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Los Angeles renters can expect more help from the city following Tuesday’s expansion of programs under Measure ULA, including eviction defense, rental assistance and income support for seniors and people with disabilities.
In a 12-0 vote, the City Council approved final guidelines for ULA housing production and homelessness prevention efforts, as well as a plan to use more of the tax-generated funds. The tax was approved by voters in April 2023 and created a tax on housing. Real estate sales over $5 million.
City Council members Tracy Park and Monica Rodriguez were absent during the vote. Councilor Karen Price resigned because she is a landlord.
The commission will also report on whether to waive or reduce the city’s burden on nonprofit organizations that build or acquire affordable housing for seniors; It also approved an amendment proposed by City Councilman Bob Blumenfield.
“I’m trying to find ways to support organizations doing housing-related work. This report highlights the nonprofit organizations that are doing this important work, but which unfortunately remain the same. “The drafted players are getting involved with ULA,” Blumenfield said.
Revenue collected from the tax is used to build and preserve affordable housing, as well as eviction defense, rental assistance, and income support for seniors and people with disabilities.
But legal challenges and a recent ballot measure aimed at overturning the ULA have left the city’s Housing Authority with only up to $150 million available for limited spending.
The California Supreme Court has ruled that the Taxpayer Protection and Government Accountability Act cannot be included on the November ballot, which requires a referendum on special local tax increases passed after January 1, 2022. The bill would have required a two-thirds vote in favor. Passing tax measures without a simple majority.
“While the hurdles have been cleared, the only potential threat to ULA is pending litigation,” according to a Ministry of Housing report.
“The lawsuit challenging the validity of the ULA could be resolved by the end of the 2024 calendar year. If the city prevails in the lawsuit, the city will not have any potential obligation to refund collected ULA revenues. date,” the report added.
Housing advocates said Congress’ approval is an important milestone in tackling homelessness. The city will have access to even more funding (totaling $480 million as of October), according to a city report.
The Department of Housing estimates that a total of $167.9 million will be allocated to the ULA program this fiscal year, which could increase to $301.1 million in fiscal year 2025-26.
Opponents criticized ULA, including the Howard Jarvis Taxpayers Association and the Greater Los Angeles Apartment Association. These groups support the Taxpayer Protection and Government Accountability Act and warn that the measure will have a chilling effect on the city’s real estate market.
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