to help residents faced with limited options and sky-rocketing rent. Setting up a potential confrontation with cities and counties, he is also threatening to withhold state transportation funding from governments that decline to promote construction of their fair share of units. Goals will be created by region. The Associated Press reports that groups like the California Association of Counties are raising early concerns about the idea of seemingly holding the funding as hostage.

In addition, the Governor would like $500-million spent on the construction of emergency shelters and navigation centers for homeless residents.

During a press conference, Newsom stated,“To me, transportation is housing, housing is transportation,” and if municipalities fail to meet goals, “I don’t know why you’re getting the money.”

He is also calling for CEQA exemptions for the construction of homeless shelters. He says if exemptions are given out for high profile projects like sports stadiums, they should also be given to projects that help residents living on streets and sidewalks.

The funding is part of the budget released yesterday. Click here to find more details.