Bay Area Council Joining Coalition to Support Housing Legislation; Proposals Designed to Increase Housing Supply.

News & Government Editors/Real Estate Writers

SAN FRANCISCO--(BUSINESS WIRE)--March 13, 2000

The Bay Area Council today announced that it is joining a coalition of employers, home builders and affordable housing advocates to support legislation that would provide strong incentives and measures to increase the supply of housing in California.

Among others promoting this landmark legislation are the California Chamber of Commerce, the California Alliance for Jobs and the California Building Industry Association, the latter of which refers to the total of nine separate proposals as the "Jobs-Center Housing package."

The coalition is hosting a press conference at the State Capitol Building in Sacramento at 10:15 AM today to publicize their support for the package of measures. Key authors of the legislation include Bay Area State Senator Richard Rainey and Bay Area State Assemblymen Tom Torlakson and John Dutra.

       The Jobs-Center Housing package consists of the following
proposals:

--   Establishing fiscal rewards for communities in high job growth
     areas for approving new housing.

--   Establishing a "one bite" policy to eliminate abusive CEQA
     (California Environmental Quality Act)
     litigation, particularly for urban in-fill housing developments.

--   Establishing a fair system for resolving construction disputes.

--   Establishing full disclosure of the impacts of local growth
     control initiatives.

--   Promoting more timely and efficient use of redevelopment housing
     funds.

--   Identifying the obstacles to greater investment and housing
     development in existing urban and suburban areas, particularly
     for "brownfields."

The first proposal, AB 2048, has been introduced by State Assemblyman Torlakson, and would provide a greater property tax return to local jurisdictions that create more housing in specific areas of so-called "in-fill," such as near transit centers and in designated mixed-use areas. The bill would create a permanent annual return statewide of $500 million.

"The Bay Area is experiencing a housing crisis due to the shortage of available housing in the region," stated Sunne Wright McPeak, President and CEO, Bay Area Council. "As a result, housing prices have skyrocketed and housing is increasingly unavailable. This is driving current Bay Area workers out of the region and is discouraging talented people from working here. These trends also are making it increasingly difficult and expensive for Bay Area employers to attract and retain employees."

"Most especially," added Alexander Winslow, Bay Area Council Director of Communications, "we lack housing that is affordable to the workforce and that is located near job and transit centers. These legislative proposals are exactly what the Bay Area needs and all of us in this coalition will work vigorously for their passage."

"Construction of housing units in the Bay Area has not kept pace with the region's robust job growth, creating a jobs-housing imbalance," noted Andrew Michael, Bay Area Council Vice President for Sustainable Development. "The action today by the Bay Area Council represents another step in our campaign over the past year to provide solutions to the housing crisis."

The Bay Area Council 1999 Bay Area Poll found that housing is now considered the second-most pressing issue in the region. In addition, the Bay Area Council in 1999 released the first-ever "Fair Share Housing Inventory," which tracked the progress of 50 out of 110 Bay Area jurisdictions toward reaching their "fair share" of housing units needed by the region's growing population. The results highlighted the profound shortage of housing. The 50 jurisdictions -- four counties and 46 cities -- accounted for approximately 101,490 housing units built, falling far short of their cumulative projected need for 182,542 units to be built during the years 1988-1995.

The Bay Area Council is a CEO-led, business-sponsored public policy organization founded more than 50 years ago to promote regional economic prosperity and quality of life. The Council presents a strong, united voice for more than 230 major employers from throughout the region to help shape public policy affecting transportation, environmental quality, economic development, housing and land use, sustainable development, water policy, education and workforce preparation, and telecommunications infrastructure.