Influencers weigh in on California’s 2020 housing and transportation priorities

Note to readers: Each week through November 2019, a selection of our 101 California Influencers answers a question that is critical to California’s future. Topics include education, healthcare, environment, housing and economic growth.

Get weekly updates on the issues that matter to you: Sign up for the California Influencers newsletter here.

▪ ▪ ▪

At the beginning of 2019, California was facing unprecedented housing and transportation crises. Gov. Gavin Newsom called for a “Marshall Plan for affordable housing” in his inauguration speech. State and local political leaders vowed to unclog our roads. But as we now approach the end of the year, California is still facing unprecedented housing and transportation crises.

“The good news is the linkage between the two issues creates synergies ... The challenging news is that decades of neglect on both issues has created our current crisis conditions,” said Silicon Valley Leadership Group President Carl Guardino, referring to what he called “An historic lack of ‘Political Will and Political Skill.’”

Assembly Speaker Anthony Rendon (D-Los Angeles) emphasized the need for a stronger partnership between state and local government but said that the locals needed to step up.

“The most important priority for state leaders is, paradoxically, local. We have already set the table for housing in a lot of ways … Now we have to keep pushing our localities to do the planning to meet production goals,” Rendon said. “We have allotted billions of dollars to make housing development easier. Cities with the jobs need to do more to balance that with housing for workers.”

Influencers from across the ideological spectrum advocated for additional state involvement in local housing policy – with both sticks and carrots.

“Developer fees – what local governments charge homebuilders to build – contribute greatly to California’s housing affordability crisis … ultimately, these fees impede growth, increase housing costs and put many residential development projects in danger,” said California Building Industry Association President Dan Dunmoyer. “Governor Newsom and the Legislature need to examine the broad authority that has been given to local communities and make changes that secure a lower and more equitable development fee structure.”

Democratic public affairs specialist Catherine Lew suggested that a less aggressive approach could persuade local officials to take further action.

“Encouraging and incentivizing cities to develop their own localized plans within a specified time frame – and broadening the discussion on other issues important to cities, such as restoring redevelopment funding – will create the partnerships necessary to take this fight to the next level,” Lew said.

Amanda Eaken of the National Resources Defense Council urged state lawmakers to provide local governments more freedom to move forward on transportation fixes.

“The Legislature needs to focus on eliminating existing barriers getting in the way of city leadership on sustainable transportation,” Eaken said. “Shockingly, some of the most sensible actions cities want to take, such as setting safer speed limits and using smart technology to enforce those speed limits, are prevented by state rules.“

Republican State Senate Leader Shannon Grove (R-Bakersfield) refused to let legislative Democrats off the hook for policies that she argues have worsened the state’s affordable housing shortage.

“In 2019, the Legislature missed out on opportunities to chip away at the housing crisis. Instead, Sacramento Democrats advocated for policies such as rent control, which is a bad solution to a deepening problem,” Grove said. “The Legislature should start by reducing state fees and excessive regulations that make it more expensive to build and giving homebuilders the same assurance against lawsuits by NIMBYs that are given when building stadiums and sports arenas.”

Other Influencers also weighed in against strict renter protection policies, warning of unanticipated consequences and diminished housing supply.

“The real losers from rent control will be tenants,” said Howard Jarvis Taxpayers Association President Jon Coupal. “Going forward, landlords will have a further incentive to raise their rents up to the legal limit every year as a hedge against unforeseen increases in operating expenses, including higher taxes.”

But Housing California Executive Director Lisa Hershey hailed this year’s efforts to assist renters, pointing to caps on rent increases, investments in affordable housing and homelessness, and other housing assistance.

“Together with the Governor and Legislature, we made significant strides towards creating housing opportunities for those struggling the most,” Hershey said. “Even as we develop a comprehensive road map, we must pass meaningful legislation … to provide permanent affordable housing and supportive services, and get people into housing quickly.”

Cesar Diaz, Political Director for the State Building and Construction Trades Council, linked the need for housing and transportation policy progress to the broader issue of income inequality.

“Clearly, solutions for transportation and housing require the expansion of a skilled workforce,” Diaz said. “We can invest in low-income communities to create apprenticeship opportunities and good union jobs that build affordable housing, expand mass transit and lift families out of poverty.”