The Los Angeles City Council voted unanimously Wednesday to support a Linkage Fee affordable housing ordinance, which will generate about $104 million annually through commercial and housing development fees to provide a consistent funding source to address the City’s affordable housing crisis.
The policy was overseen by Councilmember José Huizar, as the Chair of the City’s Planning Committee at four meetings beginning in June with the support of community organizations, such as the Coalition for a Just LA, and Mayor Eric Garcetti.
“With today’s vote, the City of Los Angeles is telling Angelenos when it comes to much-needed affordable housing ‘we hear your concerns, we see your concerns and we are stepping up to address your concerns,’” said Councilmember Huizar. “The City has long-needed its own funding source to ensure that our residents and families who have lived in Los Angeles all their lives, can continue to call the City that they love home. Our primary goal is to provide hundreds of millions of dollars to keep people in their homes and protect affordable housing covenants set to expire, as well as to build new affordable homes for workers and families. It’s been my honor to craft this policy along with my colleagues on the City’s Planning Committee, and I applaud the City Council, as well as the Coalition for a Just LA and Mayor Garcetti for their support.”
Affordable housing funding in the City of Los Angeles has declined dramatically, from $100 million in 2010 to $26 million in 2014. Before today, the City had no permanent funding source for affordable housing, due to federal cuts and the dissolution of the CRA. The Trump/Republican Tax Bill will remove the few remaining resources, and is likely to destroy the tax credits that are used to finance affordable housing. Los Angeles is the only large city in California without a permanent affordable housing funding source.
The City estimates the Linkage Fee, as adopted Wednesday, will generate about $104 million annually, producing and protecting thousands of affordable housing units throughout the City.