Gov. Gavin Newsom has reached an agreement with Democratic legislative leaders on how to incentivize local governments to build more housing — including monthly penalties for failure to comply.
The deal also includes a plan for how to split up hundreds of millions of emergency funding dollars to address the state’s homelessness crisis.
The agreement between the governor, Assembly Speaker Anthony Rendon (D-Lakewood) and Senate President pro Tem Toni Atkins (D-San Diego), which is expected to be put into print Thursday afternoon, emerges two weeks after lawmakers passed the state budget bill — and just hours before Newsom’s midnight deadline to sign it.
“Importantly, we have come to agreement on a package of housing measures, one that creates strong incentives — both sticks and carrots — to help spur housing production across this state, all while providing significant levels of funding to fight homelessness,” the three leaders said in a joint statement.