CA AB846

Modifies the definition of "affordable rent" for rental housing developments receiving assistance on or after January 1, 1991, allowing rent to be set at levels prescribed by deed restrictions or regulatory agreements if the development dedicates 80% of units to lower income households and receives qualifying awards on or after January 1, 2025.

Qualifying awards include federal or state low-income housing tax credits, tax-exempt private activity bonds or general obligation bonds, or local, state, or federal loans or grants.

Requires the California Tax Credit Allocation Committee to adopt regulations by June 30, 2025, limiting annual rent increases for tenants in properties that received low-income housing tax credit allocations prior to April 3, 2024.

Requires the committee to assess the rent increase limits by June 30, 2026, and annually thereafter, with authority to adjust limits if deemed necessary.

Provides that if the Commission on State Mandates determines the bill contains state-mandated costs, reimbursement shall be made pursuant to existing statutory procedures.