New State Housing and Homelessness Agency Under Government Reorganization Plan
The California Housing and Homelessness Agency (CHHA), set to become operational in July 2026, is a new state agency focused on housing and homelessness. CHHA was created by the Government Reorganization Plan enacted last summer. The reorganization plan will divide the existing Business, Consumer Services and Housing Agency (BCSH) into two agencies: the Business Consumer Services Agency (BCSA), which will oversee consumer affairs, licensing and enforcement, and the CHHA, which will focus on housing production and care for the unhoused population.
The CHHA will be composed of five different sub-agencies:
- Department of Housing and Community Development (HCD),
- California Interagency Council on Homelessness (CalICH),
- California Housing Finance Agency (CalHFA),
- Civil Rights Department (CRD), and
- Housing Development and Finance Committee (HDFC) [new]
The CHHA will oversee housing production, preservation of housing, homelessness solutions and civil rights safeguards. The goal is to provide a coordinated approach to state housing policy and funding. This change consolidates the existing a patchwork of funding sources and processes for affordable housing in California into one new agency. The new HDFC will provide a single streamlined application and award process for all state affordable housing funding.
The steps to reorganize under the CHHA have just begun, and CHHA should be operational by July 2026. BCSH will be dissolved on that date. An overview published by the BCSH can be found here. Please reach out to your BBK attorney with any questions.
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