Legislative Alerts

Call To Action - AB 2011

High housing costs are a well known and widespread phenomena across the state of California. Legislators often attempt to apply large, inflexible, and expensive “one-size-fits-all” programs and completely ignore our state’s wonderful diversity that they claim to celebrate. AB2011 distorts the housing market in favor of low-income high-rises, unfairly favors well-connected developers, and creates new unnecessary regulation.

AB2011 represents one step forward and two steps back. On the one hand, AB2011 elevates private property rights by making residential development “a use by right within a zone where office, retail, or parking are principally permitted” and removes bureaucracy by “exempting the approval of development projects … from CEQA”. On the other hand, these privileges are distributed unfairly and will come with a new set of burdensome regulations. 

AB2011 would distort the market to favor development of low-income housing by requiring that target developments have “one hundred percent of the units within the development project … dedicated to lower income households.” Instead of allowing the free market to set what units be built, the state would mandate that only certain construction be allowed. Restricting development in this fashion represents an infringement on private property rights. 

AB2011 unfairly favors well connected developers by requiring new projects to have “50 or more housing units.” This clause would prevent mom-and-pop investors from creating small, community-scale housing units. Instead, only large corporate developers would have the capital required to develop housing on this scale.

Finally, AB2011 imposes unnecessary regulation such as creating an “obligation to pay prevailing wages” to workers. Instead of allowing the market to set wage rates, the government would force developers to pay artificially high labor costs. This would inflate development costs which would ultimately result in higher housing costs. In the case of government funded development, the 8consequence is a higher bill to the taxpayer.

In its current state, AB2011 does more harm than good due to the market distortions it would create and new regulations it would impose. The Libertarian Party of California advocates for simple, fair regulations that would actually reduce housing costs and therefore urges California Assembly members to vote NO on AB 2011.

Local ordinances and restrictions can have a negative impact on housing or commercial land use, but removing that responsibility and transferring that power to unelected agencies while artificially increasing costs, will have even more devastating consequences. In true legislation double speak, this act will have the opposite intended effect on housing and jobs. 

AB 2011 may hit the Assembly floor by Friday May 27, 2022 so the time to act is now. A Call to Action has been sent out to your local government via CalCities, so it is important to contact your local City Council members and County Supervisors to check if they have sent out letters of opposition and urge them to do so. 

Your State Assembly members should also be made aware that Californians stand against State overreach into the decision making process of our local communities, and oppose AB 2011. You can find contact information for your California Assembly member at https://findyourrep.legislator.ca.gov/.

Zach Kincaid
Chair Pro Tem Libertarian Party of Yolo County
Chair LPC Program Committee
Chair LPC Legislative Committee
LP Mises Caucus County Coordinator