ONE MILLION MORE HOMES
GOAL: With supply falling far below demand, California needs to build one million more homes for low- and middle-income Californians in the next 10 years.
BACKGROUND: While communities continue to face numerous obstacles to building more homes close to jobs and transit—from uncertainty around infrastructure financing to lengthy approval processes—state resources remain constrained and local opposition to new housing often prevents projects from moving forward.
In the 2016 Roadmap to Shared Prosperity, the Summit outlined a plan aimed at reducing the costs—and increasing the supply—of housing for Californians.
Summit Accomplishments 2012-15
Action Plan for 2016
Building on its recent successes, the Summit aims to develop a coalition capable of dramatically increasing housing development--expanding resources for affordable housing and increasing production of all types of housing near transit and jobs. The Summit plan focuses on four activities:
- Make the case for increased production by demonstrating how housing adds value to communities.
- Develop a legislative agenda for accelerating housing development--and reducing housing costs.
- Explore new ways to pay for affordable housing--from dedicated state funding to local financing options.
- Share innovative local strategies where policies have increased all types of housing stock.
Summer 2016: As legislative negotiations continue over the governor's housing proposal, Summit teams continue to explore long-term solutions, including fiscal incentives that can encourage cities to approve housing close to jobs and transit as well as additional regulatory streamlining that can accelerate all types of housing construction and reduce housing costs. To gauge how much must be done to achieve the One Million Challenge, the Summit is also working with a McKinsey Global Institute team to quantify the number of units that could be produced by additional affordable housing investments and other policy levers. These ideas will be presented at the December 2016 Summit in Sacramento, where participants will refine them before a sustained legislative push in 2017.
May 2016: One month after the Summit housing event--and a few weeks after the Summit urged the Legislature in an open letter to do more about the housing crisis--the governor unveiled a revised budget proposal that included a dramatic new proposal for streamlining the local housing approval process for multi-family housing projects.
Spring 2016: The Summit convened a diverse group of housing stakeholders in April--including state lawmakers, affordable and market-rate homebuilders, environmentalists, regional planners, and equity advocates--to pursue an "all of the above" strategy for taking on the state's housing shortage. The group discussed the Roadmap approach, with its emphasis on expanding resources for affordable housing while also increasing production of all types of housing near transit and jobs. "We are all in this together," economist Steve Levy said after the discussion. As legislative discussions continued, several Summit leaders offered support for a set of affordable housing investments proposed by Assembly Democrats, and the Summit also highlighted 11 ideas for cutting housing costs identified by the San Diego Housing Commission.
January 2016: The Summit unveiled its One Million Homes Challenge a week after the governor's proposed budget was released--without any new plans for addressing the housing affordability crisis. "Now is the time to make the land use and regulatory changes that can help communities dramatically increase the supply of housing--and make needed investments in infrastructure," said Lucy Dunn, president and CEO of the Orange County Business Council. "The Summit is an ideal platform for bringing together the right people to make this happen."