Low-income housing: insurance tax: income tax: credits: farmworker housing.

(1) Existing law requires the Department of Housing and Community Development to develop and publish specified reports, including an annual report containing specified information on the operations and accomplishments during the previous fiscal year of the housing programs administered by the department. This bill would additionally require the department to commission a study of farmworker housing conditions, needs, and solutions. The bill would also require the department to develop a comprehensive strategy for meeting the housing needs of the state's farmworkers based on that study. The bill would require the department to evaluate whether an update and revision of the comprehensive strategy is necessary, and would authorize the department to update and revise the comprehensive strategy at its discretion. (2) Existing law establishes a low-income housing tax credit program pursuant to which the California Tax Credit Allocation Committee (CTCAC) provides procedures and requirements for the allocation, in modified conformity with federal law, of state insurance, personal income, and corporation tax credit amounts to qualified low-income housing projects that have been allocated, or qualify for, a federal low-income housing tax credit, and farmworker housing. Existing law limits the total annual amount of the state low-income housing credit for which a federal low-income housing credit is required to the sum of $70,000,000, as increased by any percentage increase in the Consumer Price Index for the preceding calendar year, any unused credit for the preceding calendar years, and the amount of housing credit ceiling returned in the calendar year. Existing law provides for an additional allocation of $500,000,000 in low-income housing tax credits for the 2020 calendar year and up to $500,000,000 for the 2021 calendar year and thereafter. Existing law provides that the additional amount for the 2021 calendar year and thereafter is available only if the Budget Act or related legislation specifies an amount available for allocation. Existing law authorizes CTCAC to allocate up to $200,000,000 of this amount for housing financed by the California Housing Finance Agency (CalHFA) under its Mixed-Income Program. Existing law specifies that eligible projects for the additional $500,000,000 in low-income housing credits, as described above, include any new building, as defined in specified federal law. This bill would require that, for the 2024 through 2034 calendar year, in any year in which the additional allocation of $500,000,000 in low-income housing tax credits is made, as described above, the lesser of $25,000,000 or 5% of the additional amount allocated shall be set aside for projects to provide farmworker housing, as defined. The bill would require that any credits that remain unallocated for farmworker housing following the conclusion of a funding round roll over to consecutive subsequent funding rounds in that calendar year with the exception that any credits that remain unallocated prior to the final funding round in that calendar year be added to the general additional allocation amount. The bill would further require that, for the 2035 calendar year, and every year thereafter, in any year in which the additional allocation in low-income housing tax credits is made, a portion of that additional amount allocated shall be set aside for projects to provide farmworker housing, as defined, and the amount set aside for this purpose shall be determined by the Legislature upon consideration of the comprehensive strategy, or the most recent update of the comprehensive strategy, prepared by the department as described above. This bill would incorporate additional changes to Sections 12206, 17058, and 23610.5 of the Revenue and Taxation Code proposed by AB 1288 to be operative only if this bill and AB 1288 are enacted and this bill is enacted last. This bill would include a change in state statute that would result in a taxpayer paying a higher tax within the meaning of Section 3 of Article XIIIA of the California Constitution, and thus would require for passage the approval of 23 of the membership of each house of the Legislature.