State lawmakers urge Los Angeles to expand housing trust fund and back $2 billion bond

Assemblymember Jackie Goldberg and other state lawmakers told the Los Angeles City Council on Tuesday that the city must increase funding for affordable housing and begin doing so from a renewable source, even if the full $100 million request is not immediately available.

Goldberg said the state and city face tight budgets but urged the council not to wait. “If you can't find the hundred million, find 75,000,000, but get started with it,” she told the council during the public comment period.

Why it matters: Council members heard that homelessness and the shortage of affordable units in Los Angeles are acute and growing. Lawmakers said a permanent, renewable funding source for a city housing trust fund and coordinated state action are needed to produce housing at scale.

Assemblymember Alan Lowenthal, who chairs the Assembly Housing and Community Development Committee, told the council the state will be a partner: “We will be a partner with you,” he said, and said he is committed to moving a large housing bond through the Legislature. Lowenthal and other speakers referenced a recent state allocation of roughly $500,000,000 that officials said would produce about 50,000 units over three years and stressed that local and state efforts must be coordinated to close a much larger shortfall.

Speakers urged the council to consider interim steps if a full $100 million cannot be found immediately. Goldberg and others suggested using hotel tax (TOT) revenues among other options and urged the council to adopt a durable revenue stream rather than an annual ask.

The delegation also said it will try to shield city funding from cuts in Sacramento and told council members state leaders will push for a November ballot housing bond estimated by supporters at $2,000,000,000. Assembly members in the room pledged to advocate for the bond in the Legislature and warned that placing a bond on the ballot requires the necessary legislative votes.

Council reaction and next steps: Council members acknowledged the state's support and the political and fiscal constraints facing the city. Speakers asked the council to phase increases if necessary and to reconvene with state partners to align funding and programs.

Speakers from the Sacramento delegation concluded by urging immediate action to ramp up the city's housing trust fund and by pledging to work with the council on state-level measures that could supplement local funding.

Ending: Lawmakers left the council with a clear ask — create a permanent, renewable housing trust fund and begin with the largest feasible commitment now while state partners work to preserve and add resources at the state level.