CA SB948

Prohibits the Department of Housing and Community Development from requiring project-specific transition reserves for units with qualified project rental or operating subsidies.

Creates the Pooled Transition Reserve Fund as a continuously appropriated fund to establish and maintain a pooled transition reserve for mitigating tenant rent impacts from loss or exhaustion of subsidies.

Authorizes the department to charge fees to projects receiving qualified subsidies at permanent loan closing, not to exceed reasonable costs to capitalize the reserve fund and cover administrative costs.

Transfers $5,000,000 from the Housing Rehabilitation Loan Fund to the Pooled Transition Reserve Fund for initial capitalization.

Applies to multifamily housing projects financed by multiple state and federal programs, including the Building Homes and Jobs Act, Multifamily Housing Program, Housing for a Healthy California Program, Veterans Housing and Homeless Prevention Act, and the No Place Like Home Program, with permanent loan closings on or after January 1, 2023.